S. Korean stocks lag behind Asian peers: data

South Korea's stock market has been in a relatively sharper slump compared with other regional rivals as local companies, undercut by a weak Japanese yen and a slowdown in economic growth, suffered a steep drop in their earnings, industry data showed on Sunday.South Korea's key stock index, the KOSPI, declined 1.23 percent this year through Friday, ranking 12th among 14 regional stock indices, according to the data compiled by the Korea Exchange. The Shanghai Composite Index posted the biggest g

Dec. 7, 2014

Foreign investors become net buyers of Korean stocks

Foreign investors turned to net buyers of South Korean stocks last month, ending their two-month selling streak as monetary stimulus in Europe and China spurred appetite for risky assets, the financial watchdog said Friday.Offshore investors bought a net 2 trillion won ($1.8 billion) worth of local stocks in November, a turnaround from a net sell-off of 2.1 trillion won a month earlier, according to the Financial Supervisory Service.The total value of their shareholdings came to 438.5 trillion w

Dec. 5, 2014

Lagging S. Korean brokers poised for M&A splash

A growing number of money-losing local brokerage houses are poised to merge with bigger rivals or go out of business as underdogs are grappling with low commission fees amid the prolonged slump in the South Korean equity market, according to company officials Friday. Calls have grown for active mergers and acquisitions (M&A) to restructure the crowded financial market as the securities firms are competing with similar business models that heavily rely on trading commissions, while the tepid loca

Dec. 5, 2014

Gov't sells part of stake in IBK

The government said Friday that it has sold a 3.8 percent stake, or 21 million shares, in the Industrial Bank of Korea (IBK) as part of efforts to raise money needed to meet growing fiscal spending.The sale was held before the opening of the stock market on Friday at 14,800 won (US$13.3) apiece, which was 2.3 percent lower than the previous day's closing price. The government raised 310.8 billion won in the process, according to the finance ministry. As a result, the government's stake in the IB

Dec. 5, 2014

Korea to set up consumer financial protection agency

The Korean financial regulator said Thursday that it would establish an independent state-run agency responsible for consumer protection in the financial sector next year, as part of the government’s plan to revamp the financial regulatory system and beef up consumer protection functions.The financial consumer protection body will enforce rules for the entire process of financial consumption, including the sale of financial products and remedies for financial losses, according to the Financial S

Dec. 4, 2014

Standard Chartered to pay out disputed dividends

Standard Chartered Korea is set to pay out 150 billion won ($134 million) as interim dividends to its overseas shareholders notwithstanding allegations that it is attempting to exit Korea on declining profits. “We will be submitting to the (Standard Chartered) board of directors the plans for paying out an interim dividend within the limit of 150 billion won as a reasonable return for shareholders,” said a spokesperson for SC Korea.Since 2005, Standard Chartered has invested 4.6 trillion won in

Dec. 4, 2014

Won-yuan trading market ‘high potential’ startup

South Korea’s finance minister called the newly-launched won-yuan trading market a startup with “high potential” on Monday, promising to provide necessary support for its successful operation.South Korea held a ceremony earlier in the day to mark the launch of the won-yuan trading market at the headquarters of Korea Exchange Bank in central Seoul. The market, which opens at 9 a.m. and closes at 3 p.m. every business day, is expected to help reduce overall exchange costs in exchanging between the

Dec. 1, 2014

Korea 3rd in Asian emerging markets for global stock buys

The South Korean stock market has taken third place in terms of investment by global investors trailing behind those in India and Taiwan this year, the Seoul bourse operator said Monday.Stock investors plowed a net $42.4 billion in seven Asian emerging markets as of Nov. 26, while setting aside 18.4 percent, or $7.81 billion, in the South Korean market, the Korea Exchange said. Six others include India, Taiwan, the Philippines, Indonesia, Taiwan and Vietnam.The investors purchased a net $5 billi

Dec. 1, 2014

Woori Bank head gives up reappointment

Woori Bank chief Lee Soon-woo said Monday he will not serve another term at the state-owned lender which is having trouble finding a private-sector owner.   In an e-mail sent to bank employees, Lee said that he has done his best during his three-year term at the state-controlled financial group that has been undergoing privatization under a government plan.   Lee's remarks come as the government's latest efforts to sell its controlling stake in Woori Bank, the country's third-largest lender, fai

Dec. 1, 2014

Foreigners turn to net buyers of local stocks in Nov.

Foreign investors turned to net buyers of South Korean stocks in November, ending their two-month selling streak, as central banks from major economies such as Japan and China stepped up their monetary easing measures, data showed on Monday.Overseas investors bought 1.8 trillion won (US$1.62 billion) worth of local shares last month, a turnaround from the 2 trillion won net sell-off in October and the 600 billion won net selling in September, according to the data compiled by the Korea Exchange.

Dec. 1, 2014

FSC eyes Woori Bank sale next year

South Korea’s financial authorities are considering trying again to sell a controlling stake in state-owned Woori Bank next year following the latest failure to put the lender in private hands, sources said Sunday.An auction to sell Woori Bank fell through Friday due to a lack of bidders, the government’s fourth failure to privatize South Korea’s No. 3 bank.“There is no change in the government’s stance of privatizing Woori Bank at an early date,” said an official at the Financial Services Commi

Nov. 30, 2014

Macquarie censured for malpractice in Korea

The South Korean unit of Australia-based asset manager Macquarie Funds Group faces a three-month business suspension and was fined 100 million won ($91,000) for business malpractice linked to bond trading, the country’s financial watchdog said Friday.According to the Financial Supervisory Service, Macquarie Investment Management Korea has been involved in the business malpractice of “parking” bonds at brokerages for a certain period, not immediately recording bond purchases on the balance sheets

Nov. 28, 2014

Sales bid for Woori Bank fails due to lack of bidders

An auction to sell state-run Woori Bank failed on Friday due to a lack of bidders, the financial regulator said, the fourth such failed attempt by the government to privatize South Korea's No. 3 bank.“After closing the bid for Woori Bank's managerial rights, only China's Anbang Property & Casualty Insurance Co. applied for it,” said the Financial Services Commission.At least two bidders are needed to make the auction valid, according to local laws.Anbang Insurance is a leading Chinese insurer, w

Nov. 28, 2014