MSCI Points Out Lack of Market Accessibility in Korean Stock Market

Uncertain Inclusion in the Advanced Countries Index

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Hyunji Kwon] The Korean stock market is expected to face difficulties in being included in the developed market index as it did not receive a high score in the market accessibility evaluation conducted by the global stock index provider Morgan Stanley Capital International (MSCI) on the 10th.
MSCI published the results of the market accessibility evaluation by country on its website that day. Regarding the Korean stock market, issues were pointed out such as lack of information accessibility including English materials for foreign investors, limited short selling on KOSPI 200 and KOSDAQ 150 companies, and restrictions on access to domestic and foreign foreign exchange markets.

Considering that this evaluation serves as a preliminary assessment ahead of the determination of market status for various countries' stock markets at the end of this month, it seems unlikely that the Korean stock market will be included in the developed market index. MSCI will reclassify developed and emerging markets on the 24th and decide on inclusion in the developed or emerging market indices. Korea is currently included in the emerging market index.

If inclusion in the developed market index fails this time, the opportunity will be postponed until June next year.

This content was produced with the assistance of AI translation services.