SAMSUNG FUTURES

Introduction

Originally established in 1992, Samsung Futures is the preeminent derivatives brokerage in Korea. Starting initially with a focus on commodity futures, Samsung Futures has been a dominant player in the global Futures & Options market. Because of its association with the Samsung Group, Samsung Futures has a substantial client base of both institutional and high net worth customers. Furthermore, Samsung Futures is a member of Singapore Exchange (SGX), which grants clients access to the largest financial markets in the world.

Timeline of Major Events

1992 - Samsung Futures was founded as First International Futures Inc. with a focus on outbound commodity futures.

1996 - Became a subsidiary of the Samsung Group.

1998 - Secured a domestic futures license in Korea.

2019 - Became a Derivatives Trading Member of SGX, thereby increasing access to global markets.

Major Products & Services

Samsung Futures facilitates trade in domestic and international futures and options, commodity futures, equity derivatives and indexes, currency futures, and individual, institutional and high net worth accounts, as well as offering clients the ability to establish a multi-currency margin account (something not typically available from other Korean Futures brokerage firms).

The Company utilizes both its proprietary web-based trading platform and mobile application, which allow clients to trade in real-time and provides trading analysis via artificial intelligence (AI) tools, to facilitate clients' trading. The AI tools were launched in 2024. Institutional clients use both the research and risk management tools available through Samsung Futures to assist them in their business operations.

Licensing and Regulatory Status

Regulator License Type License Status / Membership

Financial Services Commission (FSC), South Korea F&O Broker Current

Singapore Exchange (SGX) Derivatives Trading Membership Current (as of November 2019)

Currently, there are no licensing obligations for Samsung Futures within Europe or the U.S.

Trading Conditions

Trading Condition Details Notes

Spreads Varies by instrument Not disclosed

Leverage Up to 1:10 domestic; up to 1:20 international Regulatory Limits May Apply

Minimum Deposit KRW 1M ($750 USD) Retail/Limited; KRW 10M ($7,500 USD) Institutional Estimated

Trading Platforms

Platform Feature Details Availability

Proprietary Web Based System Real-Time Data/Advanced Analytical Tools Yes

Mobile Application Order Execution/A.I. Analytics - IOS / Android No

Risk Tools Stop-Loss Orders; Margin Alerts; Multi-Currency Margin Accounts Yes

Market Data Real-Time Feed from Market Yes

Fee Schedule

Fee Type Details (KRW - USD)

Commission - Varies by Instrument 0.01% - 0.05%

SGX Trading Fee Per recorded contract traded SGD 0.50 - 1.50

Domestic Clearing Fees Per contract KRW 5,000 - 10,000

Market Data Monthly Subscription Fee KRW 10,000 - 20,000

Deposit Fees International Wire Transfer KRW 10,000 - 20,000 ($7.50 - $15.00)

Withdrawal Fees International Wire Transfer KRW 20,000-30,000 ($15.00-$22.50)

Inactivity Fee After 12 Months of Inactivity KRW 10,000 ($7.50) Monthly

Account Maintenance Fee Monthly KRW 5,000 ($3.75)

Early Termination Fee One-Time Payment KRW 50,000 ($37.50)

User Experience and Reputation

Strengths

Strong Corporate Brand of Samsung

Global Trading Access, SGX Access

Well-Established Research and Consulting Services

Weaknesses

Retail Clients indicate that Samsung Futures is not as easy to use as some of its International Competitors.

Clients indicate that trading costs and conditions are confusing.

Upcoming Developments

With the introduction of AI products in 2024, Samsung Futures will expand its offerings of products and services on SGX. Samsung Futures will increase the number of International Clients it serves by 20% by 2025.

Samsung Futures implemented an upgrade of its Risk Management Systems as required under the new FSC Risk Management Regulations.

Summary

Samsung Futures has established itself as an industry leader by providing high-quality service to Institutional Clients. In terms of convenience, the SGX membership, ability to create multi-currency margin accounts, and significant investment in both mobile and web trading applications make Samsung Futures the ideal choice for sophisticated and institutional traders.