Korea Investment & Securities, New Listing of ELW331 Stock

Korea Investment & Securities, a subsidiary of Korea Financial Group, announced on the 16th that it will newly list 331 types of Equity-Linked Warrants (ELW) (stock numbers 57KH55 ~ 57KL85).

The listed items include 51 index-type ELWs based on KOSPI 200 and KOSDAQ 150, and 280 stock-type ELWs based on underlying assets such as Samsung Electronics, SK Hynix, POSCO Holdings, and NAVER. According to the Korea Exchange, Korea Investment & Securities ranked first among securities firms in the number of ELW listings and trading volume as of the end of 2023.

ELWs are products that trade the rights to buy or sell individual stocks or stock indices at a predetermined price on the expiration date. If an increase in the underlying asset is expected, investors can buy call ELWs; if a decrease is expected, they can buy put ELWs to gain profit opportunities regardless of market conditions.

However, unlike stocks, ELWs have an exercise price that the underlying asset must reach by expiration. If the underlying asset price does not move in the initially expected direction, investors may lose up to the entire principal at maturity.

To trade ELWs, investors must complete an investment propensity diagnosis and prior investor education. Additionally, new customers must meet a minimum basic deposit of 15 million KRW. For more details, please visit the Korea Investment & Securities ELW dedicated website and the KakaoTalk channel ‘TRUE ELW.’