The Kospi is down by 1.03% this year, while Japan'sbenchmark Nikkei Stock Average is up by 19.89%.(Nikkei montage/Source photos by Reuters and EPA/Jiji)
Chaebol benefit from low share prices due to high inheritance tax, experts say
LISA KIM, Nikkei staff writer | South Korea
TOKYO -- The South Korean financial regulator's new plan to shore up the stock market has disappointed investors who expected more concrete changes.
The first part of the much-awaited initiative, announced on Feb. 26, fell short of tackling the fundamental causeof the "Korea discount" phenomenon of relatively low valuations: a high inheritance tax that incentivizes large family-run conglomerates to keep stock prices low.
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