Lee Kyung-min
Korea Times AI content 2 team Reporter
Value context and insight. lkm@koreatimes.co.kr
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For healthy life
Space Consulting Group chief architect Yoo Hyun-joon, speaks at a conference organized by Hanwha Life at a studio in Seoul, Nov. 1. The Lifeplus Conference, held to teach participants how to lead a healthy and better life, was attended by employees of Hanwha Group's non-life insurance, investment and securities, asset management and savings bank subsidiaries. Courtesy of Hanwha Life
Major card firms manage to post solid profit in Q3
By Lee Kyung-min Korea's major credit card companies have seen their net profit jump in the third quarter, due in large part to overseas expansion and business diversification into leasing and auto financing. The better-than-expected performance came despite concerns that their bottom lines could be significantly hurt following the government-led transaction fee cut, designed to help small and medium sized enterprises (SMEs). Shinhan Card, the largest plastic issuer by assets, reported 139.8 billion won ($120 million) in net profit in the July-September period in 2019, up 23 percent from a year ago. But the figure dropped by 6.2 percent from a quarter ago mostly due to the transaction fee cut. The firm's net profit in the first nine months also jumped to 411 billion won, a 3.9 percent increase from the year before.KB Kookmin Card posted 104.9 billion won in net profit in the third quarter of 2019, a 36.4 percent increase from the previous year. The January-September figure reached 251 billion won, up 2.2 perce
Boosting ties with Hong Kong
NongHyup Bank CEO Lee Dae-hoon, left, shakes hand with Invest Hong Kong Investment Promotion Director-General Stephen Phillips at the bank's headquarters in Seoul, Oct. 30. The two agreed to boost ties to help the Korean bank set up branches in Hong Kong and help Korean startups expand there. Courtesy of NongHyup Bank
Experts divided over future course of BOK rate policy
By Lee Kyung-min Economic experts have been split over whether the Bank of Korea (BOK) will lower its key rate further, following a 25 basis points cut by the U.S. Federal Reserve, Oct. 30 (local time). Some say the U.S. rate cut reduced the fear of foreign capital outflow from Asia's fourth-largest economy, thereby giving the BOK more room to maneuver amid declining exports and weakening consumption over the past few monthsHowever, others say more patience is required to accurately assess the “rapid” 50 basis points cut over the past three months. The U.S. Fed lowered interest rates for the third time this year to a range of 1.5 percent to 1.75 percent, as the world's largest economy continues to experience slowing growth amid its drawn-out trade feud with China and weak global trade expansion. Park Chong-hoon, chief economist at SC First Bank, said the BOK would probably take a wait-and-see approach rather than resorting to an outright cut in the near future.“The U.S' 25 basis point cut is deemed a mid-cycle adjustment in an economic expansion, as indicated by Fed
Life insurers face worst earnings momentum
gettyimagesbankBy Lee Kyung-min Most life insurers are expected to suffer continued weak earnings stretching into the third quarter, due to fast-declining sales of key products and poor asset management amid low interest rates, data showed Wednesday. Apart from Samsung Life and Tongyang Life, both of which managed to avoid an earnings shock thanks to income following the sales of subsidiaries, most of them will report a double-digit drop in the July-September period. According to data from FnGuide, a financial information provider, Samsung is expected to record 307.8 billion won ($263 million) in net profit in the third quarter, up over 3 percent from the year before. But about a third, or 100 billion won came from the sale of a real estate investment trust to Kyobo Life. Tongyang's expected 80.5 billion won in net income in the same period would have been worse had it not been 80 billion won in income earned after selling off an asset management subsidiary to Woori Financial Group. Hanwha reported the worst performance with its third quarter net profit dropping to 62 billion won, sl
Kyobo implements 'AI-based' underwriting system
Kyobo Life Chief Operating Officer Yun Your-hyun, left, holds the Technology Initiative of the Year award at the 23rd Asia Insurance Industry Awards 2019 in Singapore Tuesday (local time). Courtesy of Kyobo LifeBy Lee Kyung-min Kyobo Life Insurance said Wednesday that its artificial intelligence-based underwriting system Best Analysis and Rapid Outcome (BARO) is in full operation, providing real-time services to sales consultants and customers. Combined with the firm's underwriting manual, BAROfacilitates the online underwriting process via instant communication with sales consultants and underwriters whose role has now become more focused on assessment of higher-risk, higher-stakes insurance contracts. “BARO is designed not only to have the same rational thought process like human beings but also process word-specific inquiries,” a Kyobo official said. “This helps sales consultants save time in reviewing insurance subscription requests.” The system can deny or approve subscription requests following an eligibility review based on screening criteria such as pr
Boosting risk management
NongHyup Financial Group Chairman Kim Gwang-soo, center, raises his fist with the winners of the group's 2019 risk management contest at the group's headquarters in Seoul, Oct. 14. The contest was designed to improve the group's risk management system by sharing best practices among subsidiaries. Courtesy of NongHyup Financial Group
Open banking to begin next week
gettyimagesbankBy Lee Kyung-min Customers will be able to manage all of their bank accounts using just one app operated by one of the country's 10 leading banks from Oct. 30 as the government will run a new financial data management and operating system called “open banking” on a trial basis.Under the new system, using only one app, customers will be allowed to check all their accounts at different banks and wire cash between them in a faster, more convenient way.According to the Financial Services Commission (FSC), 18 banks and 128 fintech firms applied to make their services available via the comprehensive joint payment system. The full-scale implementation of open banking will take place after the pilot test of the 10 banks.Based on an application programming interface (API), an intermediary program that enables various software to interact, the new system will enable both commercial banks and fintech firms to have equal access to financial data regardless of whether they have an online platform. The apps from the 10 banks will have an “open banking” icon,
Human-centered digital services
NH Financial Group Chairman Kim Gwang-soo, sixth from left, and NongHyup Bank CEO Lee Dae-hoon, fourth from left, applaud with the heads of group subsidiaries and other officials during a ceremony to declare its corporate vision of valuing human-centered digital services at the group's headquarters in Seoul, Oct. 28. Courtesy of NH Financial Group