The benchmark Korea Composite Stock Price Index (KOSPI) is displayed on a screen at the Korea Exchange, the country’s main bourse operator, on Oct. 27, 2025. (Yonhap)
SEOUL, Oct. 28 (Korea Bizwire) – South Korea’s issuance of equity-linked securities (ELS) in the third quarter rose sharply on-year amid the local stock market’s bullish run, industry data showed Tuesday.
The total value of ELS products issued in the July-September period stood at 12.8 trillion won (US$8.9 billion), 35.9 percent higher compared with the same period a year earlier, according to the data from the Korea Securities Depository (KSD).
Equity-linked securities are hybrid debt securities whose return is determined by the performance of the underlying equity.
Demand for such products tends to grow when the stock market is performing well.
By type, ELS products linked to local stock indexes, such as the benchmark Korea Composite Stock Price Index (KOSPI), accounted for 51.6 percent of the total, while those holding individual stocks accounted for 44.4 percent.
The issuance of ELS products that track the KOSPI 200 as underlying assets in particular rose 15.4 percent from three months ago.
In contrast, the issuance of ELS products holding the S&P 500 and EURO STOXX 50 as underlying assets fell 6 percent and 4.6 percent, respectively, compared with the previous quarter.
As of end-September, the outstanding amount of ELS products stood at 54.3 trillion won, up 12.6 percent on-year.
(Yonhap)
