October 25, 2021

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EDITOR'S PICKS

• Markets 
  

  S. Korea alarmed by surging fuel prices, inflationary pressure

  South Korea has been alarmed by rising inflation due to surging fuel prices and is likely to cut taxes on oil and liquefied natural gas by 15 percent and 2 percent, respectively, to ease some upward pressure, sources said Oct. 24. The government has been reviewing various measures to alleviate inflationary pressure after the nation’s central bank said that producer prices in September saw the largest on-year gain in a decade. The producer price index, a barometer of future consumer infla

• Markets 
  

  IPO market growing weak over market volatility

  South Korea‘s initial public offering market that hit a record high in the first half has been suffering plunging profit rates since July, market insiders said Oct. 24. According to Korea Exchange, the country’s stock market operator, stocks of 40 companies sold through public subscriptions saw an average of 27.5 percent in profit from July through Oct. 21. The figure has nearly shed half compared to the 53.8 percent average profit rate of 52 companies’ stocks that went public

• Markets 
  

  [ESG Talk] Overseeing ESG risks in supply chain: procurement with a purpose

  Is environmental, social and governance responsibility a cost or opportunity for companies? Most emphasize the opportunity aspect of ESG. Unfortunately, many South Korean entrepreneurs still perceive ESG as a risk factor and consider it the costs of doing business. In 2022, an area that is likely to strain companies’ transition toward a resilient, sustainable economy is the ESG risks in the supply chain. Companies must now closely monitor issues stemming from climate change, labor rights a

• Markets 
  

  Bitcoin inches closer to record high amid ETF launches

   　The world’s largest and best-known cryptocurrency, Bitcoin, hit 80 million won ($67,900) on Thursday in South Korea, inching closer to a historical high, following the much-anticipated listing of a Bitcoin exchange-traded fund in the US. 　Bitcoin briefly touched 81.2 million won at around midnight, the largest crypto exchange, Upbit, said on Oct. 21. On April 14, Bitcoin reached a record high of 81.48 million won. As of 1:50 p.m., Bitcoin was trading at 79 million won on Upbit and

• Markets 
  

  Buying a home main aim of 8 in 10 young investors in stocks, crypto

  　Eight out of 10 young Koreans are currently investing in stocks, funds, cryptocurrencies and other assets, and their main purpose behind making such investments is to buy a home, a survey showed Oct.21. 　According to the survey conducted by insurance agency Rich Planner Consulting Co. of 1,000 Koreans in their 20s and 30s, 88.2 percent of them answered they are investing in stocks. Nearly 35 percent said they are trading cryptocurrency. 　For the purpose of investment, 42.2 percent of young in

• Markets 
  

  New law to foster Koreans’ private credit deals

  　South Korean private fund managers are poised to take advantage of revised rules and dedicate themselves to the domestic nonbank lending business with legal clarity. 　Starting Oct. 21, when amendments to the Financial Investment Services and Capital Markets Act went into effect, private funds comprising no more than 100 backers are entitled to carry out private credit strategies in Korea. 　Under the new rules, any Korea-domiciled private fund may extend nonbank loans to corporations. Direct l

• Markets 
  

  Shinhan Bank opens Hungary office

  　Shinhan Bank said Oct. 21 it has opened an office in Hungary, becoming the first South Korean commercial lender to enter the central European country. 　The flagship lender under the nation’s No. 1 banking group by assets said it was granted the license to operate by the Hungarian National Bank in September and opened the office on Oct. 19. 　It also marked Shinhan’s latest overseas market entry since the launch of its subsidiary in Mexico in 2018. 　The new office is expected to

• Markets 
  

  KB Financial‘s Q3 profit hits record high

  　South Korea’s KB Financial Group said Oct. 21 its net profit in the January-September period came to 3.7 trillion won ($3.14 billion), eclipsing last year’s annual net profit. 　KB’s net profit in the first nine months of the year jumped 31.1 percent on-year and surpassed last year’s annual net profit of 3.4 trillion won, hitting a record high for the cited period. Onlookers said that the banking group is likely to see a record high for fiscal 2021 as well, likely surpa