The Korea Exchange (“KRX”) adjusts margin rates of some of its derivatives products including KOSPI 200 Futures and KOSPI 200 Options from October 11, taking into account the features and recent price volatilities of the underlying assets.
The adjustment is made following Guideline for Derivatives Margin Rate Management which was introduced last July for timely adjustment of margin requirements based on price volatility of underlying assets and consistent management of the margin system. While the margin rate for KOSPI 200 Futures, KOSPI 200 Options, 3-yr KTB Futures, 5-yr KTB Futures and Lean Hog Futures is to be lowered, the rate for JPY Futures is to be raised. The new margin rates will be applied to the products right after regular trading hours on October 8, the last trading day before the adjustment takes effect. Details on the rate change, please find attached. (KRX)