Lee orders financial regulator to boost transparency in stock trading

President Lee Jae Myung on Friday instructed the financial regulator to make more efforts to improve transparency in stock transactions, saying that a lack of investor confidence in local stock markets has affected the foreign exchange market. Investors have kept demanding a discount on Korean shares due to lax regulations on unfair stock trading and opaque management ethics, Lee told a policy briefing by the Financial Services Commission. "Distrust in the local stock market is affecting the foreign exchange market," Lee said. The remarks came at a time when financial authorities have stepped up warnings against the local currency's rapid slide. When listed, local companies tend to be valued at only about 60 percent of their true worth, despite their relatively strong performance, Lee said. "The main reason for this absurd thing is distrust of market transparency," Lee said.