KOREA FINANCIAL INVESTMENT ASSOCIATION (KFIA) TO DISCUSS A MINIMUM DEPOSIT REQUIREMENT FOR A LEVERAGED ETF

ACCORDING TO THE KOREA FINANCIAL INVESTMENT ASSOCIATION, THE CEOS OF 10 MAJOR ASSET MANAGEMENT COMPANIES DISCUSSED INCREASING THE MINIMUM DEPOSIT REQUIREMENTS OF THE ETF AND SPREADING THE TIME FOR REBALANCING. IT WAS CONSIDERED NECESSARY TO INCREASE THE MINIMUM DEPOSIT REQUIREMENT FROM THE CURRENT LEVEL OF 10 MILLION WON (APPROXIMATELY US$ 6714) AND TO STRENGTHEN THE MARKET STABILIZER ROLE OF THE LIQUIDITY PROVIDER. THE KOREA FINANCIAL INVESTMENT ASSOCIATION, CITING DATA FROM THE KOREA CAPITAL MARKET INSTITUTE, STATED THAT THE RELEVANT LEVERAGE ETF WOULD REQUIRE AN ESTIMATED STOCK TRADE OF BETWEEN 700 AND 2.1 TRILLION WON PER DAY。