KB Securities Lists New Copper Price Tracking ETN and Leveraged Inverse ETN

Trading Available Until October 26, 2026

[Asia Economy Reporter Minwoo Lee] KB Securities has launched exchange-traded notes (ETNs) that track or inversely track the price of copper futures at twice the rate.

On the 9th, KB Securities announced the new listing of 'KB Leverage Copper Futures ETN(H)' and 'KB Inverse 2X Copper Futures ETN(H),' which invest in copper futures listed on the COMEX (Commodity Exchange) of the New York Mercantile Exchange.

These products respectively track 2 times and minus (-) 2 times the daily rate of change of copper futures listed on COMEX. Both are currency-hedged products linked only to the fluctuations of the underlying index, so additional gains or losses due to KRW-USD exchange rate fluctuations do not need to be considered.

The total fee is 0.65% per annum for both. It is reflected pro-rata daily in the final indicative value (IV). Within the fee, operating and hedging costs are kept low, making the cost lower compared to existing ETNs tracking the same index.

Both products have a maturity of 5 years and will be tradable until October 26, 2026, after which they will be delisted. The issuance quantity is 500,000 shares each. Rollover is conducted daily at 20% based on the settlement price from the 5th to the 9th business day of February, April, June, August, and November.

These products may incur principal losses depending on investment results, and there is issuer default credit risk regardless of the performance of the underlying index. Detailed product information can be found in the investment prospectus on the KB Securities website or through their branches.

Meanwhile, individual investors who are not professional investors must complete prior education from the Korea Financial Investment Association and meet minimum deposit requirements to invest in leveraged ETFs and ETNs for the first time. KB Securities requires a minimum deposit of 10 million KRW for new accounts, and for general accounts, the minimum deposit is 5 million KRW for Royal Star, Gold Star, and Premium Star grades, and 10 million KRW for the general grade.

Kim Hoyoung, Head of the Equity Division at KB Securities, said, "These two newly listed ETNs allow investors to build positions tailored to their needs in both rising and falling markets and are convenient investment tools when copper futures prices become volatile. We plan to continue launching related products to meet our customers' investment needs."

This content was produced with the assistance of AI translation services.