Amid Market Crash and Leveraged ETF Controversy... Financial Supervisory Service Chief Faces an Uncomfortable Summer Vacation Next Week

Five Days Off to Encourage Employee Vacations
Effectively "On Standby" as He Monitors Issues from Home

Chanjin Lee, Governor of the Financial Supervisory Service, will be taking a five-day summer vacation next week. With rising market instability, such as the KOSPI threatening to drop below 6,000 points, and controversy brewing over single-stock leveraged ETFs for Samsung Electronics and SK hynix, this summer break is shaping up to be one of the most stressful Lee has faced since assuming his position as the financial regulator's chief.

Chanjin Lee, Governor of the Financial Supervisory Service

According to financial authorities on July 29, Lee is planning to take his summer vacation from August 3 to August 7. Rather than traveling to a separate vacation spot, he is expected to stay at home and rest.

An official from the Financial Supervisory Service commented, "Governor Lee set his vacation schedule as a way to lead by example and encourage employees to use their summer vacation days," adding, "Even during his vacation, he is expected to keep up with major ongoing issues from home."

This summer break coincides with the most challenging moment facing the financial authorities this year. As the KOSPI has plunged nearly 30% in the past month and concerns mount that the so-called ‘Samsung Electronics & SK hynix Leveraged ETF’ has heightened volatility, the responsibilities of the financial regulators regarding product launches and post-management oversight have come under increased scrutiny. Although the decision to take time off took into account that employees might hesitate to use their vacation if the head delays his own, with market fears running high, Lee’s holiday is expected to be more of ‘on-call work’ than true time off.

Accordingly, it is reported that Lee might return to the office during his vacation if needed, or flexibly adjust his holiday schedule as circumstances demand.

Previously, at the end of February, when the Middle East war broke out and market volatility increased in March, Lee held daily virtual meetings with executives during a business trip to Europe to monitor the situation. There is a strong possibility he will keep close tabs on the market during this summer break as well, regularly receiving updates on major issues.

Lee Eokwon, Chairman of the Financial Services Commission, Yonhap News Agency

Meanwhile, Lee Eokwon, Chairman of the Financial Services Commission and another key figure in financial regulation, has postponed his summer break altogether. He originally planned to take a two-day vacation on the 27th and 28th, coinciding with the President's overseas schedule, but called it off due to a surge of major pending issues, including real estate finance policy and preparations for additional measures related to the Samsung Electronics & SK hynix Leveraged ETF. With numerous matters requiring coordination, he reportedly has not been able to reschedule his vacation yet.

As the top policymaker overseeing financial policy, Lee shoulders even greater responsibility. The Financial Services Commission is prioritizing the rollout of a revised real estate loan policy, slated for announcement next week, focused on supplementary measures for end-user loans and collective loan regulations. Furthermore, while continuing to pursue real estate finance policy as a priority, the long-awaited reform of financial company governance—which had been set aside—will also soon be unveiled, suggesting he will remain focused on policy responses for the foreseeable future.

This content was produced with the assistance of AI translation services.