Photo : YONHAP News
An index developed to address domestic companies’ undervaluation on the stock market, often referred to as the “Korea discount,” will be introduced Monday.
On Tuesday, the Korea Exchange announced details about the “Korea Value-up Index.”
The securities exchange operator said the envisioned index will be made up of 100 listed companies that rank within the top 400 in terms of market value on the main stock exchange and KOSDAQ and have a market capitalization of at least 500 billion won, or $374.2 million.
Such companies must also meet various conditions, including profitability, market valuation, capital efficiency and market representativeness.
The operator added that index futures and exchange-traded funds that track the new index will be listed in November.