Q1 ELS Outstanding Issuance Balance 62 Trillion Won... 7.6% Increase Compared to Previous Quarter

Published 18 Apr.2022 11:24(KST)

[Asia Economy Reporter Minji Lee] According to the Korea Securities Depository, as of the end of the third quarter (first quarter) this year, the outstanding issuance balance of ELS (ELB) was 62.0323 trillion KRW, an increase of 11.2% compared to the same period last year (55.7753 trillion KRW), the agency announced on the 18th.

Q1 ELS Outstanding Issuance Balance 62 Trillion Won... 7.6% Increase Compared to Previous Quarter

The number of ELS issuance items in the first quarter was 3,989, down 13.8% from 4,627 items in the same period last year. The issuance amount was 1.20391 trillion KRW, a 36% decrease during the same period.

By issuance type, among the total issuance amount, 92% (1.1702 trillion KRW) was public offering and 8% (96.89 billion KRW) was private placement. The public offering issuance amount decreased by 32.3% compared to the same period last year (1.63455 trillion KRW), and the private placement issuance amount decreased by 60.7% compared to the same period (2.4626 trillion KRW).

By underlying asset type, index-linked ELS based on overseas and domestic indices accounted for 72.9% of the total issuance amount, or 877.08 billion KRW, while domestic stock-linked ELS based on individual domestic stocks accounted for 18% of the total issuance amount, or 217.23 billion KRW.

ELS based on overseas indices such as S&P 500, HSCEI, and Nikkei 225 were issued at 799.65 billion KRW, 239.16 billion KRW, and 192.82 billion KRW respectively, decreasing by 4.3%, 13.6%, and 13.3% compared to the previous quarter. ELS based on Euro Stoxx 50 and HSI were issued at 813.16 billion KRW and 2.7 billion KRW respectively, increasing by 3.2% and 200% compared to the previous quarter. ELS based on the domestic index KOSPI 200 were issued at 430.37 billion KRW, down 52.7% compared to the previous quarter.

Looking at the ELS issuance status by securities companies, KB Securities issued 1.6063 trillion KRW, the highest issuance volume. The issuance amounts of the top five companies?KB Securities, Samsung Securities, NH Investment & Securities, Shinhan Financial Investment, and Mirae Asset Securities?totaled 6.2612 trillion KRW, accounting for 54.9% of the total issuance amount.

The redemption amount was 769.82 billion KRW, down 68.6% compared to the same period last year (2.45379 trillion KRW). By redemption type, early redemption amounted to 438.57 billion KRW, accounting for 57% of the total redemption amount. Maturity redemption and mid-term redemption amounted to 246.16 billion KRW and 85.09 billion KRW respectively, accounting for 32% and 11% of the total redemption amount.