CEO of KRX promises to take action against unfair trading

The leader of Korea’s main stock exchange has committed to cracking down on unfair trading practices and prioritizing the interests of shareholders.

Jeong Eun-bo, the Chairman of the Korea Exchange, emphasized the need to address illegal trading activities and increase shareholder value. He stated that Korea’s capital market is currently in a crucial phase of transitioning into an advanced market. Jeong expressed the commitment to shape the market environment to establish a ‘Korea premium’ rather than a ‘Korea discount,’ signifying an undervaluation of the Korean stock market.

At the Korea Capital Market Conference in Seoul, attended by representatives from domestic and international financial firms like Goldman Sachs and Nasdaq, Jeong outlined the KRX’s support for the government’s initiative to enhance market value. The Chairman mentioned facilitating dialogue between businesses and investors as part of these efforts.

To combat market manipulation, Jeong highlighted collaborations with regulatory bodies to enhance the KRX’s surveillance systems. Additionally, the KRX intends to strengthen its delisting standards to ensure market transparency and integrity.

During the conference at the Westin Josun Hotel in Jung-gu district, Seoul, which attracted around 1,000 participants, including institutional investors, industry representatives, and individual investors, Jeong opened the event with remarks. The conference featured speeches from prominent figures like NYSE Vice Chairman Michael Harris, Financial Services Commission Chairman Lee Ok-won, and National Policy Committee party secretaries Kang Jun-hyeon and Kang Min-guk.

Chairman Jeong emphasized measures to improve the IPO market integrity, such as extending mandatory lock-up requirements for institutional investors and reinforcing lead managers’ responsibilities. The KRX will also focus on simplifying delisting criteria to prevent disruptions caused by financially unstable companies.

The commitment to cracking down on unfair trading practices and enhancing shareholder value showcases the Korea Exchange’s dedication to fostering a fair and transparent market environment. The efforts to strengthen surveillance systems, facilitate dialogue between corporations and investors, and enhance market transparency through tightened delisting standards demonstrate the KRX’s commitment to upholding the integrity of Korea’s capital market.