Korea Post Set to Expand
Investments across Asia
Forging strategic alliances with private financial institutions to provide diverse financial services via postal offices
Korea Post said it plans to diversify its portfolio into risky, stable and foreign assets and boost investments across Asia. The postal services unit of the Ministry of Information and Communication said it also plans to set aside 100 billion won and 800 billion won to invest into domestic and foreign stock markets, respectively.
Lee Sang-moo, chief of the Fund Management Team at Korea Post, said "We will realign our investment portfolio into risky, stable and foreign assets and off-shore investments will be new options for us."He made the remarks during a international on Korea's off-shore investments, organized by Hong Kong-based investment magazine, Asian Investment at the Weston Chosun in Seoul on July 6.
Lee said in the past, investments were limited to the domestic market, but simple changes in portfolios are meaningless due to globalization and off-shore investments are inevitable.
"We'll seek to make various investment tools such as private equity funds and estate and adopt a strategy of a "retain"mode after purchase."He said.
Korea Post said it recently set aide 500 billion won for investments into bond funds, and in the first installment out of the money, 370 billion won was executed, of which 200 billion was invested into bond funds in Asian markets, he said.
Lee said Korea Post plans to raise the portion of investments into the local stock market from current 3 percent to 5 percent, which means that an additional 1 trillion won would invest into the market.
In the meantime, Korea Post has designed Mirae Asset, KTB Asset Management and Hanwha Investment Trust Management Co. as the three managers of corporate debenture funds worth 100 billion won.
STRATEGIC ALLIANCE WITH MIRAE ASSET. Korea Post has signed an MOU with Mirae Asset to open Mirae Asset's securities accounts in post offices.
Under the agreement signed on June 22 at the Shilla Hotel in Seoul, customers are able to open stock brokerage, futures, options and beneficiary certificates from postal offices without visiting outlets of Mirae Asset.
Korea Post has signed MOUs with nine securities companies under which it offers agency services for stock brokerages.
An agreement, signed between Korea Post and CJ Investment Trust Management Co. in June of last year allows people in rural fishing and agricultural areas to open beneficiary certificates via postal offices that offer convenience for them. The agreement calls for an expansion of the scope of collaboration reaching from stock brokerage to futures and options and beneficiary certificates.
Korea Post President Jung Kyung-won plans to expand duty collaboration with private financial institutions to ease polarization of financial services between urban and rural areas. nw
Korea Post President Jung Kyung-won shakes hands with Mirae Asset President-CEO Choi Hyun-man after signing an MOU to open Mirae Asset's accounts via postal offices. |