President Lee Jae-myung on the 18th said, "Why is it that I sold stock today, but the money is paid the day after tomorrow? If this is also something that needs attention, how about making it an agenda item for adjustment and reviewing it?"
Lee stated accordingly at a meeting on stabilizing and normalizing the capital market held at Cheong Wa Dae that day, saying, "Vice Chair Park Yong-jin of the Regulatory Rationalization Committee sent me a message."
Lee added, "I also thought, why does it have to be that way," and said, "It probably has something to do with margin transaction, and it would be good if someone could explain it to me later."
Korea's stock market operates on a system in which payment is settled two trading days (T+2) after the trading day (T). Accordingly, it takes two days from selling a stock to actually receiving the money.
The margin transaction Lee mentioned refers to a system in which an investor pays a deposit corresponding to a certain percentage of the purchase amount and buys the remaining amount of stock on credit. The difference must be repaid within two trading days of the transaction date.
Jung Eun-bo, chair of the Korea Exchange (KRX), answered Lee's question by saying, "The United States shortened it to T+1 last year, and Europe is pushing for a change aiming for October 2027," adding, "We are working hard to shorten the settlement cycle to keep pace with Europe."
Jung went on to say, "When transactions based on Blockchain technology are realized later, the clearing and settlement process will disappear, and the process will transform into immediate payment," adding, "We will grasp international trends and proactively prepare so that clearing and settlement are carried out."