Hello all 😀
Making a public speech is not an easy deal. You would get nervous, and you probably speak in a trembling voice. Am I right to guess how you are in front of a big audience? This is usually what many of us do, as we are not that familiar with delivering a speech as a representative. However, the Chairman of FSC, Kim Seok-Dong, is scheduled for delivering a speech very often. If you are a regular reader of our blog, you could already notice that he has delivered so many addresses for different occasions. Events, conferences, forums, and the list goes on. Yesterday, 19th of September, Mr. Kim was invited to International Conference held at Westin Chosun Hotel, Seoul.
The conference was held to congratulate the 15th anniversary of Korea Capital Market Institute and to discuss the future role of capital markets in our economy. This time, Mr. Kim was scheduled to deliver his congratulatory address.
As Mr. Kim mentioned previously, he put an emphasis once again that financial sectors should enhance protection mechanism for investors and customers as well as take its social responsibility. He said that, “the economic paradigm shift leads to that of financial sector. The new paradigm seeks a better balance between the government and market. Stability is one of the most important values that we are pursuing.”
He referred to a recent study, ‘stakeholder capitalism’ which is regarded as an alternative for ‘shareholder capitalism’. For your understanding I will briefly tell you what they are. Shareholder capitalism has been criticized for being ‘short-termism’, as it became too much focused on short-term profits for shareholders through M&A and Spinoff. What’s the result of the short-termism? Long-term investment is no longer an attractive option, letting industrial competitiveness weak and hence making the real economy sluggish. In response to this phenomenon, stakeholder capitalism has been raised as an alternative for sustainable development of capitalism. It is said that capitalism should consider not only profits for shareholders, but also the overall economy and national wealth as a whole.
“For a better future of capitalism, there should be more effective interactions and cooperation between government, corporations and capital market participants. More in-depth discussion and study are not an option, but a necessity now”, said Mr. Kim for his closing remark. And for the sound and advanced financial market, FSC will have been working for the most appropriate and feasible policy measures!