Korea DLS issuance more than halved in 2020

The issuance of derivatives-linked securities (DLS) in South Korea in 2020 has fallen to a five-year low, at KRW7.9 trillion (US$7bn), down 55.1% year-on-year (YoY). In the meantime, derivatives-linked bonds (DLBs) reached a five-year peak at KRW14.4 trillion, up 23.1%. Together they represented a decrease of 23.9% YoY as the autocallable payoff was hit hard by the Covid-19 related sell-off and a series of new rules on DLS gradually came into effect, according to data from the Korea Securities