FSC pledges to tackle overheated ETFs amid pandemic

South Korea’s financial regulator has vowed to gain control over the country’s overheated exchange-traded funds, even at the cost of a temporary market contraction. The Financial Services Commission has recently unveiled a road map to normalize exchange-traded funds and exchange-traded notes, bolstering the mandatory education of brokerages and the minimum deposits of investors. “Short-term adjustments are inevitable in order to normalize the currently excessive speculative d

MarketMay 17, 2020

LG introduces portable air conditioner

LG Electronics has introduced a portable air conditioner with greater flexibility in use and better connectivity with smart devices, the company said Sunday. The movable air conditioner is designed to target households that frequently move in and out and those who have difficulty installing outdoor condensers. The AC is equipped with a dual inverter compressor with two cylinders, increasing cooling and energy saving capabilities. The portable model uses up to 29 percent less electricity

TechnologyMay 17, 2020

Virus-hit firms look to raise capital to ensure liquidity

As the number of moviegoers, air passengers and shoppers shrank sharply largely due to the coronavirus outbreak and social distancing, related companies have recently turned to fundraising efforts to meet the deadline for debt repayment or refinancing. Also, those raising share capital are offering equities at a discounted price to subscribers in order to ensure success. A leading example is multiplex cinema operator CJ CGV, which aims to raise 250.2 billion won ($202.9 million) in July from in

MarketMay 17, 2020

BOK likely to cut interest rate amid virus pandemic

Amid the prolonged economic fallout from the COVID-19 pandemic, the Bank of Korea may slash its policy rate at the next monetary policy board meeting, according to local brokerages Sunday. The yield of three-year treasury bonds on Friday closed at 0.87 percent, down 0.13 percentage point from end-April, while that of 10-year bonds fell to 1.38 percent, down 0.14 percentage point during the same period. Bond prices, which move inversely to yields, have been on a sharp decline since market expe

MarketMay 17, 2020

[Photo News] Future mobility solutions at a glance

Miniature models of Hyundai Motor Group’s future mobility solutions, such as urban air mobility, purpose-built vehicles and hubs are displayed at the automaker’s headquarters in Yangjae-dong, Seoul.  Models are one-eighth scale and installed over 107 square meters of the building.  In January, Hyundai Motor Group’s Executive Vice Chairman Chung Euisun unveiled its future mobility vision at the Consumer Electronics Show to shift itself from an automobile manufacture

MobilityMay 17, 2020

[News Focus] De facto jobless up 800,000 in South Korea since Feb. 1

SEJONG -- The official number of unemployed in South Korea, compiled by the government, stood at 1.172 million in April, inching up only 19,000 from 1.153 million in January, despite the outbreak of the novel coronavirus that has slammed the country’s economy. But the situation is far more critical when it comes to the extended definition of unemployment, taking “underemployed” people as the de facto unemployed. According to the Supplementary Index III for Employment from S

EconomyMay 17, 2020

S. Korea seeks to ease factory regulations for more reshoring

South Korea is reviewing an option to ease regulations on the establishment of factories in the country's metropolitan area as part of efforts to woo more firms with overseas plants return home, the finance ministry said Sunday. Currently, strict regulations are in place on the construction of new plants and their expansion in the metropolitan area, which the business community has cited as a hurdle. The ministry said it is reviewing measures to finance the cost of reshoring, provide tax ince

EconomyMay 17, 2020

Incheon International Airport Corp. to offer W50b in aid to local aviation sector

The country’s main gateway operator, Incheon International Airport Corp., said Sunday that it would offer 50 billion won ($40 million) worth of aid to cash-strapped local airliners suffering the economic impact of COVID-19. IIAC said it had met Friday with officials from seven air carriers -- Korean Air, Asiana Airlines, Air Busan, Air Seoul, Jeju Air, Jin Air and T’way -- to introduce its new incentive programs and cooperative measures for airliners. For air carriers, IIAC said i

MobilityMay 17, 2020

Nexon's market cap tops W20tr on soaring demand amid virus pandemic

Nexon Co. became the first South Korean game developer to log a market capitalization of more than 20 trillion won ($16 billion), data showed Sunday, on the back of soaring demand for home entertainment contents during the virus pandemic. The gaming giant saw its market value reach 1.9 trillion yen (21 trillion won) on the Tokyo Stock Exchange as of Friday, with its shares closing at 2,152 yen, up 3.86 percent from a session earlier, industry data showed. Shares in Nexon jumped a whopping 14

MarketMay 17, 2020

Finance ministry set to slash economic outlook amid coronavirus pandemic

South Korea's finance ministry is working to sharply cut this year's economic growth outlook due to growing fallout from the coronavirus pandemic, sources familiar with the matter said Sunday. Late last year, the ministry predicted a 2.4 percent on-year expansion for Asia's fourth-largest economy this year, but given the toll of the coronavirus outbreak on the economy, it may drastically cut this year's growth estimate. South Korea's economy shrank 1.4 percent on-quarter in the first quarte

EconomyMay 17, 2020

KT gets Bill & Melinda Gates Foundation's W12b funding for epidemic research

Korean telecommunications firm KT will research for epidemic preparedness solutions, backed with 12 billion won ($9.7 million) in funding from the Bill & Melinda Gates Foundation. KT said Sunday that the philanthropic foundation had wished for an epidemics monitoring study carried out in Korea -- a country of widespread smartphone penetration equipped with 5G infrastructure. The research, called “A Next Generation Surveillance Study for Epidemic Preparedness,” will seek to dev

IndustryMay 17, 2020

Firms to cut workforce if virus fallout continues: poll

One in three companies in South Korea may trim workers in the future if the economy does not show signs of a significant recovery from the new coronavirus pandemic, a poll showed Sunday. In the poll conducted by the Korea Economic Research Institute, about 30 percent of the surveyed 120 companies said that they will not be able to maintain the current level of employment if the COVID-19 pandemic not mitigate over the next six months. To batten down the hatches for the economic fallout from t

EconomyMay 17, 2020

[Weekender] Tightrope walk between hair regrowth and side effects

The power people associate with lush hair is perhaps most palpable in the biblical story of Samson and Delilah. Samson, a man of formidable strength, is weakened after Delilah crops his hair -- the source of his strength. Abundant hair is a sign of youthfulness, health and vivacity. It is often associated with good looks, and many men who begin to lose it go to great lengths to reverse the course of balding. Currently, as far as pills go, there are more than 200 generic versions of finasterid

IndustryMay 16, 2020

Seoul shares set to trade in tight range next week on pandemic, US-China tension

South Korean stocks are expected to trade in a tight range next week due to the growing tension between the United States and China, coupled with a rise in new virus cases here, analysts said Saturday. The benchmark Korea Composite Stock Price Index closed at 1,927.28 points Friday, down 0.95 percent from a week earlier. On Monday, the stock market lost ground on growing concerns over new cluster infections of COVID-19 in the capital city. South Korea had added fewer than 15 cases of COVID-1

MarketMay 16, 2020

Moon gearing up for key projects on economy, peace process in June

For President Moon Jae-in, June will be a crucial month in preparations for the post-coronavirus era and efforts to jump-start inter-Korean ties. He is setting his sights on a string of major projects in the coming month related to the economy and inter-Korean cooperation, while quarantine authorities here are struggling to contain COVID-19 amid concerns about new cluster infections in Seoul's nightlife district of Itaewon. Moon and his aides hope that the number of daily confirmed cases will

EconomyMay 16, 2020

Nuclear safety watchdog to enforce oversight to prevent radiation accidents

South Korea's nuclear safety watchdog said Friday that it will enforce more stringent personnel training and material handling rules to better guard against potential radiation accidents. The Nuclear Safety and Security Commission said it has decided to revise the existing nuclear safety act in the wake of the accident that occurred at Seoul Semiconductor in July 2019. The accident at the light emitting diode (LED) manufacturing company involved inadequately trained subcontract workers who di

IndustryMay 15, 2020

Doosan Heavy shifts to loss in Q1 on one-off costs

Doosan Heavy Industries, South Korea's top power equipment maker, said Friday that it swung to a net loss in the first quarter from a year earlier due to increased one-off costs. For the January-March period, Doosan Heavy posted a net loss of 371.4 billion won (US$302 million), shifting from a net profit of 52.8 billion won a year earlier, the company said in a statement. The company said the net loss is mainly blamed on severance payments and losses from equity ties with Doosan Bobcat Co. D

IndustryMay 15, 2020

SsangYong Motor posts record Q1 loss amid virus woes

SsangYong Motor reported on Friday that its net loss sharply widened in the first quarter compared to a year earlier, marking the 13th consecutive quarter in the red, amid growing worries over the coronavirus outbreak. Net losses for the January-March quarter deepened to 193.54 billion won ($157 million) from 26.12 billion won in the year-ago period, the company said in a statement. "Disrupted production by the coronavirus outbreak and weaker sales amid virus fears cut into the bottom

IndustryMay 15, 2020

All Korean airlines report losses in Q1 amid pandemic

All South Korean airlines -- both major and low-cost -- have posted quarterly losses as the pandemic dampened travel demand and slashed flight numbers. The nation’s largest airline, Korean Air, has turned into a deficit in three quarters. It posted an operating loss of 56.6 billion won ($45.9 million) in the January-March period according to the firm’s regulatory filing Friday. Its sales reached 2.3 trillion won, down 22.7 percent from the same period last year. Its passenger bus

MobilityMay 15, 2020

Coupang, KB Kookmin to start early payout for virus-hit SMEs

E-commerce giant Coupang said Friday it has partnered with KB Kookmin Bank to launch early payout services for merchants, through which small and medium-sized business owners will receive payment for their sales in advance of the regular payday. Through the early payout on Coupang’s Marketplace, the nation’s biggest online platform for merchants, the e-commerce firm aims to financially support the coronavirus-hit SMEs, who are in need of cash either to pay their employees’ sa

MarketMay 15, 2020