Seoul searching: Finding value in South Korea

South Korea has long been viewed as behind when it comes to corporate governance, with poor capital management, equity returns and net-cash balance sheets deterring investors. Today, the country’s reforms are at an early stage and valuations remain low, offering potential opportunities for investors. Deep socioeconomic structures have meant corporate governance has remained poor for decades, allowing family-controlled conglomerates to grow, minority shareholders to be sidelined, and valuations to stay low. Last year, the government launched its “Corporate Value-Up Programme”, with the aim...