Regulatory Alerts2026-07-28 | 87421Added · Updated
Draft Standards for Publishing List of Companies with Low Price-to-Book Ratios
The Financial Services Commission and the Korea Exchange introduce draft standards requiring the annual publication of a list of companies with low price-to-book ratios on the first trading days of May and November. In the KOSPI market, companies ranking in the bottom 25 percent for six consecutive semi-annual periods will be listed, while those in the KOSDAQ market falling in the bottom 10 percent for the same duration face the same designation. Companies may secure a one-year exemption by disclosing corporate value enhancement plans, though this relief is denied if they remain in the bottom brackets for twelve consecutive periods. The revised rules are scheduled for public comment from August 5 to 24, with the first list expected to be published on November 2.