South Korean president admits shortfalls in single-stock leveraged ETFs

18-09-2026 11:16 HKT

Currency dealers work as an electronic board displays the Korea Composite Stock Price Index (KOSPI), the exchange rate between the U.S. dollar and South Korean won and the Korea Securities Dealers Automated Quotations (KOSDAQ) at the dealing room of a bank, as the benchmark KOSPI index opened above the 7,000 mark in Seoul, South Korea, May 6, 2026. REUTERS

South Korean President Lee Jae Myung on Friday acknowledged there were shortfalls in single-stock leveraged exchange-traded funds introduced earlier this year.

Lee said in a press conference that the products were introduced near the final stage of a stock market rally and that a subsequent market turnaround caused huge losses for investors.

The president stopped short of offering an apology or naming who was in charge of the policy decision, which sparked a backlash among investors.

Reuters

South Korea leveraged ETF single-stock

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