Four Korean financial agencies will meet Thursday under the F4 macroeconomic and
financial coordination framework to discuss risks from single-stock leveraged
ETFs, the Korea Times reports. Participants include the Ministry of Economy and
Finance, the Financial Services Commission, the Financial Supervisory Service
and the Bank of Korea. Regulators said rising market volatility has put
single-stock leveraged ETFs in the spotlight as an amplifier of sharp price
moves. Options under consideration include higher margin requirements, limits on
daily price moves and reductions or caps on leverage multiples. Officials said
internal coordination has been ongoing but no policy decision has been reached,
and any measures are likely to offer only temporary relief rather than resolve
structural drivers of volatility.
