Hanwha Investment & Securities will offer 11 ELS products worth a total of 55 billion KRW from June 1 to 11, 2026. The payment date is June 12, and all issues are unlisted.
All ELS are principal-protected (non-principal-guaranteed) high-difficulty financial investment products, where losses exceeding 20% of the principal may occur due to underlying asset price fluctuations, and they are not covered by the Depositor Protection Act.
Underlying assets include KOSPI200, HSCEI, S&P500, Nikkei225, EuroStoxx50, Tesla common stock, Samsung Electronics, SK Hynix, Micron Technology, Palantir, and AMD, among others.
Each ELS has monthly coupon payment, auto-call, and maturity redemption conditions. Simulations show high probabilities of early redemption, but some products have loss probabilities ranging from 1% to 16%.
The issuer's credit rating is AA- (NICE Ratings, Dec 5, 2025). These securities rank equally with other unsecured and unguaranteed obligations, implying principal loss risk in case of the issuer's financial deterioration.
For early redemption, the issuer will purchase at 95% or more of fair value (90% or more within 6 months of issuance), but principal loss may still occur, and liquidity is limited.
As of end-March 2026, the issuer's outstanding derivative-linked securities totaled 436.8 billion KRW (ELS 183.7 billion, DLS 0.2 billion), with a credit equivalent amount of 98.9 billion KRW.
[AI Comprehensive Analysis]This disclosure represents routine ELS issuance by Hanwha Investment & Securities, a neutral event for corporate value. However, given the high-risk nature of these products, attention to investor protection and the issuer's risk management capabilities is warranted. Considering the issuer's sound financial standing (AA- rating), short-term stock price volatility is expected to be limited.