Korea Asset Management Corp. is building a track record of sharing knowledge abroad on nonperforming loan resolution.

On Thursday, the state-run asset manager shared with a group of Vietnamese officials its know how on debt resolution and its experience of overcoming a financial crisis in 1998, during a session held in Busan.

The firm has opened doors not only to offshore public representatives, but also academic circles. Students and faculty members from the Paris Dauphine University and University of Virginia visited Busan to attend lectures by KAMCO on debt restructuring in April and May, respectively.
 

KAMCO also helped offshore state-run asset managers build a framework for NPL resolution strategies.

Vietnam’s Debt and Asset Trading Corp. has benefited from KAMCO’s policy advice on a junk bonds workout since 2013. One of the pieces of advice laid the groundwork for an online asset disposal system which led to the introduction of a law on property auctions passed in November 2016.

Kazakhstan has also received advice on NPL disposal from the KAMCO since 2015. 

In 2016, KAMCO’s bond management prowess reached the unchartered South America, advising Colombia’s state-run asset manager Central de Inversiones. 

The Busan-based firm resolved nonperforming bonds worth 39.2 trillion won ($34.6 billion) during the financial crisis that nearly crippled economies including South Korea in 1998. 

The firm was able to collect over 123 percent of what it extended to financially pinched firms. 

Moreover, KAMCO was the first Asian financial institution to issue asset-backed securities, in 2005. 

By Son Ji-hyoung (consnow@heraldcorp.com)