South Korea regulator to announce new measures on single-stock leveraged ETFs

South Korea regulator to announce new measures on single-stock leveraged ETFs SEOUL, July 16 : South Korea's top financial regulator Financial Services Commission will announce new measures on single-stock leveraged ETFs soon, its chief said on Thursday. The regulator will "closely inspect and review improvement measures" on the ETFs soon, FSC Chairman Lee Eog-weon said in a radio interview on Thursday, when asked how the product affected the high volatility of South Korea's stock market. "This is basically a high-risk product," Lee said. "We have explained to investors its risks." When asked whether the regulators are considering a temporary suspension of trading in the product, Lee said such a measure could cause a "bigger side-effect" in markets. The regulators are focusing on improving stability in the Korean stock market, such as attracting more long-term investors by urging companies to improve corporate governance and increase dividend payouts as well as making efforts for South Korea's inclusion in an MSCI developed-market index.