South Korea’s financial watchdog on Friday imposed a penalty on Woori Financial Group Chairman Sohn Tae-seung, holding him responsible for its commercial banking unit’s misselling of funds tied to the 1.7 trillion-won ($1.52 billion) Lime Asset Management scandal. The penalty puts further pressure on Sohn, who is already in a legal fight against the Financial Supervisory Service over its sanction slapped on him for another misselling issue. Sohn was reprimanded with the third-str

South Korea’s NH NongHyup Bank said Wednesday it has earned preliminary approval from China’s financial authorities to open a branch in Beijing. The nation’s sixth-largest lender by assets won the approval from the China Banking and Insurance Regulatory Commission on Friday, after lodging the application in August last year. It plans to receive the final approval by the end of the year, officials said. The opening of the branch would mark NH NongHyup’s first move to lau

South Korean banking groups have approached the financial authorities in hopes of launching their own internet-only lenders, industry insiders said Tuesday, amid the growing popularity of platforms such as Kakao Bank. The Korea Federation of Banks, a body that represents commercial lenders here, recently received a joint message from the banking groups, including the five major ones -- KB, Shinhan, Hana, Woori and NH -- conveying their plans to foray into the internet-only banking business, if

South Korea’s financial watchdog said Tuesday that it holds NH Investment & Securities, the nation’s second-largest brokerage firm by net assets, entirely accountable for the misselling practices associated with the Optimus Asset Management alleged hedge fund fraud. The Financial Supervisory Service ordered NH Investment to compensate end-investors for losses of some 300 billion won ($267 million) incurred in 326 cases they brought to the Financial Dispute Conciliation Committe

Shares of Hanjin KAL plunged Monday as a hostile takeover bid of an activist investor group came to a standstill the week prior. Hanjin KAL, the holding company of the Hanjin conglomerate that controls flag carrier Korean Air Lines, dipped 7.8 percent on the Korean bourse at Monday’s close, as nearly 300 billion won ($266 million) in market cap evaporated within a single day. Hanjin KAL‘s share price hit a 52-week low Monday morning, trading as low as 51,400 won apiece. This com

Financial Services Commission Chairman Eun Sung-soo said Monday that SsangYong Motor’s likely investor, US automotive distributor HAAH Automotive, asked the government to give more time before it makes a decision on whether to submit a binding offer to invest in the cash-strapped commercial vehicle maker. “We have not yet received an investment proposal from HAAH Automotive, but it doesn‘t mean the company officially declined to salvage SsangYong. The company said it needs m

Household debt in South Korea surged to nearly 100 percent of the nation’s gross domestic product, raising concerns that the central bank’s rate hikes may be placing a heavy burden on the household sector, a report showed Monday. The proportion of Korea’s household debt to its GDP -- the market value of all final goods and services produced in an economy during a certain period -- came to 98.6 percent at the end of June last year, according to the report from the Korea Inst

Financial authorities warn of possible market monopoly by tech firms

Daily transactions of internet banking services in South Korea rose 20.6 percent last year as customers preferred using financial services in a non-contact manner amid the pandemic, central bank data showed Monday. The value of daily transactions via online banking, including mobile banking, reached 58.7 trillion won ($52 billion) last year, compared with 48.6 trillion won the previous year, according to the data from the Bank of Korea (BOK). The daily use of online banking services reached 13

The Export-Import Bank of Korea has signed an agreement with Hyundai Motor to provide financial support to the automaker vying with global rivals to take the lead in future vehicle markets.　 Under the memorandum of understanding inked on Thursday, the state-run policy lender will offer the automaker some 3 trillion won ($2.65 billion) until 2023 for its projects involving its plan to make the transition to become a smart mobility solution provider that manufactures zero-emission and driverless

Retail investors have snapped up almost all of a 137 billion-won ($121 million) fund aimed at promoting government-led projects under the Korean New Deal as of Sunday, as individuals seek to take advantage of the state policy fund to use as a financial cushion against losses. The 137 billion won was earmarked for retail investors out of a larger 200 million-won fund. The 137 billion won was parceled and sold via five major commercial banks on Thursday. The ones offered by the commercial lender

South Korea‘s institutional investors were seen averting the COVID-19 crisis to take decent returns, and pledged to increase their exposure to alternative assets to control the latent volatility risks. The Korean Teachers’ Credit Union said Friday it reaped a windfall in 2020 by taking advantage of the stock market rebound following the depths of the COVID-19 crisis. The KTCU, Korea‘s second-largest institutional investor, said it has returned 10 percent for 2020, or 3.3 tri

JB Financial Group, the holding group of Jeonbuk Bank and Kwangju Bank, said Thursday it has launched a new division in charge of overseas business activities to expand its global presence.  The banking giant appointed its incumbent senior executive officer, Yim Young-taick, formerly CEO of the group’s North Jeolla Province-based Jeonbuk Bank, to lead the newly launched global business division.  Yim, 70, served as Jeonbuk Bank CEO since 2014 until his retirement in March.&nb

Despite ‘green campaigns,’ project financing for coal projects remains an issue

South Korea‘s largest institutional investor the National Pension Service gained 2.35 percent in January from its allocation, its preliminary data showed Wednesday. The monthly disclosure also showed that the NPS, the world’s third-largest pension fund, has slightly cut its stock weighting from December 2020, indicating that the pension fund’s rebalancing effort continued against the backdrop of the record bull run in domestic bourses. Of the total 855.3 trillion won ($756.2