South Korea to cap investment in single-stock leveraged ETFs, ministry says

SEOUL, July 29 : South Korea will introduce additional curbs on single-stock leveraged exchange-traded funds (ETFs), including a cap that could limit an individual's investment in such products to 20 per cent of their total investment assets, the finance ministry said on Wednesday. The measures follow sharp swings in the local stock market, which authorities said had been exacerbated by concentrated bets in single-stock leveraged products. The government will also raise the cost of related trading to curb excessive activity, potentially by applying charges similar to those imposed for excessive order submissions in the futures market, it said after an emergency meeting of financial authorities. Authorities will introduce simulated trading requirements in addition to existing investor educa