KB Securities Receives 'Warning' from Korea Exchange for Improper Closing Price Intervention

(Seoul=Yonhap Infomax) Kyu Sun Lee – KB Securities Co., a major South Korean brokerage, has received a 'member warning' from the Market Surveillance Committee of the Korea Exchange (KRX).

According to the Market Surveillance Committee on the 24th, the committee issued the warning on the 21st after determining that KB Securities had improperly intervened in the formation of closing prices in the spot market.

KB Securities was found to have repeatedly engaged in trades that influenced price formation during the closing auction period, the time when final prices are set in the spot market.

The committee concluded that these actions violated market surveillance regulations and undermined fair trading practices.

As a result, at its 13th meeting held on the 20th, the committee decided to issue a 'member warning' to KB Securities Co. and to impose 'member self-disciplinary measures' on two employees involved in the violations.

kslee2@yna.co.kr

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