Korea Exchange will conduct an on-site review in New York and London from April 27 to May 1 with Korea Securities Depository and the Korea Financial Investment Association to shorten the stock market settlement cycle.

KRX said on April 13 the visit comes as major global markets shift to a T+1 settlement system, intensifying competition in capital market infrastructure. The United States introduced T+1 settlement in May 2024, and the United Kingdom and the European Union are set to implement it in October 2027.

The three organisations plan to directly confirm the United States' successful T+1 transition experience and know-how and analyse Europe’s strategy. They will review concrete directions for promoting a shorter settlement cycle that can be applied to Korea’s stock market.

Senior executives including Park Sang-wook (박상욱), head of the Clearing and Settlement Division at KRX, Kim Jin-taek (김진택), head of the Clearing and Settlement Department at KSD, and Cheon Seong-dae (천성대), head of the Securities and Futures Division at KOFIA, will lead the on-site reviews in New York and London.

In New York, they will discuss the implementation process, success factors and operational experience with the Depository Trust & Clearing Corporation, the Securities Industry and Financial Markets Association and Citibank, among others, which played key roles in the United States' successful settlement-cycle shortening.

In London, they will analyse Europe’s T+1 strategy through the UK Financial Conduct Authority, the chair of the T+1 task force, Euroclear, the Association for Financial Markets in Europe and the International Capital Market Association, among others. The FCA announced a T+1 settlement roadmap last year and is pursuing the transition.

A KRX official said the exchange will actively reflect global best practices and policy implications secured through the on-site review in designing the system. The official said KRX plans to push for an advanced settlement process leading Asia while communicating closely with the government, related institutions and market participants.