Samsung Life Ready to Go Public

Company will go to any length to boost its value through IPO during 1st half

President Lee Soo-chang of Samsung Life Insurance Co. believes that his company’s staff should redo its work nine times to make sure it is completed without faults. The CEO has been making points on his new ideas on how a job should be done at the company to prepare for its upcoming initial public offering to list shares on the Korea Exchange for the first time in its history.
Lee wants to make sure that the price of the company’s IPO will rise as much as possible, boosting its market capitalization. During a meeting held on Feb. 2, he said everyone with the company should go over work he or she completed for the company nine times to make sure it is done right, as it is a sure way to boost the market capitalization of Samsung Life when it goes public.
Lee picked number nine because it is said to bring good luck throughout this year according to a traditional custom related to the start of the spring season by the lunar calendar on Feb. 4. “Anyone who does his job nine times over will be given good luck by shaman gods throughout this year” as a traditional saying goes.
Lee said every officer and staff member with the company should think about what they have to do to provide better services to their customers nine times over in their heads. “If everyone does that, the company’s market capitalization will be boosted very high,” Lee said.
In other words, life insurance consultants should meet with nine potential customers daily and their bosses should make calls to nine consultant candidates daily.
Not many people pay for insurance to receive coverage for only a few days or years. The main purpose of buying insurance is to be protected against accidents and diseases for the next 20 to 30 years. However, the domestic financial environment is changing rapidly and the financial industry is becoming like a war zone where financial institutions are engaged in fierce competition. How can you be sure which insurance companies will survive 30 years from now? The stability of an insurance company is based on its asset management capabilities.
An insurance company’s asset management capabilities have direct effects on profits from performance management products such as variable life insurance policies. In order to ensure long-term and stable returns instead of aiming at short-term and high returns with high risks, an insurance company must have the capabilities to conduct a microscopic analysis of various financial products as well as the ability to understand macroscopic variables. Just because a financial product has a high value for a few days, it does not mean that it will yield high profits 30 years later.
Samsung Life’s professional asset managers are some of the most competitive people in the financial industry. Their know-how and information network accumulated in the process of investing nearly 100 trillion won in various investment products throughout the world are what set Samsung Life apart from other companies. The accumulated information and knowledge are the basis for directly and indirectly helping customers manage their assets. Samsung Life’s asset management services are different.
With over 470 professional asset managers, Samsung Life has the largest team of asset managers in Korea. They ensure high profits through various vehicles for over 100 different types of asset classes in the seven major areas of investment, such as stocks, bonds, alternative investment, retail finance, corporate finance, real estate and short-term assets.
Samsung Life began investing in foreign countries in 1996. Having invested over 15 trillion won in foreign countries as of the end of March 2009, Samsung Life is now recognized as the best in Korea in terms of investment size and management capabilities. Investing in the United States, Europe and emerging Asian markets, there are no limits to Samsung Life’s investment activities.
Samsung Life invests heavily in training and recruiting talented employees. Samsung Life boasts the highest number of people with Ph.D. and MBA degrees as well as CPA’s, CFA’s (Chartered Financial Analysts), CCIM’s (Certified Commercial Investment Members) and FRM’s (Financial Risk Managers).
Samsung Life is one of the most conservative companies where analyzing its asset management performance is concerned. Samsung Life prepares for the worst in the financial market in order to keep its promises to the customers. Samsung Life clearly recognizes the fact that minimizing the number of uncertainties and ensuring stable asset management are what policyholders demand above all. Samsung Life focuses on value investment in order to ensure good investment performance over the long term. nw

President Lee Soo-chang of Samsung Life Insurance Co.