Analyzing publicly traded stocks in Korea surrounding IFRS adoption in 2011, we find that the gap between stock price and firm value, value-to-price (V/P) ratio, narrows following the IFRS adoption and that this narrowed gap is observed only for higher V/P firms. We further find that the return predictability of V/P decreases in the post-IFRS period. Using a path analysis, we report further evidence that mandatory IFRS adoption decreases idiosyncratic volatility and improves trading volume and market liquidity, thereby contributing to the narrowed gap between value and price. We conclude that IFRS adoption contributes to resolution of Korea discount.

分析 2011 年韩国采用 IFRS 的公开交易股票，我们发现股票价格与公司价值、价值与价格 ( V/P ) 比率之间的差距在采用 IFRS 后缩小，并且这种缩小的差距仅在更高的V/P公司。我们进一步发现V/P的回报可预测性在后 IFRS 期间下降。使用路径分析，我们报告了进一步的证据，表明强制采用 IFRS 会降低特殊波动性并改善交易量和市场流动性，从而有助于缩小价值与价格之间的差距。我们得出结论，采用 IFRS 有助于解决韩国折价问题。