Sponsored by the KRX Division of Derivatives Market, Dr. Kyong Shik Eom will lecture on the Changes in the U.S. and E.U. Capital Markets Environments and Recommendations for Korea.
This year, the KOSPI 200 index options and futures markets have been dominated and possibly abused by foreign investors’ high-frequency trading (HFT). The KRX is very concerned about the possibility of unfair losses to individual domestic investors resulting from these foreign investors’ HFT. For this reason, the KRX is keenly interested in a speed bump like the one that the IEX adopted, as well as a deep understanding of recent developments of rules and regulations in the U.S. and EU. The lecture will cover the following: (1) Current status and characteristics of the market micro- and macro-structure of the U.S. and EU securities markets, (2) Their core driving forces and some side-effects or concerns, (3) The post-crisis and post-crash regulatory changes in the U.S. and EU, (4) The evaluation of HFT/algo, dark pools, and the SEF, (5) Implications for the KRX and the Korean financial markets, and (6) The possibility of adopting a speed bump for the KRX derivatives market.