South Korea’s main stock index has hit a three-and-a-half-year high as investors bet a new leftwing government will usher in corporate governance reforms and lift persistently low equity valuations.
President Lee Jae-myung made corporate governance reform and boosting the stock market pillars of his campaign, promising South Korea’s army of retail investors that the Kospi would reach 5,000 points during his term. The index has climbed more than 7 per cent since his election last week to above 2,900.
“Now is the time to change everything . . . to make the market attractive in the long term,” Lee said during a visit to the stock exchange in Seoul on Wednesday.
(rest omitted)
June 12, 2025 / Excerpted from Financial Times
