South Korea unveils measures aimed at boosting stock markets, tackling 'Korea discount'

South Korea’s financial regulatory body has introduced measures to improve corporate governance and boost its undervalued local markets. The “Corporate Value-up Program” aims to prioritize shareholder returns through incentives like tax benefits. It also encourages listed companies to set up and disclose valuation enhancement plans. The program follows Japan’s approach, which has led to record highs in Tokyo’s markets. The Financial Services Commission plans to introduce the “Korea Value-up Index” for institutional investors and list ETFs that track the index. Detailed guidelines will be finalized, and a dedicated web portal will be set up in June.