KOREA CAPITAL MARKET INSTITUTE

Capital market liberalization and regulatory reform for the past decade has led to a drastic change in the business environment for global bourses. Global markets such as the US and Europe began to recognize various forms of trading platforms through Reg NMS and MiFID, respectively, which triggered market competition. Competition between trading markets has become even more intensified in the course of the development of financial IT technologies enabling low fees, diversified trading services, and the distribution of alternative trading systems. To survive the competition, global exchanges have sought consolidation through a wide array of strategic alliances and mergers, and flexibly transformed their organizational structure during the process.

In contrast to such a megatrend, the Korea Exchange appears to take a step back from the changes. Korea’s weak alliance with global competitors has brought concerns about isolation. Another criticism is about the KRX’s organizational structure hindering competition and support to SMEs. 

Through this policy seminar titled “The Direction of Exchange Market Reform for Enhanced Efficiency”, Korea Capital Market Institute analyzes the competition environment where global exchanges are transforming themselves to survive, and examines the need for Korea’s exchange market reform, and the desirable direction. We ask for your support and participation to help Korea’s exchange market reform achieve intended policy objective of enhancing market efficiency and nurturing SMEs and venture companies.