Kakaobank gets final approval

Kakao Bank, the mobile bank of Kakao Corp., won its final regulatory approval Wednesday. The Financial Services Commission held a meeting Wednesday and gave the green light to Kakao Bank to operate as an internet bank that provides banking and financial services without any physical branch network. With the final regulatory hurdle cleared, the bank will begin its services as early as June after final checks and preparation, the company said.  “At the beginning we will provide basi

April 5, 2017

Korean shares down 0.04% in late morning trade

South Korean stocks traded lower late Wednesday morning as foreigners continued to offload stocks.The benchmark Korea Composite Stock Price Index lost 0.79 points, or 0.04 percent, to 2,160.31 as of 11:15 a.m.The broad index bucked overnight gains on Wall Street. The Dow Jones industrial average rose 0.19 percent, with the tech-heavy Nasdaq composite index climbing 0.07 percent.Bae Sung-young, a market analyst at KB Securities Co., said foreigners continued to sell South Korean stocks and there

April 5, 2017

K-Bank aims to post 1st profit in 2020

South Korea's first Internet-only bank, K-Bank, aims to report its first annual profit in 2020, the bank's chief executive has said, as it seeks to make inroads into the credit card business. Shim Sung-hoon, CEO of K-Bank, said the bank is targeting to attract 400,000 active customers by the end of this year with deposits worth 500 billion won ($445 million).Shim Sung-hoon, CEO of K-Bank, speaks during the launch ceremony of the bank on April 3, 2017 (Yonhap)"Given the current situation on inter

April 5, 2017

Seoul stocks open higher on US gains

South Korean shares opened higher Wednesday, tracking gains on Wall Street.The benchmark Korea Composite Stock Price Index rose 0.03 point to 2,161.13 in the first 20 minutes of trading.The main index tracked overnight gains on Wall Street. The Dow Jones industrial average rose 0.19 percent, with the tech-heavy Nasdaq composite index climbing 0.07 percent.Most large-cap stocks were mixed across the board.Naver, the top Internet portal operator, gained 0.59 percent, and top steelmaker POSCO was u

April 5, 2017

Seoul stocks down 0.30% on profit-taking

South Korean stocks ended slightly lower Tuesday on increased selling by foreigners and institutions.The Korean won fell against the US dollar.The benchmark Korea Composite Stock Price Index shed 6.41 points, or 0.30 percent, to 2,161.10Bae Sung-young, a market analyst at KB Securities Co., said the foreign selloff and profit-taking by investors are to blame for losses in the main bourse.Institutions remained net sellers of local stocks, selling more than 123 billion won ($109 million) and forei

April 4, 2017

Policy loans to be expanded for people with mid-level creditworthiness

The financial regulator said Tuesday it will allow mutual savings banks to extend policy loans to people with mid-level creditworthiness and those who have difficulty borrowing money from banks. Starting in June, mutual savings banks, such as the Nonghyup and Suhyup banks, will make non-mortgage policy loans worth 200 billion won ($178.3 million) with an annual interest rate of 9 to 14 percent to such people, the Financial Services Commission said in a statement.  Yim Jong-yong, chairman of the

April 4, 2017

Over 60,000 accounts opened on second day of online-only bank

South Korea’s first online-only bank provided over 60,000 accounts to new subscribers as of Tuesday, since its opening Sunday. As of 3 p.m. Tuesday, the bank issued a total of 61,501 bank accounts and 53,960 debit cards. It also accepted 4,123 loan applications. The figures showed the internet-only bank is off to a smooth start, as the numbers drastically contrasted with the some 12,000 bank accounts created per month through 16 commercial banks’ online services in Korea for a year from December

April 4, 2017

Korean shares down 0.07% in late morning trade

South Korean stocks narrowed losses Tuesday, as extended gains in Samsung Electronics helped prop up the main index.The benchmark Korea Composite Stock Price Index lost 1.51 points, or 0.07 percent, to 2,166.00 as of 11:15 a.m.The decline followed overnight losses on Wall Street. The Dow Jones industrial average lost 0.06 percent, with the tech-heavy Nasdaq composite index declining 0.29 percent.Kim Ye-eun, an analyst at Cape Investment & Securities, said gains in Samsung Electronics helped narr

April 4, 2017

FDI pledges drop 9.2% in Q1

New foreign direct investment pledged to South Korea fell 9.2 percent in the first three months of the year amid rising uncertainties at home and abroad, the government said Tuesday.Fresh FDI committed to the country in the January-March period came to $3.85 billion, down from $4.24 billion a year earlier, according to the Ministry of Trade, Industry and Energy.The amount of new FDI arriving here, however, soared 38.1 percent on-year to $2.77 billion over the cited period, the ministry said.New

April 4, 2017

Korean shares open lower on Wall Street losses

South Korean stocks opened lower Tuesday, tracking overnight losses on Wall Street.The benchmark Korea Composite Stock Price Index lost 7.29 points, or 0.34 percent, to 2,160.22 in the first 15 minutes of trading.The decline followed overnight losses on Wall Street. The Dow Jones industrial average lost 0.06 percent, with the tech-heavy Nasdaq composite index declining 0.29 percent.Most large-cap stocks were mixed across the board.Market bellwether Samsung Electronics Co. gained 0.77 percent, an

April 4, 2017

Corporate investments drop in 2016, led by top 3 conglomerates

Investments by the country's top 30 conglomerates by assets dropped 18 percent in 2016 from a year earlier, with the top three business groups leading the overall decline, a tally from a corporate tracker showed Tuesday.The 30 business groups, which control 266 affiliates, invested 60.69 trillion won ($54.3 billion) in tangible and intangible assets last year, a 13.39 trillion won, or 18.1 percent, drop from a year earlier, according to CEO Score.(Yonhap)Of the difference, 95.6 percent of the am

April 4, 2017

Korean shares edge up on gains in tech shares

South Korean stocks finished slightly higher Monday helped by gains in information-technology stocks. The Korean won rose against the US dollar.The benchmark Korea Composite Stock Price Index rose 7.28 points, or 0.34 percent, to hit 2,167.51. Kim Ye-eun, an analyst at Cape Investment & Securities, said investors' buying of Samsung Electronics Co. and chipmaker SK hynix Inc. drove up the main index."Improved first quarter earnings estimates in information-technology companies, such as Samsung El

April 3, 2017

Korea’s first online-only bank starts business

South Korea’s first internet-only banking firm K bank officially launched its business Monday, vowing to offer higher interest rates for depositors and lower interest rates for marginalized borrowers, as the company saves costs from having no brick-and-mortar branches. K bank’s services are available 24/7 on a smartphone app and on the internet. It offers five kinds of deposit products, three loans and two check cards.One of its representative products include the Code K Regular Deposit which of

April 3, 2017

Mortgage loans edge up in March on increased home transactions

South Korea's mortgage loans edged up 0.05 percent in March from a month earlier on increased home transactions, bank data showed Monday.The accumulated mortgages rolled out by six major lenders -- KB Kookmin Bank, Shinhan Bank, Woori Bank, KEB Hana Bank, NH Bank and the Industrial Bank of Korea -- stood at 378.06 trillion won ($339 billion) in March, up 211.7 billion won from a month earlier, according to official data.(Yonhap)The increase came as the number of home sales went up. The number of

April 3, 2017

Korean shares up 0.26% in late morning trade

South Korean stocks extended gains late Monday morning helped by gains in information-technology stocks.The benchmark Korea Composite Stock Price Index rose 5.58 points, or 0.26 percent, to hit 2,165.81 as of 11:20 a.m.The broad index didn't follow Friday's losses on Wall Street.The Dow Jones industrial average dropped 0.31 percent, with the tech-heavy Nasdaq composite index declining 0.04 percent.Kim Ye-eun, an analyst at Cape Investment & Securities, said investors' buying on Samsung Electroni

April 3, 2017

Korean shares open higher despite US losses

South Korean stocks opened higher Monday, despite losses on Wall Street late last week.The benchmark Korea Composite Stock Price Index gained 2.82 points, or 0.13 percent, to 2,163.05 in the first 15 minutes of trading.The broad index didn't follow Friday's losses on Wall Street.The Dow Jones industrial average dropped 0.31 percent, with the tech-heavy Nasdaq composite index declining 0.04 percent.Large-cap stocks were mixed across the board. Market bellwether Samsung Electronics Co. gained 0.92

April 3, 2017

[Kosdaq Star] Improved consumer sentiment, competitiveness to boost CJ O Shopping

This is the 38th in a series of articles analyzing major companies traded on the tech-heavy Kosdaq market. – EdCJ O Shopping, a leading home-shopping channel in South Korea, is likely to benefit from recovering consumers’ sentiment as the country is set to hold the presidential election in May, as well as an overall improvement in its competitiveness analysts here predicted.Shares in CJ O Shopping, the 12th largest on the tech-heavy Kosdaq market in terms of market capitalization with 1.3 trilli

April 2, 2017

[Herald Interview] Teachers’ Pension eyeing infrastructure in Europe, Asia

 Teachers’ Pension, South Korea’s second-largest retirement pension, is eyeing investment opportunities in infrastructure projects in Europe and Asia while targeting the fund’s annual yield at 4.2 percent this year, its chief investment officer told The Korea Herald. David Park, the new CIO of the pension fund, took office in January. He is well-known in the financial industry for his expertise in infrastructure investment. Prior to joining the pension fund, he served as CIO of Allianz Life Insu

April 2, 2017

Guidelines eased on policy loans for low-income earners

South Korea's financial regulator said Sunday that it has eased guidelines on policy loans for low-income earners, allowing them to benefit from the government-backed micro-financing programs. Details of the eased guidelines were finalized at a meeting between Jeong Eun-bo, vice chairman of the Financial Services Commission and representatives from private banks on Friday, the FSC said in a statement.  (Yonhap)The move is aimed at helping owners of mom-and-pop stores and college graduates, who a

April 2, 2017

Commercial lenders pressured to accept Daewoo Shipbuilding debt rescheduling

Creditors of cash-hungry Daewoo Shipbuilding & Marine Engineering Co. are ratcheting up pressure on commercial lenders to accept a massive debt-for-equity swap, a three-year grace period on remaining debt and other debt rescheduling measures to keep the shipyard afloat, industry sources said Sunday.According to the sources, the creditors, led by the state-run Korea Development Bank, are also pressing the labor union of Daewoo Shipbuilding to accept a pay cut and job cuts as well. (Yonhap)Late la

April 2, 2017