South Korea to require mock trading for retail investment in single-stock leveraged ETFs

South Korea will require retail investors to take mock trading courses before they can trade single-stock leveraged exchange traded funds (ETFs) from August 19, as part of supplementary measures to the restrictions announced last month to curb a retail boom in ETF investments.

Investors must complete at least five sessions and an hour of mock trading for each, in addition to the pre-existing requirements of three-hour courses on risk management and minimum deposits of at least 30 million won (HK$166,361.67), according to a statement released by the Financial Services Commission on Wednesday.

Reuters

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