Foreign ownership of KOSDAQ shares inches down

Foreign ownership of shares traded on South Korea's secondary KODSAQ bourse has edged down over the past month as offshore investors seek profits following a recent rally, data showed Sunday.As of Friday, foreign investors held 10.96 percent of the tech-laden market, down 0.22 percentage point from the end of last December, according to the data compiled by the Korea Exchange.The KOSDAQ closed up 0.43 percent at 600.81 on Thursday, breaching the 600 mark for the first time in more than six years

Feb. 8, 2015

Gov't to take proactive measures to prepare for market volatility

South Korea will take proactive measures to prepare for any market volatility that can disrupt efforts to revive economic growth, including revamping the levy on foreign debts, a senior policymaker said Friday.  Speaking at the macroeconomic financial meeting in Seoul, Vice Finance Minister Joo Hyung-hwan cited various external developments that were raising financial market risks -- the likelihood of the U.S. hiking up interest rates in the second half of 2015, concerns about the economic funda

Feb. 6, 2015

S. Korea's economy remains bogged down amid some positive signs: KDI

South Korea's economy remains bogged down despite some signs of improvement in industrial output and private consumption, a state-run think tank said Thursday.   The Korea Development Institute said the latest indicators gave off mixed signals with exports, factory operational rates and the construction sector backtracking.  Such developments occurred as industrial production and shipments increased along with private consumption in durable goods, and recent data also showed modest gains in faci

Feb. 5, 2015

Direct overseas stock investment by S. Koreans surges

Direct overseas stock investment by Koreans surged sharply last year as investors sought higher returns from abroad with the local stock market in a protracted lull, data showed Thursday.  The amount of direct investments in foreign stocks stood at 8.84 trillion won ($8.14 billion) in 2014, up 49 percent from a year ago and more than double that of 2012, according to data compiled by the Korea Securities Depositary Corp.  Koreans bought $5.1 billion worth of U.S. stocks last year, a 43.6 percent

Feb. 5, 2015

Seventh round of RCEP trade negotiations to be held next week

A fresh round of negotiations for a regional free trade agreement, known as the Regional Comprehensive Economic Partnership, will be held in Thailand next week, the Seoul government said Thursday.  South Korea will take part in the seventh round of RCEP negotiations in Bangkok from Monday through Friday, according to the Ministry of Trade, Industry and Energy.  The negotiations currently involve 15 other countries, including China, Japan and all 10 member countries of the Association of Southeas

Feb. 5, 2015

Head of private watchdog took bribes from Lone Star: prosecutors

The head of a private investor watchdog has been arrested on charges of taking bribes from Lone Star Funds in return for keeping quiet about its controversial sale of a local bank in 2012, prosecutors said Wednesday.  Jang Hwa-sik, chief of Spec Watch Korea, which monitors what it calls speculative foreign investors, was arrested a day earlier on charges of professional negligence, the Seoul Central District Prosecutors' Office said.  Jang is suspected of having taken hundreds of millions of won

Feb. 4, 2015

Tax reform at crossroads as welfare demands pile up

If broader welfare without a tax hike sounds too good to be true in a country where people live longer and give birth to fewer babies in an era of slow economic growth, it probably is.  Taking office two years ago with the promise of more social welfare, President Park Geun-hye said she will dig up the underground economy for tax revenue and eliminate unnecessary spending to finance welfare programs, such as child care, college tuition support and a pension plan for seniors.   So far, the govern

Feb. 4, 2015

Seoul court orders stop to Hana-FEB merger process

A Seoul court on Wednesday ordered a suspension of merger moves between two local banks, siding in part with one of the bank's unions which accused the other of violating a promise not to seek the merger until 2017.  The Seoul Central District Court issued an injunction stopping Hana Financial Group from pushing ahead with the merger of its flagship Hana Bank with the Korea Exchange Bank. The injunction is effective for the first half of this year. The court decision effectively bans Hana Financ

Feb. 4, 2015

New Standard Chartered Korea chief rules out market exit

Standard Chartered Korea has no plans to exit or scale back its operations in the country, its first Korean chief said Wednesday, dismissing persistent rumors it may downsize the local unit due to the British banking giant's sagging profit.  "There have been many talks on exiting or downsizing. I hope the appointment of a Korean head will wipe out those talks. My biggest interest is the job security of some 6,000 employees," said Park Jong-bok, who was promoted to bank president and group chief

Feb. 4, 2015

Majority of S. Korean companies worried about long-term economic slump

More than 80 percent of major South Korean companies are concerned that the ongoing economic slump is not temporary, but a deep-rooted recession, a survey showed Wednesday.  According to a poll of the top 29 conglomerates conducted by the Federation of Korean Industries, 24 companies, or 82.8 percent, replied that South Korea is on the verge of a structural, long-term recession this year, while the rest viewed the slump as temporary.  It also showed that 55.2 percent of the respondents said they

Feb. 4, 2015

Foreigners remain net sellers for 2 straight months

Offshore investors remained net sellers of South Korean stocks for the second consecutive month in January while they turned net buyers of local bonds as the global economy was affected by volatile oil prices and other uncertainties, the financial watchdog said Wednesday.  Foreigners sold a net 949 billion won ($869 million) worth of local stocks last month, compared with a 1.9 trillion won net selling the previous month, according to the Financial Supervisory Service.  Their stock ownership cam

Feb. 4, 2015

S. Korea's top selling products inch up in 2013

South Korea made more of the world's top-selling products in 2013 than a year earlier, raising its ranking by a notch, the country's trade association said Wednesday.  Asia's fourth-largest economy had 65 best sellers in the global market, placing 12th, compared with 63 in 2012 and 61 in 2011, according to a report from the Korea International Trade Association. Its ranking also rose from 14 and 15 in 2012 and 2011, respectively.  China topped the list with 1,538 items that sold the most in 2013

Feb. 4, 2015

Major S. Korean exporters losing impact on KOSPI

The weight of South Korea's major exporters in the local stock market diminished over the past two years as their earnings were hit by the slow recovery of the global economy, data showed Wednesday.   The combined market capitalization of nine leading firms in tech, auto, chemical and shipbuilding -- the nation's traditional economic drivers -- tallied at 325.78 trillion won ($296.37 billion) as of Jan. 23, down 17.5 percent compared to two years ago, according to data compiled by Dongbu Securit

Feb. 4, 2015

Civic groups urge probe into KEB-Lone Star damages deal

Local civic groups said Tuesday they have asked the financial regulator to look into allegations that Korea Exchange Bank, South Korea's fifth-largest bank, paid the majority of damages its American stakeholder was ordered to pay for manipulating stocks in 2003.  In 2012, the Supreme Court convicted Lone Star Funds of artificially reducing the share prices of KEB's credit card unit by spreading false rumors of its plans for a capital reduction. The Texas-based equity firm did this so it could bu

Feb. 3, 2015

S. Korea tops China's import market last year

South Korea topped China's import market last year thanks to strong demand for its semiconductors, auto parts and computer-related equipment, industry data showed Tuesday.  According to the data provided by the Korea International Trade Association, China imported $1.96 trillion worth of products last year, of which South Korean goods came to $190.3 billion.   That represented a 9.7 percent of China's total imports last year, up from the previous year's 9.2 percent. South Korea kept its top stat

Feb. 3, 2015

Seoul shares close higher on weak oil prices

South Korean stocks closed higher Monday as investors expected local exporters to get a boost from weak oil prices, analysts said. The local currency dropped against the U.S. dollar.The benchmark Korea Composite Stock Price Index gained 3.42 points, or 0.18 percent, to close at 1,952.68. Trading volume was moderate at 357.89 million shares worth 4.3 trillion won ($3.9 billion), with gainers outpacing losers 444 to 365.Analysts said the weak oil prices upped the earnings outlook of exporters such

Feb. 2, 2015