New Regulatory Changes Allowing ETF Investment in Real Estate and REITs

The Financial Services Commission has announced recent amendments permitting Exchange Traded Funds (ETFs) to invest in real estate and REIT indirect funds, effective from the 18th. These regulatory changes aim to provide investors with broader options, particularly in tangible assets like real estate, while incorporating mechanisms to prevent excessive fee structures. In addition, to enhance transparency in dealing with real estate and infrastructure assets, the regulation has strengthened asset evaluation processes, mandating annual fair value assessments by independent external agencies.
To prevent overly complex product structures, the government has limited investment to within three tiers, a measure expected to boost investor confidence. Another critical aspect of the amendment involves strengthening the appraisal standards of alternative investment assets, set to be implemented six months later. This will allow investors to make more informed decisions with reliable evaluation data.
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Indirect Investment in Real Estate and REITs ETFs Allowed from This MonthTo expand choices for investors interested in real assets such as real estate, exchange-traded funds (ETFs) are...
Financial Services Commission Allows Real Estate Indirect Investment in ETFs… Enhances Evaluation of Alternative Investment Assets - Metro News - Valuable Information for the Middle Class and CitizensThe government has decided to allow indirect real estate investment through Exchange-Traded Funds (ETFs) and to enhance the evaluation of assets in real estate and infrastructure alternative investment funds. The Financial Services Commission announced on the 11th that it passed amendments to the 'Enforcement Decree of the Financial Investment Services and Capital Markets Act' and the 'Financial Investment Business Regulations' during a cabinet meeting. The new amendments include
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ETF, Real Estate Indirect Investment Fund Investment Allowed... Evaluation of Alternative Investment Assets Strengthened - Financial News(Seoul=News1) Reporter Shin Geon-woong = Investment in real estate indirect funds by Exchange-Traded Funds (ETFs) is permitted, and the evaluation of alternative investment assets is strengthened. The Financial Services Commission announced on the 11th that the amendment to the 'Enforcement Decree of the Capital Market and Financial Investment Business Act' and the 'Financial Investment Business Regulations' has been completed. The current capital market...