S Korea – KRX Short Selling Rules Revision

S Korea – KRX Short Selling Rules Revision

On 20 October 2022, KRX started enforcement of strengthened designation policy for overheated short-selling issues in its markets (KOSPI, KOSDAQ, KONEX) on 24 October 2022.

  • In September and October, KRX developed an electronic system and carried out mock trading.
  • Expects that number of designations' of overheated short selling issues and number of days on which the designations of overheated short selling issues are conducted will increase by about 15%, which will hopefully help reduce the volatility of issues.