"Excessive Stock Market Fall"... Financial Authorities Execute 200 Billion Funds for Value-Up Funds

The financial authorities have decided to start executing 200 billion won worth of value-up funds this week and push for the creation of an additional 300 billion won fund.

The financial authorities held a meeting to check the stock market situation with the Korea Exchange and market experts, and announced such countermeasures, saying that the recent fall in the domestic stock market is excessive.

Kim Byung-hwan, chairman of the Financial Services Commission, said he will closely monitor market trends with high alertness, and asked related organizations to speed up the execution of value-up funds.

Financial Supervisory Service Director Lee Bok-hyun said he would prepare to block market instability early through sufficient and immediate action, and would sternly punish unfair trade taking advantage of market instability.

Related agencies and market experts analyzed that the continued so-called Trump trade betting on Trump after the U.S. presidential election has concentrated investment funds in the U.S. and increased volatility in the stock market.

Participants agreed that institutional investors need to make investment decisions from a mid- to long-term perspective and play a more active role in the domestic stock market as foreign investors have high volatility in supply and demand.