Korea / Special Situations, Clepsydra Capital

Sanghyun Park

Korea / Special Situations

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

Korea Stock Exchange KOSPI 200 / Event-Driven

<ul>
<li>The remaining third of Korea's local securities lending market is moving to digital, potentially sparking a whole new trading landscape.</li>
<li>Integrating EquiLend with local platforms boosts post-short-selling volume and shifts a large portion of manual trades into the digital space.</li>
<li>This could spark new algo trading strategies, and with short selling resuming March 31, we’ll need to track how the flow evolves.</li>
</ul>


The remaining third of Korea's local securities lending market is moving to digital, potentially sparking a whole new trading landscape.
Integrating EquiLend with local platforms boosts post-short-selling volume and shifts a large portion of manual trades into the digital space.
This could spark new algo trading strategies, and with short selling resuming March 31, we’ll need to track how the flow evolves.


EquiLend Gets in on Korea’s Securities Lending Digital Shift: Trading Impact

Equity Derivatives and Volatility Specialist, Clifton Derivatives

John Ley

Equity Derivatives and Volatility Specialist

Clifton Derivatives

Independent derivative and volatility research firm focusing on events/catalysts, earnings, relative value and cross asset volatility strategies.

Equity Derivatives

Korea Stock Exchange KOSPI 200 / Equity Derivatives

<ul>
<li>Very low volatility rally with Kospi up 2.63% but still 7% below the 52-week high.</li>
<li>Implied vols moving in opposition to the rally, dropping 1 point on the week.  </li>
<li>Call volumes rebounded significantly with the most active Call strike trading more than twice as much as the most active Put strike.</li>
</ul>


Very low volatility rally with Kospi up 2.63% but still 7% below the 52-week high.
Implied vols moving in opposition to the rally, dropping 1 point on the week.  
Call volumes rebounded significantly with the most active Call strike trading more than twice as much as the most active Put strike.


Kospi Index Options Weekly (February 10 – 14): Call Volumes Rebound

<ul>
<li>December seasonals across major markets show a generally positive profile, but the path is uneven, with most gains clustering in the final days of the month.</li>
<li>Several markets offer appealing vol selling setups, particularly those with consistently positive December vol premiums and elevated implied levels relative to past outcomes.</li>
<li>Nifty vol appears attractively priced, but its tendency not to monetize in December requires traders to think differently about how they extract value.</li>
</ul>


December seasonals across major markets show a generally positive profile, but the path is uneven, with most gains clustering in the final days of the month.
Several markets offer appealing vol selling setups, particularly those with consistently positive December vol premiums and elevated implied levels relative to past outcomes.
Nifty vol appears attractively priced, but its tendency not to monetize in December requires traders to think differently about how they extract value.


Macro Monthly (December): Seasonal Strength, Vol Selling Edges and a Notable Nifty Setup

<ul>
<li>Implied vols rose 2.22 points in Monday’s sell off but round-tripped on the week, giving all the gains back by Friday. </li>
<li>Rough start to the week amid tariff talk, Kospi dropping 2.64%.</li>
<li>At this level we expect implied vol to remain more reactive to price shocks than we have seen over the past two months.</li>
</ul>


Implied vols rose 2.22 points in Monday’s sell off but round-tripped on the week, giving all the gains back by Friday. 
Rough start to the week amid tariff talk, Kospi dropping 2.64%.
At this level we expect implied vol to remain more reactive to price shocks than we have seen over the past two months.


EQD | Kospi Index Options Weekly (February 03 – 07): Implied Vol Does a Roundtrip

<ul>
<li>Kospi200 has stalled out gaining only 50bps on the week after taking the gain on the month to 5.9%.</li>
<li>Implied vols have flat-lined with spot grinding out gains and historic vols bracketing implied.</li>
<li>We highlight the positive seasonality heading into Lunar New Year.</li>
</ul>


Kospi200 has stalled out gaining only 50bps on the week after taking the gain on the month to 5.9%.
Implied vols have flat-lined with spot grinding out gains and historic vols bracketing implied.
We highlight the positive seasonality heading into Lunar New Year.


EQD | Kospi Index Options Weekly (January 20 – 24): Stalled Rally, Flat Implied Vol

South Korea

The KOSPI 200 Index is a capitalization-weighted index of 200 Korean stocks which make up 93% of the total market value of the Korea Stock Exchange. The index was developed with a base value of 100 as of January 3, 1990.

Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

EquiLend Gets in on Korea’s Securities Lending Digital Shift: Trading Impact

Word is just out that EquiLend gets in on the digital shift in Korea’s local securities lending market: What it means for trading.

Sanghyun Park

Kospi Index Options Weekly (February 10 – 14): Call Volumes Rebound

The Kospi has low volatility rally, with implied vols dropping. Call volumes rebound significantly with the most active strike trading twice as...

John Ley

Macro Monthly (December): Seasonal Strength, Vol Selling Edges and a Notable Nifty Setup

December’s uneven but historically positive pattern sets the backdrop, with several markets offering strong vol selling edges and Nifty presenting...

John Ley

EQD | Kospi Index Options Weekly (February 03 – 07): Implied Vol Does a Roundtrip

Implied vols spiked during Monday's sell off but returned to previous levels by Friday. Implied volatility expected to continue to be more...

John Ley

EQD | Kospi Index Options Weekly (January 20 – 24): Stalled Rally, Flat Implied Vol

Kospi200 sees minimal weekly gains as implied vols remain stagnant, but positive seasonality expected with Lunar New Year approaching.

John Ley

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

EquiLend Gets in on Korea’s Securities Lending Digital Shift: Trading Impact

Word is just out that EquiLend gets in on the digital shift in Korea’s local securities lending market: What it means for trading.

Sanghyun Park

Kospi Index Options Weekly (February 10 – 14): Call Volumes Rebound

​The Kospi has low volatility rally, with implied vols dropping. Call volumes rebound significantly with the most active strike trading twice as...

John Ley

Macro Monthly (December): Seasonal Strength, Vol Selling Edges and a Notable Nifty Setup

December’s uneven but historically positive pattern sets the backdrop, with several markets offering strong vol selling edges and Nifty presenting...

John Ley

EQD | Kospi Index Options Weekly (February 03 – 07): Implied Vol Does a Roundtrip

​Implied vols spiked during Monday's sell off but returned to previous levels by Friday. Implied volatility expected to continue to be more...

John Ley

EQD | Kospi Index Options Weekly (January 20 – 24): Stalled Rally, Flat Implied Vol

​Kospi200 sees minimal weekly gains as implied vols remain stagnant, but positive seasonality expected with Lunar New Year approaching.

John Ley

The Kospi has low volatility rally, with implied vols dropping. Call volumes rebound significantly with the most active strike trading twice as...

Implied vols spiked during Monday's sell off but returned to previous levels by Friday. Implied volatility expected to continue to be more...

Kospi200 sees minimal weekly gains as implied vols remain stagnant, but positive seasonality expected with Lunar New Year approaching.