Meritz Securities said on the 24th it will launch nine mobile trading system (MTS)-exclusive equity-linked securities (ELS).
First, Meritz Super ELS No. 183 is a financial product that pays up to 10.56% per year in revenue when conditions are met. KOSPI 200, Nikkei 225, and Euro Stoxx 50 were set as the underlying assets.
After subscription, from three months later for three months each month (the 3rd, 4th, and 5th months) early redemption opportunities are granted, and after that, the structure evaluates redemption every six months, similar to a typical ELS product. It has the advantage of enabling faster early redemption, and the maturity is set at three years.
Even if early redemption is not achieved, if on the maturity evaluation date the closing prices of all underlying assets are at or above the maturity barrier, or if none of the underlying assets has ever fallen below 50% of the knock-in barrier, the total three years of interest and principal can be received.
However, if on the maturity evaluation date the closing price of an underlying asset is below the maturity redemption barrier and any one of the underlying assets has fallen below the knock-in barrier during the investment period, a loss of principal may occur, and a total loss is also possible.
Meritz Securities also launched four stock-type ELS that set U.S. stocks Tesla, Palantir, and Micron, among others, as underlying assets, and four index-type ELS that use three of KOSPI 200, Nikkei 225, S&P 500, and Euro Stoxx 50 as underlying assets.
It prepared a product lineup with various structures, including a monthly payment type that pays contracted revenue every month and a lizard type that grants additional early redemption opportunities.
In particular, for the overseas stock-type products (Nos. 187–190), Meritz Securities said it enhanced both investment stability and product appeal by setting the knock-in barrier low, from a minimum of 25% to a maximum of 35%.
The minimum subscription amount for these nine ELS is 100,000 won, and the subscription deadline is by noon on Jan. 5 next year.
A Meritz Securities official said, "If you invest through a brokerage-type individual savings account (ISA), a portion of the net profit can be exempt from taxation, and amounts exceeding the tax-exempt benefit are subject to separate taxation at a low rate," and added, "We will provide an investment environment so that customers can enjoy tax-saving benefits."