Korea Financial Supervisory Authority once again warns of risks of over-leveraged investment

Lee Chan-jin, President of the Korea Financial Supervisory Authority, once again clearly warned at the third consumer risk response agreement meeting held yesterday that "leveraged investment is spreading to the entire financial industry and may seriously damage the financial integrity of households." Li Canzhen emphasized that when household financial assets are excessively concentrated in specific assets, or when leveraged investments exceed their affordability, they not only face huge losses risks, but also seriously weaken the overall financial health of the family. In addition, Li Canzhen requires financial companies to fully explain the structure and risks of leveraged investment throughout the entire process of designing, manufacturing and selling financial products, and strictly manage and avoid sales behaviors that induce "borrowing money to invest".