Kyobo Securities Launches Two ELS Products Including Tesla Underlying Assets

[Asia Economy Reporter Minji Lee] Kyobo Securities announced on the 24th that it will publicly offer two types of ELS totaling 4 billion KRW.

ELS Series 2007 is a 3-year maturity monthly payment product based on the S&P 500 Index, HSCEI Index, and EURO STOXX 50 Index. If the closing prices of all underlying assets on each monthly evaluation date are at least 65% of the initial reference price, a monthly return of 0.5675% (annual 6.81%) is paid. Additionally, on automatic early redemption evaluation dates every 6 months, if the closing prices of all underlying assets are at least 95% (6 months), 90% (12 months), 85% (18 months), 80% (24 months), and 75% (30 months), an annual pre-tax return of 6.81% is paid. If on the maturity evaluation date the closing price of any underlying asset is below 65%, principal loss of up to 100% may occur according to the maturity redemption conditions.

ELS Series 2008 is a 1-year maturity product based on Tesla (T), which is listed on the U.S. market. Early redemption opportunities are provided every 3 months, and if the closing price of the underlying asset on the redemption evaluation date is at least 85% (3 months), 80% (6 months), 70% (9 months), and 65% (12 months), an annual pre-tax return of 18.2% is paid.

If during the investment period the closing price of the underlying asset falls below 50% of the initial reference price and the closing price on the maturity evaluation date is below 65%, principal loss of up to 100% may occur according to the maturity redemption conditions. Subscription for this offering can be made through Kyobo Securities’ online homepage, HTS ‘PROVEST K’, and MTS ‘win.K’. The minimum subscription amount per product is 100,000 KRW. Both products have a 2-business-day cooling-off period for individual general investors after the subscription date (excluding the subscription date).