Regulator unveils measures to bolster investor protection over risky assets

Korea Herald | Nov 14, 2019 at 5:37 AM
  • South Korea’s financial regulator on Thursday unveiled a raft of measures to better protect consumers in the wake of improper sales of derivatives linked to overseas interest rates that carry the risk of losing nearly all the money invested in them.
  • Since August, financial authorities have probed Woori Bank, KEB Hana Bank and brokerage firms and asset managers that sold the derivatives products linked to foreign interest rates.
  • In case of one product linked to 10-year German state bond yields, some investors lost 98 percent of their principal as bond yields in Germany had unexpectedly sunk.