South Korea to require mock trading before retail investors can touch leveraged ETFs

South Korea’s financial regulators have decided that if retail investors want to trade leveraged products, they’re going to have to earn the privilege. Starting August 19, 2026, first-time investors looking to trade single-stock leveraged ETFs and ETNs must first complete a mandatory mock trading course, pass educational requirements, and park a minimum of 30 million won (roughly $21,000) in cash before placing a single real order. What the new rules actually require The Financial Services Commission and the Korea Exchange designed the requirements with a clear goal: slow people down before they lose their shirts. New retail investors must complete at least five trading days of simulated trading on the KRX platform, logging a minimum of one hour per session. That’s five separate days, not five hours crammed into a single afternoon. On top of the mock trading, investors must sit through three hours of educational training. The curriculum focuses on the mechanics of leveraged products, including the negative compounding effects that can erode returns even when the underlying stock moves sideways. The rally, the frenzy, and the reckoning The Kospi index surged 76% in 2025, powered by ...