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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Minyoung] Following the abolition of the foreign investor registration system at the end of last year, over 1,400 foreign investor accounts were opened in the subsequent six months.
The Financial Services Commission (FSC) announced on the 21st that from December 15 of last year to June 12 of this year, 1,432 foreign investor accounts were opened using LEI (Legal Entity Identifier) for corporations and passports for individuals.
Foreign investors opened 1,216 corporate accounts and 216 individual accounts through 36 securities companies and banks.
Particularly, from March this year, the number of accounts opened monthly reached between 300 and 400. In comparison, the average monthly issuance of the foreign investor registration system (IRC) in 2023 was around 105.
The financial authorities and related institutions have also addressed some inconveniences that arose following the abolition of the foreign investor registration system.
The Korea Federation of Banks revised its financial real-name transaction guidelines to allow entities that cannot submit 'registration authority-issued documents'—such as private equity funds not required to register under their country's laws—to open accounts using other documents issued by their government.
Additionally, the practice of requiring excessive verification for notarized power of attorney when a foreign corporation opens an account through a proxy has been improved.
Alphabiz Kim Minyoung (kimmy@alphabiz.co.kr)
