South Korea is extending stock-market trading hours from Monday as it seeks to make its equities more accessible to international investors and capture demand from overseas markets.
The Korea Exchange will allow trading in almost all locally listed shares until 8 pm, adding a four-hour after-market session to the existing schedule.
The move is part of a broader effort to bring Korean markets closer to global trading practices and eventually move towards near-round-the-clock trading.The longer session comes after a strong run for Korean equities this year, driven in part by enthusiasm for artificial-intelligence and semiconductor stocks.
Extending market hours could allow European investors to trade Korean shares during their business day, while giving overseas funds more time to respond to developments in global markets.
Bloomberg reported that the reform is aimed at increasing foreign participation as Korea seeks to broaden its investor base.
The exchange is also pursuing other market reforms, including faster settlement and easier access for international investors.
However, longer trading hours do not necessarily guarantee stronger overseas participation. Investors will also weigh liquidity, transaction costs and the ease of accessing Korean markets before committing more capital.
The launch therefore represents a test of whether greater market access can translate into sustained foreign demand, particularly as South Korea seeks to strengthen its position among global equity markets.
