South Korea temporarily bans stock short selling, Investing.com reports

[ad_1]


©Reuters

According to Lanya

Investing.com – South Korea’s Financial Services Commission (FSC) said it will temporarily ban stock short selling until early July 2024, Yonhap News Agency reported. This is a move to prevent illegal short-selling activities by global investment banks.

The FSC press release on November 5 stated that the ban will be effective from November 6, 2023 to July 1, 2024.

Leading officials of the committee said the decision was made due to concerns that increased market volatility and illegal short selling could destabilize the market and affect the formation of fair prices.

Last week, the FSC announced plans to set up a task force to investigate illegal short-selling activities at all investment banks around the world.

This comes after financial regulators found two foreign investment banks short-selling 56 billion won ($42.7 billion) worth of stocks, knowing they could not borrow the shares.

The FSC said the South Korean government will seek to establish a system by the end of June 2024 to prevent illegal short selling.

South Korean President Yoon Suk Yeol’s office reacted to the FSC’s Nov. 5 announcement, saying leaders consider illegal stock short selling to be a serious “social evil.”

President Yoon Seok-yeol believes that it is necessary to upgrade institutional measures to prevent and punish these behaviors to protect all investors in the Korean stock market, including 14 million individual investors.

He confirmed that the Korean government will do its best to ensure fair market access and protect genuine investors.

[ad_2]

Source link

Related Posts

NEAR and Polygon collaborate on zero-knowledge proof innovation

[ad_1] The NEAR Foundation has partnered with Polygon Labs to develop zkWASM, a cutting-edge zero-knowledge solution that enhances the interoperability and security of WASM chains. The NEAR…

Amazon, Olympus challenges OpenAI, Microsoft’s AI dominance

[ad_1] Amazon, Olympus challenges OpenAI, Microsoft’s AI dominance AmazonThe world’s largest online retail and technology provider, through its web services arm AWS (Amazon Web Services), recently revealed…

Financial giant Fidelity responds to 9 common misconceptions and criticisms about Bitcoin

[ad_1] Financial services giant Fidelity has addressed nine common criticisms and misconceptions about Bitcoin, highlighting that some of them are “unfounded or unlikely to be…

Third-quarter profits lower, revenue higher, according to Investing.com

[ad_1] ©Reuters. Lyft reports: Third-quarter profits down, revenue up Investing.com – Lyft (NASDAQ: ) on Wednesday reported third-quarter results that missed analysts’ expectations and revenue that beat…

CEHV partners say future uncertain during Genesis shutdown

[ad_1] Many analysts are speculating on the outcome of the spot Bitcoin ETF race, and CEHV partner Adam Cochran shared his views in a Nov. 8 X…

Second-quarter profits lower, revenue higher, according to Investing.com

[ad_1] ©Reuters. Take-Two reports: Second-quarter profits fall, revenue rises Investing.com – Take-Two (NASDAQ: ) on Wednesday reported second-quarter results that missed analysts’ expectations and revenue that beat…

Trả lời

Email của bạn sẽ không được hiển thị công khai. Các trường bắt buộc được đánh dấu *