Kiwoom Securities 3970th ELS Issuance: Only 8.2% Subscribed vs Plan, High-Risk Structure

Kiwoom Securities issued the 3970th ELS linked to KOSPI200, S&P500, and EuroStoxx50, but actual funds raised were only 811.8 million won (8.2%) against a planned total of 9.9 billion won.
The security is a non-listed, high-difficulty financial product (Grade 2, high risk) with potential principal loss exceeding 20%.
Auto-call conditions: 1st (6 months) ≥80%, 2nd-4th (12-24 months) ≥75%, 5th (30 months) ≥70%; pre-tax yields range from 5.6% to 11.2% annualized.
At maturity, if all three indices are at least 60% of initial, pay 133.6% of principal; if any index falls below 60%, principal loss based on worst performer.
The issuance may be canceled if total subscription is less than 1 billion won (condition met as actual is below 1 billion).
Proceeds will be used for hedging transactions to manage payment obligations.

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