Seoul: The Korea Exchange, South Korea's bourse operator, announced it has begun adopting artificial intelligence (AI) technology in its capital market monitoring operations. This move marks a significant step in integrating AI to enhance efficiency and accuracy in monitoring the financial markets.

According to Yonhap News Agency, the Korea Exchange's move to incorporate AI follows the acquisition of local AI startup Fair Labs, which occurred approximately three months ago. The acquisition was a strategic initiative to accelerate the bourse's AI transformation and bolster its data-driven business operations.

The AI technology implemented by the Korea Exchange allows employees to analyze real-time data from listed companies more effectively. It also aids in the comprehensive screening of data related to corporate misconduct, such as embezzlement and fraud. Additionally, the AI-based system facilitates the efficient examination of regulatory filings by listed firms.

In a transaction finalized in February, the Korea Exchange acquired a 67 percent stake in Fair Labs for 6.7 billion won (approximately US$4.4 million). Fair Labs, established in 2020, is known for its use of AI to process atypical data, including news articles and regulatory filings, transforming them into valuable information that supports investment-related decision-making.