Once registration and required accounts are in place, investors may buy or sell corporate bonds directly through the internet. Online trading, or home trading as is often referred to in Korea, may be executed via the internet.
The first online order-placement channel introduced was the Home Trading System (HTS) developed by securities firms. Through the HTS, investors can place orders, receive trading data, and confirm transactions online using the securities firm's self-developed software. To trade via HTS, the investor has to install the broker-developed program on his personal computer.
HTS also provides real-time news, research reports, and market data to help retail investors make informed investment and quick trade decisions. The developments in online trading make it possible for retail investors to gain low-cost access to investment information, and sharply narrow the information gap between institutional and individual investors.
Most full-service securities firms in Korea operate online trading, accounting for more than 50% of total market trading value. Fees range between 0.1 and 0.024 percent of trading value, as securities firms offer either a fixed- or floating-rate system. Investors are advised to approach securities firms to ask whether they offer HTS services.
In Korea, investors can consult bond pricing companies before investing. Bond pricing companies support investors in evaluating bonds. They provide bond descriptions, mark-to-market pricing, primary and secondary market information, bond analytics and research tools, and a corresponding bond index. Below are links to some of Korea's bond pricing companies.
- KIS Pricing, Inc.
- Korea Bond Pricing
- NICE Pricing Services, Inc.
AsianBondsOnline is a one-stop clearing house of information on sovereign and corporate bonds including bonds in Korea - AsianBondsOnline-Korea. It contains essential data on current market activities, the legal and regulatory framework, and government policies and initiatives affecting the market.
Bank of Korea
110, 3-Ga, Namdaemunno
Jung-Gu, Seoul 100-794, Korea
Tel: (822) 759-4114
E-mail: bokdplp@bok.or.kr
website: www.bok.or.kr/index.jsp
Financial Supervisory Commission
27, Yoido-Dong Youngdeungpo-Gu
Seoul 150-743, Korea
Tel: (822) 3771-5000
Fax: (822) 3771-5027
website: www.fsc.go.kr/eng/index.asp
Financial Supervisory Service
27,Yoido-Dong, Youngdeungpo-Gu
Seoul, 150-743, Korea
Tel: (822) 3771-5000
Fax: (822) 3786-8548,9
website: english.fss.or.kr/en/englishIndex.jsp
Korea Development Bank
16-3 Yeouido-dong, Yeongdeungpo-gu
Seoul 150-973, Korea
Tel: (822) 787-4000
Fax: (822) 787-7891
website: www.kdb.co.kr/screen/jsp/IHEng/IHEngUMan00000001E.jsp
Korea Exchange
50 Joongang-dong 5-Ga
Joong-gu, Busan, Korea
Tel: (825) 1-662-2000
website: sm.krx.co.kr/webeng/
Korea Financial Investment Association
45-2, Youido-dong, Youngdeungpo-gu
Seoul, 150-974, Korea
Tel: (822) 2003-9111-5
Fax: (822) 786-3799
website: www.ksda.or.kr/
Korea Securities Depository
Tel: (823) 1-900-7130
E-mail: tube@ksd.or.kr
website: www.ksd.or.kr/eng/index.jsp
Korea Securities Computer Corporation (KOSCOM)
Yoido-dong 33, Youngdungpo-gu
Seoul, Korea
Tel: (822) 767-8122
E-mail: dglee@koscom.co.kr)
website: english.koscom.co.kr/main/
Ministry of Strategy and Finance
Government Complex II, 88 Gwanmoonro
Gwacheon City, Gyeonggi Province, 427-725, Korea.
Tel : (822) 2110-2348
Fax : (822) 504-1335
E-mail : fppr@mofe.go.kr
website: english.mofe.go.kr/
National Tax Service
Cheonggindong-gil 44
Jongro-gu, Seoul
110-705, Korea
Tel: (822) 397-1200
E-mail: service@mail.nts.go.kr
website: nts.go.kr/eng/default.html