Seoul: The issuance of derivatives-linked securities (DLS) in South Korea experienced a significant increase of 40 percent in 2025 compared to the previous year, as indicated by industry data released on Monday.

According to Yonhap News Agency, the total value of DLS issued last year reached 25.7 trillion won (approximately USD$17.5 billion), marking a 39.7 percent rise from 18.4 trillion won in 2024. DLS are financial instruments that track the performance of interest rates, currency values, and other underlying assets, offering potentially high returns for investors willing to take on more risk.

The data highlighted that DLS tracking interest rates dominated the market, comprising 77.5 percent of the total issued. Meanwhile, credit-linked DLS products made up 10.9 percent, and those tracking currency exchange rates accounted for 7.9 percent of the issuance.

Additionally, the value of redeemed DLS products last year increased by 25.7 percent year-on-year, reaching 19.9 trillion won. By the end of 2025, the outstanding value of DLS products was reported to be 38.1 trillion won, reflecting a 16.7 percent growth from the previous year.