"The management rights of corporations are not rights but heavy obligations to the company and its shareholders."
Lee Bok-hyun, head of the Financial Supervisory Service, noted this on the 5th at the 'Open Discussion for the Activation of the Korean Stock Market' held at the Korea Exchange in Yeouido, Seoul.
Attendees at the forum included Seo Yu-seok, president of the Korea Financial Investment Association, Park Se-young, executive director of Nomura Securities, Lee Jin-young, deputy minister of NH-Amundi Asset Management, Cheon Jun-beom, vice president of the Korea Corporate Governance Forum, Ahn Soo-hyun, professor at Hankuk University of Foreign Studies Law School, and Park Hoon, professor at the University of Seoul.
Lee emphasized, "The conflicts between controlling shareholders and minority shareholders that emerged during last year's merger and public offering process showed that unilateral decision-making by management is no longer acceptable." This means that investors' trust derives from transparent management and communication. He urged corporations to actively reflect shareholders' voices in the decision-making process beyond formal information provision.
He also highlighted the importance of long-term investment. Lee stated, "For funds to remain in our capital market in the long term is an essential element for a virtuous cycle of market stability and the increase of investor wealth." He added, "As the youth's exit from the domestic stock market is deepening, the growth potential of the Korean stock market is being threatened," and said, "We will establish concrete countermeasures."
Lastly, he stated that he would swiftly implement capital market reforms without missing the opportunity. Lee noted, "Amendments to laws aimed at protecting shareholder interests and improving corporate governance must yield results promptly," adding, "We will focus our supervisory capabilities on strengthening responsible management and protecting shareholder interests."