April 19, 2024

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A visual concept image of a wind turbine reflected on a surface of a solar power panel (123rf)

The combined value of KB Asset Management’s environmental, social and corporate governance funds exceeded 3 trillion won ($2.7 billion), the South Korean company said on March 31.

Its ESG-themed funds pooled investments worth some 600 billion won during the first quarter alone, added the Seoul-based asset management firm.

In terms of the assets under its management, funds targeting alternative assets came to 2.1 trillion won, while those dedicated to equities and exchange-traded funds at home and abroad amounted to 640 billion won and those investing in bonds stood at 260 billion won.

KB Asset said in a statement that it had strived to introduce internal ESG guidelines after partnering with Korean ESG rating agencies the Daishin Economic Research Institute and Korea Corporate Governance Services. The guidelines allowed the investment firm to assign scores to Korean firms’ ESG commitments on a seven-point scale and to take ESG factors into account when selecting external partners for foreign investing, it added.

The company plans to launch an infrastructure fund in line with the Moon Jae-in administration’s Green New Deal initiative, as well as green-themed funds targeting foreign assets in the near future.

KB Asset is the nation’s third-largest asset management firm, overseeing 95 trillion won worth of assets as of last week.

By Son Ji-hyoung (consnow@heraldcorp.com)