Friday July 31 2015

News Source: Global Exchanges

Focus: Trading Rules

Type: General




Korea Exchange (KRX) has amended the Disclosure Regulations of KOSPI, KOSDAQ and KONEX markets on 22nd July with the approval of the Financial Services Commission (FSC) as a follow-up of the Regulatory Reform for Corporate Disclosure by the FSC. The new regulations will come into force on 7th September 2015 for the KOSPI and KOSDAQ markets.

Summary of the revised contents of the Disclosure Regulations:

Efficiency Improvement

  • Elimination of disclosure obligations with low necessity (KOSPI and KOSDAQ markets)
  • Lessening of the holding company’s disclosure obligations regarding its subsidiary (KOSPI and KOSDAQ markets)
  • Lessening of the controlling company’s disclosure obligations regarding its subsidiary (KOSPI and KOSDAQ markets)
  • Lessening of the disclosure obligations of small enterprises (KOSDAQ market)
  • Lessening of the qualification requirements for the disclosure officer (KOSDAQ market)

Autonomy Improvement

  • Introduction of the voluntary explanation disclosure system (KOSPI and KOSDAQ markets)
  • Improvements of the operating system for prior confirmation of disclosure (KOSPI market)

Responsibility Improvement

  • Enhancement of the disclosure obligations for investor protections (KOSPI and KOSDAQ markets)
  • Greater responsibility for the disclosure officer (KOSPI and KOSDAQ markets)
  • Secure the effectiveness of disciplinary measure against unfaithful disclosure (KOSPI and KOSDAQ markets)

Support the activation of corporation disclosure

  • Incentives for corporations with outstanding performance in corporate disclosure (KOSPI and KOSDAQ markets)
  • Deregulation of English disclosure for foreign investors (KOSPI and KOSDAQ markets)

Click on the link above for further details.