The financial performance of Korean companies has retreated to distressingly low levels in recent years. Consider that 67% of KOSPI index members trade at a P/B below 1x, and the median ROE is just 4.9%.  To address the concerns of fading corporate performance, low valuations, and weak stock market returns, the Financial Services Commission joined with the Korean Stock Exchange to announce the “Corporate Value-Up” program in February 2024. The objective is to enhance corporate governance and shareholder accountability and to encourage companies to improve financial performance in the areas of P/B, ROE, ROA and shareholder payouts.