Exchange Signs Stock Market Making Contracts with 9 Member Firms

The Korea Exchange announced on the 30th that it has signed market-making contracts for the stock market next year with nine member firms.

Korea Exchange, Yeouido, Seoul. Photo by Jinhyung Kang aymsdream@

Market makers are responsible for continuously submitting buy and sell quotes for the contracted stocks to provide liquidity and ensure smooth trading.

The nine firms are Mirae Asset Securities, NH Investment & Securities, Kyobo Securities, Shin Young Securities, Korea IMC Securities, LS Securities, Meritz Securities, CLSA Korea Securities, and Daol Investment & Securities.

The number of market-making stocks in the KOSPI market next year is 313, a 1% increase from this year’s 309, while the KOSDAQ market will have 410 stocks, up 8% from this year’s 381.

A Korea Exchange official stated, "As a result of efforts to assign multiple market makers to market-making stocks, 83.1% of KOSPI market-making stocks and 37.3% of KOSDAQ market-making stocks have been assigned two or more market makers per stock," adding, "We plan to continue efforts to increase liquidity for market-making stocks going forward."