Major banks in the first half of the year ETF 63trillions of won sold and fees 5,500hundreds of millions of won pocketed

In the first half of this year, major commercial banks were found to have sold exchange-traded funds (ETFs) worth 63trillions of won and generated 5,500hundreds of millions of won in fee income. This figure combines transactions that took place at bank counters and through wealth management channels.

7It was reported that as ETF prices fell sharply in , there were more cases of investors suffering losses. Concern was raised about damage to individual investors, given the large scale of the ETFs sold by banks.

An explanation was also given that with the KOSPI index, which had stood at the start of the year, 4,000the surge in demand for ETFs accelerated as it climbed rapidly to the 8,000level. It was pointed out that large-scale buying in the peak range and the fall in 7were intertwined.

Banks secured fee income through ETF sales, while some complaints over investor losses were reportedly filed. Attention is focusing on the related disclosures and account-by-account profit and loss data.

In the financial authorities' and banks' internal reports, there was mention of the need to verify trading records and profit-sharing structures by sales channel and by product. Those materials form the basis for determining whether investors were harmed.

Detailed breakdowns by bank and by product, as well as profit and loss by investor, are expected to emerge gradually through future disclosures and filings. Market participants are being urged to check the relevant disclosures.