Should regulators decide how long bank chiefs stay?

South Korea's financial authorities are considering capping financial holding company chairs at two three-year terms, a governance overhaul that could reshape leadership succession at the country's biggest banking groups and reignite debate over regulators' role in corporate governance.

Industry reports Tuesday said the proposal would bar chairs from serving a third term, limiting their tenure to six years.

It could also require reappointments to win support from at least two-thirds of voting sh ...