Korea Exchange (KRX) will strengthen autonomy over disclosures of listed companies' plans to enhance corporate value.
On the 22nd, Korea Exchange (KRX) said it revised the Corporate Value Enhancement Plan Guidelines and Commentary to allow corporations to set financial and nonfinancial targets more autonomously to suit industry-specific characteristics and individual conditions.
The revision reflects on-the-ground feedback that corporations face practical difficulties in setting quantitative targets, such as projections for profitability and growth.
The current guidelines are recommendations, allowing corporations to choose the content and methods of their disclosures autonomously. However, most corporations have faithfully reflected the exchange's recommended disclosure items and submitted disclosures that include all numerical targets related to profitability and growth.
Through the revision, Korea Exchange (KRX) made clear that when presenting quantitative figures is difficult, companies can set targets focusing on qualitative elements such as growth strategies or direction.
A Korea Exchange (KRX) official said, "Along with this revision, we will carry out tailored support activities, such as meetings with executives of listed companies and disclosure consulting," and added, "We plan to encourage disclosures, focusing on non-disclosing companies among those included in the Korea Value-up Index."