00:02t plus one settlement is coming to korea's equity markets official roadmap out 2028 target confirmed
00:11that means stock sale proceed hit accounts the next business day not two days later from the
00:18etf space today one s p 500 tracking fund returned positive 4.19 over the past year a passive
00:27benchmark rival tracking the same index lost 5.69 the gap 8.88 percentage points is not noise
00:37it's big tech mna exposure doing the work separately time folio asset management korea's leading active
00:45etf manager is heading to the u.s market it's tuesday november 3rd here's what investors are
00:52watching in korea today korea's financial regulators published the t plus one settlement roadmap this
00:59week targeting 2026 legislation and full 2028 implementation for cos p and co-stock the shift
01:08will compress margin deposit windows tighten dividend record dates and require brokerages and custodians
01:15to overhaul back office processing separately tiger time folio smp 500 an active korean etf with tilt
01:24toward u.s big tech deal participants returned positive 4.19 percent over the past year versus
01:32negative 5.69 percent for a passive smp 500 index etf here's what the numbers show t plus one implementation
01:42in 2028 cuts the current two-day settlement lag on korea's exchanges aligning the market with major
01:49developed market clearing infrastructure under the new framework margin deposit deadlines shift from t plus
01:56three to t plus two and dividend record dates move from d minus two to d minus one brokerages have
02:04two
02:05years 2026 to 2028 to upgrade back office systems regulators call the timeline sufficient buy-side
02:13compliance teams call it aggressive the 4.19 versus negative 5.69 performance gap between korean listed
02:23smp 500 etfs reflects overweight exposure to u.s big tech companies involved in major m&a deals over the
02:32past
02:3212 months separately time folio asset management announced formal plans to enter the u.s market
02:38targeting retail and institutional channels with regulatory filing timelines to be disclosed in the
02:45coming weeks so what does this mean for investors and market participants watching korea earlier we said
02:52that etf gap is not noise here's what that actually means for you for active traders t plus one eliminates
03:00the
03:00two-day reinvestment lag but the compressed margin timeline means brokerages will likely raise minimal
03:07deposit thresholds before 2028 and that is a cost worth pricing in now the 8.88 point etf spread is
03:16a live
03:17signal in this market factor bets inside passive index wrappers are outperforming pure passive and that gap
03:25may persist as long as big tech mna consolidation continues watch korea exchange public comment
03:32sessions on t plus one implementation in h1 2027 custodian pushback on the timeline could delay the 2028
03:41target watch time folio's regulatory filing with u.s authorities approval timing will indicate whether korea's
03:49active etf brand can build institutional traction outside domestic retail watch big tech mna activity
03:57the time folio performance premium is factor driven a slowdown in u.s tech deal flow would test whether
04:04the 8.88 spread is structural or cyclical that's today's ai prism securities daily this episode was
04:13produced with ai assistance based on sole economic daily reporting and reviewed by a human editor ai prism
04:20is a juan ifra award-winning series we'll be back tomorrow
