5% Large Shareholding Disclosure
(대량보유보고)
Ensure full compliance with Korea's Capital Markets Act. We prepare and file all required large shareholding reports on DART — accurately and on time, entirely in English.
What Is the 5% Disclosure Rule?
Under Korea's Capital Markets and Financial Investment Business Act, Article 147, any person (including foreign investors) who acquires or holds 5% or more of a listed company's total voting shares must report this to the Financial Services Commission (FSC) and the Korea Exchange (KRX) within 5 business days.
After the initial report, any 1% or more change in ownership — or any change in the purpose of holding (passive investment vs. active influence) — requires a follow-up change report, also within 5 business days.
Failure to file on time results in voting rights restrictions on the excess shares and potential administrative fines from the FSC. For foreign funds operating across time zones, the tight 5-day deadline makes timely, expert assistance essential.
Key Differences: Korea vs. US Disclosure Rules
| Aspect | Korea | United States |
|---|---|---|
| Filing Deadline | 5 business days | 10 days (13D) / 45 days (13G) |
| Change Report Trigger | 1% ownership change | Material change only |
| Filing System | DART (Electronic) | EDGAR (Electronic) |
| Penalties for Late Filing | Voting rights restriction + fines | SEC enforcement action |
| Purpose Disclosure | Required (passive vs. active) | Required (13G vs. 13D) |
Our Disclosure Services
Initial 5% Report Preparation & DART Filing
Complete preparation of the large shareholding report and electronic submission to DART.
Change Reports (1%+ Variation)
Timely filing when your ownership changes by 1% or more through acquisition or disposal.
Purpose Change Reports (Passive / Active)
Required when switching between passive investment and active influence purposes.
Related Party Aggregation Analysis
Determine if holdings of related persons or joint holders must be aggregated for the 5% threshold.
Ongoing Threshold Monitoring
Continuous monitoring of your positions against disclosure thresholds to prevent missed deadlines.
FSC/Exchange Inquiry Response
Handle regulatory inquiries and requests for supplementary information from FSC or KRX.
Disclosure Service Pricing
| Service | Price (USD) | Basis |
|---|---|---|
| 5% Initial Report | $1,150 - $1,900 | per filing |
| Change Report | $600 - $1,150 | per filing |
| Purpose Change Report | $1,500 - $3,000 | per filing |
| Monthly Monitoring | $400 - $750 | per month |
* Prices vary based on complexity, number of related parties, and urgency. Contact us for a precise quote.
Need Help With a 5% Filing?
We respond within 24 hours — faster than the 5-day filing deadline