The Korea Herald

Financial education key to Korea’s advancement

Jul 27, 2015

This is the fourth in a monthly series contributed by executive members of the Financial Supervisory Service to address key ongoing financial issues. ― Ed. Oh Soon-myoungIt was one of the hottest days this summer when a group of employees at the Financial Supervisory Service visited the rural village Seondang in Chungju, a city of North Chungcheong Province, and shed a bucket of sweat in helping harvest fully ripe peaches and corn. This recent event took place to celebrate the partnership that t
Financial regulators to hold investigative power

Jul 27, 2015

Starting from August, financial officials will be able to directly investigate cases of unfair stock trading.So far, they have referred such cases to police or the prosecution as they have no investigative authority.This incoming change reflects investigators’ recognition that complicated financial transactions are better suited for specialists with actual field expertise.Last week, the National Assembly passed the revised judicial police law, which grants special investigation power to official
Korea’s per capita GDP may shrink in 2015

Jul 27, 2015

By Chung Joo-won South Korea’s per capita gross domestic product this year may fall for the first time in six years on the weak won and lackluster growth, a private think tank said Monday. The LG Economic Research Institute, the research arm of LG Group, estimated Korea’s per capital GDP in 2015 at $27,600, down 1.8 percent from 2014. The think tank attributed the fall to the appreciation of the U.S. dollar against Korean won. The per capita GDP, a dollar-denominated index, decreases when the Ko
Seoul shares down 0.35 pct on brokerage, pharma losses

Jul 27, 2015

South Korean stocks closed down 0.35 percent on Monday as brokerages and pharmaceuticals dropped amid deteriorating investor sentiment over their business conditions, analysts said. The won gained ground against the U.S. dollar.The benchmark Korea Composite Stock Price Index lost 7.15 points to 2,038.81 after moving in and out of positive terrain. Trading volume was heavy at 534.1 million shares worth 6.24 trillion won ($5.35 billion), with decliners outnumbering gainers 638 to 193."Brokerage sh
Conglomerates’ stock value plunges W40tr

Jul 26, 2015

The nation’s 10 biggest business groups saw their market capitalization on the main bourse drop sharply over the past few weeks or months in the wake of lackluster exports and foreigners’ net-selling streak.According to Chaebol.com, a conglomerate data tracker, listed units of the 10 conglomerates lost about 40 trillion won ($34.4 billion) in their collective market capitalization this year to date.It fell by 5.5 percent from 719.6 trillion won on Jan. 2 to 679.6 trillion won as of July 23.The m
BOK sees W1.8tr loss on gold price plunge

Jul 26, 2015

By Chung Joo-wonSouth Korea’s central bank reported a 1.8 trillion won ($1.54 billion) loss as record-low international gold prices devalued its reserve, the parliamentary finance committee revealed Sunday.According to the Bank of Korea’s report to the National Assembly’s Strategy and Finance Committee, the value of the bank’s gold purchased in 2011-2013 depreciated by 33 percent on average at current value.Last week, the gold price plunged to its lowest level in five years since April 2010, plu
Seoul shares to move in narrow range next week

Jul 25, 2015

South Korean stocks are likely to trade in a tight range next week as investors watch out for second-quarter earnings results and the Fed's two-day policy meeting, analysts said Saturday.The benchmark Korea Composite Stock Price Index (KOSPI) closed at 2,045.96 on Friday, falling 1.48 percent from a week earlier. The KOSPI kicked off on a slightly weak note as profit concerns on major shipbuilders offset easing worries over Greece and China.Later in the week, the index moved lower as foreigners
Banks step up efforts to curb switching accounts

Jul 24, 2015

Banks are gearing up their efforts to retain their conventional customers and stop them from moving their accounts to other banks ― a provisionary measure to the incoming bank account switching system.Starting from October, customers will be able to move their accounts more freely from one bank to another, without having to adjust their automatic withdrawals. The system was introduced by the Financial Services Commission back in 2013 as a means to enhance the competitiveness of the banking indus
Hana Financial's net slips 10.27 pct in Q2

Jul 24, 2015

Major South Korean banking group Hana Financial Group Inc. said Friday that its second-quarter net profit fell 10.27 percent from a year earlier due to a rise in loan-loss reserves.Net income stood at 374.9 billion won ($321 million) in the April-June period, compared with 417.8 billion won a year earlier, the company said in a regulatory filing.Compared with three months earlier, the group's bottom line stayed nearly unchanged from 374 billion won.For the first half, its net profit jumped 22.7
GDP growth stays below 1% for 5th quarter

Jul 23, 2015

South Korea posted economic growth of less than 1 percent for the fifth consecutive quarter amid the protracted slump in private consumption and exports, data from the Bank of Korea showed Thursday.The BOK said the nation’s gross domestic product expanded 0.3 percent in the second quarter, compared to the previous quarter.After peaking at 1.1 percent in the first quarter of 2014, the quarter-to-quarter growth stayed below 1 percent last year ― 0.5 percent in the second quarter, 0.8 percent in th
OB adds premium product to Cass brand

Jul 23, 2015

OB launches Cass Beats, targeting young clubbers
KB Financial’s net profit falls in Q2

Jul 23, 2015

KB Financial Group said Thursday that its net profit for the second quarter stood at 339.6 billion won ($291 million), down 43.9 percent from the previous quarter, due to the expenses spent on mass voluntary retirement.Its quarterly sales and operating profits were 5.4 trillion won and 397.9 billion won, respectively down 5.34 percent and 24.27 percent from the same period last year.In half-year net profit, KB Financial achieved 944.6 billion won, up 25.7 percent from the previous year, handing
Won-dollar hits 3-year high

Jul 23, 2015

The U.S. dollar posted its strongest position against the Korean won in more than three years on Thursday, with its value gaining more than 8 percent over the past three months.The greenback surged 11.5 won, or 0.99 percent, from the earlier trading session to close at 1,165.1 won. The won-dollar rate marked the highest in 37 months after it traded at 1,165.6 won on June 15, 2012.Compared to a year earlier, when the dollar traded at 1,010 won, the U.S. currency gained about 15 percent. Analysts
Hana-KEB merger receives preliminary FSC approval

Jul 22, 2015

The top financial regulator gave its preliminary approval Wednesday for the merger of Hana Bank and Korea Exchange Bank, the two banks affiliated with Hana Financial Group. The final approval will be decided in the last week of August.“The preliminary approval decision was made swiftly as the labor and management had reached an agreement on the merger,” said an official of the Financial Services Commission.Hana Financial will hold an extraordinary shareholders meeting in early August, after whic
Pernod Ricard Korea joins race for low-alcohol drinks

Jul 22, 2015

Distiller presents fruit-flavored spirit drink for women