External audit

In order to get listed on the KOSPI or KOSDAQ, corporations are obligated to have an auditor designated by the Securities and Futures Commission and apply the Korean International Financial Reporting Standards pursuant to the Act on External Audit of Stock Companies.
On the contrary, for those intending to list their shares on the KONEX market, the obligations of designation of auditors and application of Korean International Financial Reporting Standards are exempted, so as to alleviate the financial burdens of startups. However, the corporation applying for the listing in the KONEX market is also required to appoint an external auditor within 4 months after the commencement of the fiscal year and receive accounting audit pursuant to the Act on External Audit of Stock.