Financial Supervisory Service Launches Official Operation of Improved English Electronic Disclosure System... "Expecting to Resolve Korea Discount"

The Financial Supervisory Service (FSS) announced on the 30th that it will improve and operate the English electronic disclosure system (DART) to enhance foreign investors' accessibility to the capital market. The improved English electronic disclosure system will be officially launched from the 31st.

So far, the lack of diversity and accessibility in English disclosures compared to major countries has acted as a factor undervaluing the domestic stock market. Accordingly, the FSS, the Financial Services Commission, and the Korea Exchange have prepared a phased expansion plan for English disclosures and started improving the English electronic disclosure system.

Through this improvement, company names, report titles, and attachment file names will be automatically converted into English in real-time, and an English search function by item will be provided in the English electronic disclosure system. However, similar to Japan's English electronic disclosure method, the disclosure content that companies must prepare will be provided in Korean, but foreign investors will identify disclosure facts through English report titles and use translation tools to check the disclosure content.

Additionally, the scope of companies subject to inquiry will be expanded from the existing KOSPI and KOSDAQ listed companies to all corporations submitting disclosure documents to the electronic disclosure system.

Moreover, the XBRL viewer, which previously only allowed simple inquiries of English account titles and amounts in the XBRL financial statement body, will be improved to enable inquiries of various attribute values. An annotation inquiry function will be installed in the English electronic disclosure system, and when XBRL annotations are submitted in the future, they will be provided with real-time English conversion. XBRL stands for eXtensible Business Reporting Language, an international standard computer language for financial reporting created to facilitate the generation, reporting, and analysis of corporate financial information.

The FSS expects that through this improvement, foreign investors will be able to immediately confirm the occurrence of statutory disclosures by companies in English, thereby enhancing the timeliness of disclosure information. Investors will be able to check and conveniently analyze companies' financial statements in English immediately upon disclosure, reducing information asymmetry. Foreign investors will also be able to additionally inquire about KONEX, unlisted company disclosures, and Korea Exchange English disclosures, improving information search efficiency.

An FSS official stated, "We plan to continuously advance the English disclosure service and expand the infrastructure," adding, "We will provide integrated services including automatic English conversion disclosures from the exchange in the English electronic disclosure system."

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