KOSPI takes big hit from Sino-US trade war

South Korea's key stock index had its biggest fall in more than six years on Friday in the wake of a brewing trade war between the United States and China, data showed Sunday.The benchmark Korea Composite Stock Price Index plunged 79.26 points, or 3.18 percent, to 2,416.76 on Friday, the biggest daily loss since Nov. 10, 2011, when a debt crisis engulfed some European countries, according to the data from the Korea Exchange.It also marked the 15th-largest daily drop since 1987, when the bourse o

March 25, 2018

Bank mortgage rates gain in line with US rate rises

South Korean banks' mortgage rates have been on the rise over the past year in tandem with US rate hikes, market sources said Sunday.Those rates, charged on home-backed loans, are widely projected to go up further down the road if the US central bank sticks to its hawkish policy stance.According to the sources, Nonghyup Bank has posted benchmark mortgage rates on mortgages at a range of 3.6 percent and 4.94 percent, which will go into effect from Monday.The new rates, which will remain fixed for

March 25, 2018

Seoul shares to move in tight range next week amid protectionist concerns

South Korean shares are expected to move in a tight range next week as investors remain cautious due to growing concerns over trade protectionism by major economies. The benchmark Korea Composite Stock Price Index is likely to stay between 2,460 and 2,540, as export-oriented stocks remain vulnerable to the looming trade dispute between Washington and Beijing. In response to the Trump government's plan to impose 25 percent tariffs on US$50 billion worth of Chinese imports, China said it may raise

March 24, 2018

New NH brokerage arm CEO to bolster investment banking biz

The new chief executive of NH Investment & Securities said in a press conference Friday that he would bolster the securities firm’s investment banking division, in a move to maintain growth that began to take shape in the past few years on the back of business diversification. Jeong Young-chae, who took office as CEO of NH Investment & Securities on Thursday, revealed that the firm plans to reap 190 billion won ($175.6 million) in net profit this year solely from its IB business, a

March 23, 2018

New chief of Kosdaq committee vows to nurture ‘market of future’

The newly appointed head of a committee for South Korea’s second-tier bourse Kosdaq vowed Wednesday to nurture the exchange into a “market of the future” and distinguish its role from that of the top-tier Kospi market. “We will discover more small and mid-sized venture firms with high potential for growth and give them wider opportunities for initial public offerings,” said Khil Jae-uk, chairman of the Kosdaq Market Committee, at a press conference.  The news c

March 21, 2018

[Advertorial] Citibank Korea celebrates 1st year after launch of mobile UPL

Citibank Korea kicked off a customer event Monday to celebrate the first year since the launch of its unsecured personal loan product for salaried employees offered through its mobile app.As part of the celebration, Citibank Korea is running the event in which those who apply for the mobile loans by March 31 will be randomly selected to receive gifts such as coffee vouchers and smartphones. In addition, those who apply for the product by March 31 will be given 0.5 percentage point rate bonuses a

March 21, 2018

S. Korean investment in Vietnam soars 500% in 10 years: data

South Korean financial companies’ investments in Vietnam have grown by more than 500 percent over the past 10 years, in particular marking an uptick since last year, on the back of President Moon Jae-in’s Southeast Asia-friendly initiative, data showed Monday.The volume of investments made by domestic financial companies to the Southeast Asian state stood at $123 million last year, up 509.88 percent from 10 years prior, according to statistics from the Overseas Economic Research Inst

March 19, 2018

FSC to grant financial firms easier access to databases

South Korea’s top financial policymaking body rolled out plans Monday to lower regulatory barriers for local financial firms to capitalize on databases accumulated in the public sector to improve their products, while also strengthening ways for consumers to take control of their own personal information shared by different financial services firms. The Financial Services Commission said such measures in the long run would be key to achieving “financial inclusion.” In a me

March 19, 2018

Douglas Min leads AIG Korea as CEO

Douglas Min has taken office as president and chief executive officer of insurer American International Group Korea, the firm said Monday.This came two weeks after a shareholders meeting approved a one-year tenure for Min. AIG Korea is wholly owned by AIG Asia Pacific Insurance, based in Singapore.  With over 20 years of experience in the field, Min replaced Steven Barnett, who stepped down Monday after serving as chief of the global insurer’s Korean unit since 2011. Min joined AIG in

March 19, 2018

[Advertorial] Eximbank to inject 600m euros into Turkey’s landmark bridge project

Export-Import Bank of Korea will inject some 600 million euros ($739 million) into a 3.1 billion euro landmark project in Turkey, which involves SK Engineering & Construction and Daelim Industry, officials said Sunday."Eximbank will provide the Canakkale bridge and highway project with 300 million euros in loan and 300 million euros in warranty,” the state-run bank said in a press release.The two South Korean builders last year won the deal to build the world’s longest

March 18, 2018

[Kosdaq Star] K-pop giant S.M. enhances TV series production arm

This is the 52nd in a series of articles analyzing major companies traded on the tech-heavy Kosdaq market. -- Ed.K-pop juggernaut S.M. Entertainment has ramped up efforts to equip itself with TV series production capacities and stronger actor and actress lineups in response to a growing demand for South Korean TV content in the global market. On Wednesday, the firm confirmed two planned acquisition deals worth a combined 80 billion won ($74.9 million).Along with anticipation for improvement in t

March 18, 2018

BOK chief expects let-up in housing price hikes

South Korea's housing price hikes are expected to moderate in Seoul and several nearby areas due to a rise in new homes and lending regulations, the central bank's chief said Saturday."An increase in the housing supply and regulations on property markets and loans will help stabilize the housing prices. This will likely slow the growth of home prices," Bank of Korea (BOK) Gov. Lee Ju-yeol, nominated for a second term, said in a report to lawmakers ahead of his confirmation hearing.&nbs

March 17, 2018

Hana Financial chief faces bumpy road ahead of reinstatement

The fate of Hana Financial Group Chairman Kim Jung-tai remains to be seen, as he faces a scandal with just a week left till the group’s shareholders meeting to vote on his third three-year term. Financial watchdogs have zeroed in on the banking group on allegations of recruitment irregularities, while a revelation by the group’s labor union has added fuel to the scandal, arguing Kim was engaged in wrongdoings in its recruitment process.An internal committee consisting of external dir

March 16, 2018

Samsung, SK hynix shares soar on bright outlooks

South Korean chip behemoths Samsung Electronics Co. and SK hynix Inc. have seen their share prices shoot up this month on rosy forecasts for their earnings, data showed Friday.The price surge, which comes after their shares went south early this year on worries that the chip industry has peaked and would face weak offseason demand, has sent shares of chip components and equipment makers rising in tandem.According to the data from the Korea Exchange, Samsung Electronics, the world's top memory ch

March 16, 2018

Watchdog urges foreign financial firms to step up efforts against money laundering

The Financial Supervisory Service on Thursday urged foreign financial companies operating here for more efforts in anti-money laundering actions amid increasing cross-border transactions and the rapid advancement of financial technology services.Underlining the country’s upper hand in information and communication technology and innovation, the watchdog also encouraged companies from advanced countries to actively share their financial technologies and operating know-how.The 10th annual se

March 15, 2018

FSC to toughen governance rules for financial firms

South Korea’s Financial Services Commission announced Thursday a set of plans to strengthen corporate governance rules for financial firms here, mainly to tackle a lack of transparency in nomination processes for chiefs at local banking firms.The plans to revise the Act on Corporate Governance of Financial Companies, to be proposed by June, aim to prohibit the incumbent chief of a financial firm from joining an internal committee to nominate outside directors. It would also obligate o

March 15, 2018

Korean banks' foreign currency deposits decrease in Feb.

Foreign currency deposits at banks in South Korea dropped for the second-straight month in February amid the strong US dollar trend, central bank data showed Thursday.Foreign currency deposits held by banks here reached $80.96 billion at the end of February, down $940 million from a month earlier, according to the data compiled by the Bank of Korea. It said people sold their dollar possessions as the Korean won lost ground against the US greenback last month, touching a two-month low of 1,092 wo

March 15, 2018

FSC chief sides with Kumho Tire creditors

Financial Services Commission Chairman Choi Jong-ku said Kumho Tire creditors’ demand to normalize the Korean tire manufacturer mainly by selling the firm’s majority stake to a Chinese firm is a “prerequisite” for the firm’s survival, during a press conference Wednesday.Choi called for the tiremaker’s labor union to comply with the self-restructuring plan in the making, amid the union’s opposition due to fears of employment insecurity and a technology le

March 14, 2018

Visa Korea appoints new CEO

Global payment solution provider Visa said Wednesday that it has appointed Patrick Yoon as the country manager to lead its Korean office. The incoming business chief has worked at various branches of Standard Chartered bank, steering strategy, business development and mergers and acquisitions, officials said. For the past four years, he led the retail finance headquarters at SC Korea.Before joining SC in 2005, Yoon also served in the investment department of Morgan Stanley in the United States.&

March 14, 2018

Korea Post launches special MoneyGram service for foreign customers

The Korea Post designated Monday 15 post offices in areas with a high number of foreign residents, offering overseas money transfer options via MoneyGram.Officials of the national postal service have announced that so far Seoul’s Itaewon Post Office, Uijeongbu Post Office in Gyeonggi Province and 13 other places will operate as “special MoneyGram post offices” to meet the high demand of money transfers in those specific areas. MoneyGram lets customers send money for cash pick-u

March 13, 2018