[#WeFace] ESG investing: Not just about financial performance, but also social responsibility

The Korea Herald is publishing a series of interviews with executives of South Korea’s leading corporations on their response to environmental, social and corporate governance, or ESG, issues, which have become central factors globally in measuring the sustainability of an investment or business decision. -- Ed. Despite South Korea’s relatively short history of investing related to environmental, social and governance issues, local financial companies have been jumping on the ESG b

May 18, 2021

Seoul stocks rebound on tech and chip gains

South Korean stocks closed higher Tuesday, rebounding from a decline the previous session, on bargain hunting for tech and semiconductor shares. The Korean won rose against the US dollar. The benchmark Korea Composite Stock Price Index (KOSPI) advanced 38.53 points, or 1.23 percent, to 3,173.05. Trading volume was moderate at 774.38 million shares worth some 13.71 trillion won ($12.07 billion), with gainers outnumbering losers 571 to 279. Foreigners sold a net 347.2 billion won, and retail in

May 18, 2021

Anonymous social media firm attracts $37m in series C funding

Team Blind, the operator of anonymous social network platform Blind, has raised $37 million won in its latest funding round, picking up the pace to go public in the US stock market, the company said on Tuesday. Blind has more than 5 million users who spend an average of 40 minutes a day. In Korea, 85 percent of employees working for companies with 300 workers or more have joined the social media. In the US, the platform is often used as a venue to discuss workplace topics, such as job openi

May 18, 2021

NH NongHyup launches biometric boarding service

NH NongHyup Bank, one of South Korea‘s five major banks, said Tuesday it has launched biometric boarding service via mobile applications for the first time as a financial institution here. Customers who registered their palm vein patterns at the bank’s branches will be able to travel aboard a domestic flight through contactless biometric boarding process at Gimpo International Airport, Jeju International Airport and Gimhae Airport, the bank said. Up until now, registration of bio

May 18, 2021

Eximbank to fund purchase of containers by HMM for $30m

The Export-Import Bank of Korea said Tuesday that it would provide $30 million to fund the purchase of 34,000 twenty-foot equivalent unit containers by the nation’s top shipper, HMM Co. The state-run lender will provide the senior debt, while Multi Asset Global Investment, an alternative investment fund operator under financial giant Mirae Asset Financial Group, will manage subordinated debt funds worth $10 million. Mirae Asset Securities, the key brokerage unit of Mirae Asset Financial G

May 18, 2021

Ex-presidential adviser named head of Korea’s sovereign wealth fund

Sovereign wealth fund Korea Investment Corp. said Tuesday that Jin Seung-ho, the former presidential adviser for balanced national development, had started his three-year term as its chief executive officer. Jin is the eighth CEO of South Korea’s only sovereign wealth fund, overseeing $183.1 billion worth of dollar-denominated assets entrusted by the Bank of Korea and the Finance Ministry as of 2020. He succeeded Choi Hee-nam, whose three-year term started in 2018. In an inaugural speech

May 18, 2021

Seoul stocks open higher on institutional buying

South Korean stocks opened higher Tuesday as institutional investors sought to pick up oversold shares after the index declined the previous session amid lingering inflation concerns. The benchmark Korea Composite Stock Price Index (KOSPI) rose 16.13 points, or 0.51 percent, to 3,150.65 points in the first 15 minutes of trading. The local index rebounded, led by institutional buying, after the KOSPI dipped 0.6 percent the previous session, shrugging off an overnight decline on Wall Street. In

May 18, 2021

KakaoBank’s Q1 net profit jumps 150%

KakaoBank, South Korea’s biggest online bank, saw more than a 150 percent growth in its first-quarter net profit due to an increase in interest income and transaction fees, the firm said Monday. Its net profit stood at 46.7 billion won ($41.1 million) in the first quarter, up 152.4 percent from 18.5 billion won from the same period last year, according to the banking unit of mobile giant Kakao. The company’s profit from transfer fees turned around from a net loss of 3.1 billion w

May 18, 2021

MMAA hires ex-Lotte insurance CIO

South Korean institutional investor Military Mutual Aid Association has named Lee Sang-hee, former top investor at Lotte Non-Life Insurance, as its new chief investment officer, the firm said Monday. Lee’s three-year term will start on Thursday, according to the institutional investor who manages 12.7 trillion won ($11.18 billion) in assets as of 2020. He will be responsible for overseeing 5 trillion-won worth of financial assets at MMAA -- including equities, fixed-income and alternative

May 17, 2021

[Herald Interview] Time is ripe for Korean property investors to increase risk profiles

South Korean investors have relied on core assets overseas, such as fully-tenanted commercial buildings in prime locations, but market changes and a low-interest environment across the globe mean that it’s time to change tack from such risk-averse approaches, an expert said. “Safe bets are no longer safe but expensive and scarce. Price competition is intensifying surrounding core assets because they are seeing a higher demand at home and abroad,” said Kim Jong-min, head of ove

May 17, 2021

KB Asset raises W1tr for AMP Capital’s infra debt funds

Seoul-based KB Asset Management said Monday it has fetched a total of 1 trillion won ($882.1 million) for infrastructure debt exposure in developed countries under a fund-of-funds scheme with Australia-based AMP Capital. The third-largest firm in Korea by the assets under management has raised a recent undisclosed amount of additional commitment from institutional clients for the private debt fund, reaching the milestone five years after it signed a memorandum of understanding with AMP Capital

May 17, 2021

Seoul stocks dip amid virus woes in Asia

South Korean stocks closed lower Monday as investors took caution over rising coronavirus cases in parts of Asia and assessed China's latest economic data that partially missed expectations. The Korean won fell against the US dollar. The benchmark Korea Composite Stock Price Index fell 18.80 points, or 0.6 percent, to 3,134.52 points. Trading volume was moderate at about 758.87 million shares worth some 14.33 trillion won ($12.6 billion), with losers outnumbering gainers 587 to 277. Foreigner

May 17, 2021

Middle-income households see sharpest drop in spending

Responding to the economic fallout from the COVID-19 pandemic, South Korea’s middle-income households turned out to have reduced private spending more sharply than those in the upper and bottom income brackets, state-run think tank Korea Development Institute said Monday.  The nation’s middle class, which generally refers to households belonged to the third highest income quintile that earn 40 percent to 60 percent of the median income, saw its consumption expenditures shrink 6

May 17, 2021

Seoul shares open higher on eased inflation worries

South Korean shares opened higher Monday, driven by retail buying amid eased concerns over post-pandemic inflation. The benchmark Korea Composite Stock Price Index (Kospi) rose 4.57 points, or 0.14 percent, to 3,157.89 points in the first 15 minutes of trading. The local index traded higher after a slump the previous week, tracking a sharp rise on Wall Street on Friday as investors shrugged off worries over inflation and rising commodity prices. In Seoul, top cap Samsung Electronics inched up

May 17, 2021

Bithumb faces mounting criticism over repeated server errors

Bithumb, South Korea’s second-largest cryptocurrency exchange by transaction volume, is facing mounting criticism over repeated glitches on its platform, which has accumulated to at least 11 times since April. As of Sunday, there were a total of 11 server delays that Bithumb disclosed officially since April, including the latest one Friday. The figure excludes temporary suspensions in transactions due to network issues. Bithumb’s server errors, ranging from suspension in price

May 16, 2021

[Contribution] Do optimists usually win?

One of the most over-used phrases of the past decade has been “buy-on-dips.” Many market analysts, including ourselves, have often reached for this phrase when considering the best course of action amid stock market volatility. However, it raises a broader question of whether this optimism has been the right course of action. When faced with the choice of stocks or bonds, should investors have defaulted to buying equities on dips, or would they have been better served by seeking s

May 16, 2021

Ruling party weighs easing loan regulations for young people, newlyweds

Lawmakers have been reviewing easing loan regulations to make it easier for young people and newlyweds to buy homes, including measures that could raise their loan-to-value ratios up to 90 percent, sources close to the matter said Sunday. Several options under discussion among ruling Democratic Party lawmakers include limiting the LTV in areas designated as “overheated speculative zones” -- such as Seoul’s affluent Gangnam district -- to 40 percent, while raising the LTV for p

May 16, 2021

Inflation fears lurk in Korea as consumer prices rise

Because of rising food prices, Lee Jung-min, a 30-year-old Seoul resident, has recently turned to home gardening to substitute buying vegetables from supermarkets. One of her main crops is green onions. By slicing off the roots of leftover green onions and putting them into a pot filled with soil and compost, Lee has successfully regrown a number of green onions enough for her to eat for a month. “I was shocked by the price of green onions, which surged to nearly 6,000 won ($5.31) ear

May 16, 2021

Korea Investment, Hana Financial, SK Securities to vitalize emission trading market

Three South Korean brokerage houses -- Korea Investment & Securities, Hana Financial Investment and SK Securities -- are expected to increase liquidity in the emissions trading market by joining as market makers, bourse operator Korea Exchange said Sunday. Beginning from Monday, the local investment firms are required to submit bids on emission related stocks that have a price difference between buy and sell worth less than 500 won ($0.44) for at least 30 minutes during every trading sessio

May 16, 2021

[Eye Plus] Revisiting forgotten beauty of Seoul’s nightscape

The Seoullo 7017, a city park built along a former highway overpass, is an inviting spot for a refreshing night walk, offering the chance to recall the beauty of the city’s nightscape that has almost been forgotten due to the lingering pandemic and its impact on evening activities. Lights installed in the huge plant pots and small bulbs placed among the greenery light up the pathway at night, making visitors to feel walking among the stars. The park also uses the facade of Seoul Squ

May 15, 2021