The Korea Herald

Standard Chartered Korea aims to be top global bank

Jan 11, 2012

Lender changes its name to boost group’s brand imageStandard Chartered First Bank renamed itself Standard Chartered Bank on Wednesday, putting a stronger emphasis on the British group’s corporate image. “Today, SC First Bank becomes Standard Chartered Bank. This marks the start of an exciting new journey for us, as we aim to become Korea’s best international bank,” Richard Hill, chief of the Korean unit of Europe’s third-largest bank, told reporters at a news conference. “2011 was the year of tu
Life insurance firms post poor stock investment return

Jan 11, 2012

Life insurance companies reported poor performances in their stock investments through equity-linked insurance products.Equity-linked insurance products, also known as variable insurance, invest part of customers’ premiums in the stock market.According to the Korea Life Insurance Association, life insurance firms posted -12.87 percent in combined rate of return in their stock investments through the variable insurance products last year.The figure is lower than the KOSPI’s year-on-year drop of 1
Korean sovereign fund suffers loss

Jan 11, 2012

Losses blamed on KIC’s purchase of Merrill Lynch stakeKorea Investment Corporation, Korea’s sovereign wealth fund, suffered a net loss of 3.3 percent in terms of average yield last year, hurt by the turmoil in the global financial market and a massive loss linked to its investment in Merrill Lynch,
Real estate fund market grows rapidly

Jan 10, 2012

Trend expected to continue as investors diversify portfoliosKorean investors, faced with a dearth of reliable assets, are shifting their eyes toward the real estate investment funds. Local real estate funds have drawn a total of 13.2 trillion won ($11.4 billion) as of Jan. 5, up from 7 trillion won recorded in September 2008, according to the data by the Korea Finance Investment Association. The tally covers money from both public and private sector, underscoring that the trend is a reflection o
Woori Financial eyes three overseas M&A deals

Jan 10, 2012

Woori Financial Group has been pushing for takeover deals in three overseas markets simultaneously, its chairman Lee Pal-seung told reporters Tuesday.“We have been in mergers and acquisitions talks in two regions (countries) in Southeast Asia. One of the two negotiations has seen good progress,” he said.He added that Woori Financial is also carrying out merger talks with a financial company in a country linking Asia and Europe.Group executives had said they were considering increasing the compan
Korea’s ETF trade surges on short-term investors: data

Jan 10, 2012

Korea’s exchange-trade funds market has emerged as the biggest in Asia in terms of trading value, data showed Tuesday.The sharp rise of ETF trades in Korea demonstrates that investors put more of their short-term funds in the investments amid a positive outlook for the overall ETF market this year. ETF is an investment fund traded on stock exchanges with attractive features such as low cost, tax efficiency and stock-like characteristics. According to the Korea Exchange, the country’s average dai
Avante wins top award in Detroit

Jan 10, 2012

Hyundai edges out Ford, Volkswagen for North American Car of the YearHyundai Motor’s Avante, dubbed the Elantra in overseas markets, has been named the 2012 North American Car of the Year.The winner was confirmed at the North American International Auto Show in Detroit after the compact sedan polled the highest number among a group of 50 motoring journalists from the U.S. and Canada. The Avante has been in a tight race with its fellow finalists ― the Volkswagen Passat and the Ford Motor Focus. T
Shares rise 1.46% on institutional buying

Jan 10, 2012

South Korean stocks rebounded 1.46 percent Tuesday as institutions scooped up shares following the U.S. markets’ rally, analysts said. The local currency rose against the U.S. dollar.Snapping a four-session losing streak, the benchmark KOSPI gained 26.73 points to 1,853.22. Trading volume was moderate at 383.2 shares worth 4.86 trillion won ($4.18 billion), with gainers outpacing losers 591 to 238. “After undergoing losses for the last four days, investors increased their bets, boosted by a Wall
MSCI opens Korea office; no hint of imminent status upgrade

Jan 9, 2012

Head of index compiler MSCI Inc. said Monday that the Korean stock market’s failure to achieve developed status stems from its “inefficiencies." “There are two important areas that need further development,” said Henry Fernandez, chairman and CEO of MSCI, at a news conference held in Seoul to mark the official launch of the company’s Seoul office. Fernandez said the first issue was the structural problems that hamper the market access for international investors who want to rebalance their equi
Hanjin Shipping aims to return to black

Jan 9, 2012

Hanjin Shipping Co., South Korea’s top container line, said that it will strive to swing back to the black in 2012 after suffering huge losses last year.The shipper is estimated to have logged a loss of over 800 billion won in 2011, hit by higher fuel costs and falling freight rates.During the fourth quarter of last year alone, Hanjin Shipping is projected to have suffered a loss of some 250 billion won.The shipper’s accumulated net loss and operating loss in the first three quarters of last yea
Financial crimes on rise in Korea

Jan 9, 2012

The number of serious crimes in South Korea’s financial sector increased last year, data showed Monday, raising the need to bolster countermeasures to prevent investment losses.Of the 209 cases probed for unfair trade practices in 2011, 72.7 percent were referred to the state prosecutors’ office for criminal investigation, according to data by the Financial Supervisory Service. The number represents a gain from 63.3 percent in 2007.The increase was largely led by sharp gains in unfair trading in
Samsung likely to post record profit this year

Jan 9, 2012

Strong smartphone business expected to help Samsung overtake Intel in operating profitSamsung Electronics, Asia’s biggest technology company, is set to post a record profit on strong sales of smartphones, brokerages said Monday. Local securities houses said Samsung is expected to solidify its global market position as a leading provider of smartphones and tablet computers, both of which are enjoying stronger sales worldwide. Daewoo Securities said Samsung’s revenue and operating profit this year
BOK mulls hike in bank reserve requirement

Jan 9, 2012

The Bank of Korea is considering a set of measures that include a hike in bank reserve requirements in order to rein in consumer prices. “Given that price stability is deemed the most important issue, the Bank of Korea is reviewing short-term policy measures to stabilize consumer prices in addition to the mid-term and long-term tool of adjusting the benchmark interest rate,” a high-ranking BOK official told the local press Monday. To that end, the central bank is likely to raise the bank reserve
Korea big player in global M&A market

Jan 9, 2012

Local firms’ cross-border takeover deals surge in value 51-fold in 5 yearsKorea has become the 10th-largest acquirer in the cross-border mergers and acquisitions markets, overtaking Germany and France.According to data of the Korea Capital Market Institute, Korean companies’ takeover of foreign players in the M&A markets was equivalent to $11.2 billion (12.7 trillion won) in combined asset value for the first 10 months of 2011.In 2010, Korean firms spent a net $9.9 billion on the overseas M&A de
Seoul shares down on unabating eurozone woes

Jan 9, 2012

South Korean stocks closed 0.9 percent lower on Monday as investors kept a wary eye on the debt-saddled eurozone while reacting cooly to improved U.S. data, analysts said. The local currency fell against the U.S. dollar.Moving in a tight range, the benchmark KOSPI fell 16.65 points to 1,826.49. Trading volume was moderate at 388.1 million shares worth 4.14 trillion won ($3.5 billion), with decliners outnumbering gainers 514 to 316.“Investors have nothing to anticipate from the U.S. data as they’