1. Investor Education in Korea Presented by Sok Hun Kang, Ph.D Korea Financial Investment Association

2.  Introduction to KOFIA  Investor education effects  Major investor education initiatives  Environment for investor education  Closing remarks AGENDA

3. Introduction to KOFIA Launched on Feb.4, 2009 under Capital Marker Act - Non-profit, membership - Consolidated association for securities, asset management, futures industries Sole SRO and trade association in Korea - Responsible for investor education 1

4. Korean investor education is a successful model Korean capital market is viewed as an advanced market - Dow Developed Market Index in 2008 - FTSE Develop Market Index – Sep. 2009 - MSCI Developed Market Index – under public consultation Outlook for the Korean market is promising Environment for Investor Education 2

5. Need for Investor Education Korea Capital Market Act effective in Feb 2009 - Emphasis on investor protection - New sophisticated products to be introduced On-going financial crisis Other Developments - Aging society - Paradigm shift from deposit to investment - Introduction of corporate pension plan 3

6. Korea Council for Investor Education Established in 2005 - To provide systematic and efficient education programs Member of KCIE : 7 organizations - KOFIA, FSC, FSS, KRX, etc. Secretariat of KCIE : KOFIA Nationwide network : 8 major cities 4

7. Building infrastructure for investor education Tailor-made education services Financial education for social minorities Fostering sound investment culture Major Investor Education Initiatives 5

8. Building Infra for investor Education Wide range of educational content - To meet diverse needs Comprehensive online education services Comprehensive internet portal (www.kcie.or.kr) - Wealth Academy - Fund Academy - New Product Academy World-class online investor education programs 6

9. Customized to reach all target groups - A ges, educational backgrounds, locations, professions Lecturers provide on-site education - Lecturers are CEOs from financial investment companies and specialists Tailor-made Education Services 7

10. Educating young people and the financially disadvantaged and social minorities - Publish textbooks for elementary, middle and high schools, teachers’ instructional manuals - Training programs for teachers - Securities competition for students Expand education to all Koreans Financial Education to Social Minorities 8

11. Inform people of the merits of long-term, indirect investment Public campaigns and advertisement with KBS - Buy 10 Shares - Saving through Stock Investment Fostering Sound Investment Culture 9

12. Paradigm shift from deposit to investment Moving from short-term direct investment to long-term, indirect investment culture - Equity-type funds jumped from $ 8 billion in 2005 to $ 100 billion in January 2009 Investor Education Effects 10

13. Develop world-class investor education Advance the financial capabilities of investors Extend efforts to include investor protection Build strong global networks Future Direction for Investor Education 11

14. Investor education is indispensable to a sophisticated investment culture and the long-term prosperity of the market Develop practicability and high-quality investor education to be applied in the real world Extend the investor education to every Korean Combat the financial illiteracy of the general public Future Direction for Investor Education (con) 12

15. Go beyond education to investor protection - Provide legal consultation and dispute resolution KOFIA will build strong international organizations - Preparing for the inaugural meeting of AFIE this year Future Direction for Investor Education (con) 13

16. Investor education is a key element for a sound investment culture and an advanced capital market Korea made consistent efforts, proven successful Need networks across national borders Hope IFIE/IOSCO conference will be held in Seoul Closing Remarks 14

17. Thank you!