Business - The Korea Times

Shinhan may undergo generational shift under incoming chairman

Jin Ok-dong, Shinhan Bank CEO and chairman candidate for Shinhan Financial Group / Courtesy of Shinhan BankBy Anna J. ParkAs incumbent Shinhan Bank CEO Jin Ok-dong was tapped early this month to take office as its next chairman in March, markets are focusing now on what changes he will bring to the group's management strategies. If Jin, who is currently the only nominee for the position, is officially approved as the next chairman at the group's shareholders meeting slated for March, he will begin his three-year chairmanship term.Considering that he could be re-elected for consecutive terms following the completion of his first term in March 2026, Jin's chairmanship could be a watershed for Shinhan Financial Group's long-term future growth, leaving huge repercussions for the next decade. Jin's management decisions will immediately impact the group at the end of this year, as a total of 10 heads of Shinhan's diverse subsidiaries, including brokerage, card, capital, venture investment and asset management units, are set to see their terms end this month. Ostensibly, incumbent Chairman

Dec 12, 2022By Anna J. Park

Shinhan may undergo generational shift under incoming chairman

Korea's top 3 banking groups included in Dow Jones Sustainability Indices

From left are the headquarters of KB, Shinhan and Hana Financial Group in Seoul. YonhapBy Lee Min-hyungKorea's three major financial holding firms ― KB, Shinhan and Hana financial groups ― have been included in the Dow Jones Sustainability Indices (DJSI) for their concerted efforts to fulfill environmental, social and corporate governance (ESG) principles, they said, Monday.The three banking groups were recognized for their diverse achievements in ESG management. KB Financial Group was included on the DJSI's World Index for seven consecutive years since 2016, the lender said. Other overseas financial firms that were included in the same category are France's BNP Paribas and Banco Bilbao Vizcaya Argentaria of Spain.“KB was rated highly in various areas ― such as taxation strategy, anti-money laundering, human rights and social contribution ― this year,” a spokesman from the financial company said.KB also said the accomplishment was driven by its group-wide efforts to fulfill ESG management principles.“For the environment, we have set up a specific corporate vision fo

Dec 12, 2022By Lee Min-hyung

Korea's top 3 banking groups included in Dow Jones Sustainability Indices

Bank workers criticized for refusing to return to pre-pandemic work hours

gettyimagesbankBy Lee Kyung-minEmployees of the country's top commercial lenders are coming under heavy criticism for what many consider as an unreasonable and selfish refusal to return to pre-pandemic working hours, according to industry watchers, Sunday.Local banks have opened at 9:30 a.m. and closed at 3:30 p.m. since July 12 last year, as part of stricter COVID distancing measures. Previously, they had opened at 9 a.m. and closed at 4:00 p.m.The unionized financial workers say the reduced hours should remain because the number of in-person visits by customers is low. This is a self-serving justification lacking any rationale, according to many, since the government is considering lifting the indoor mask mandate in the coming weeks.Further fueling the criticism of the highest-paid white-collar workers is their demand for a four-day workweek and an expansion of employee benefits, something that many find unacceptable. Their record-high profits over the past few years were powered almost exclusively by emergency expansionary monetary policies and had nothing to do with their individ

Dec 12, 2022By Lee Kyung-min

Bank workers criticized for refusing to return to pre-pandemic work hours

Hana pledges more job creation via social venture program

Hana Financial Group Chairman Ham Young-joo, front row center, poses with participants of its social venture university program, at its headquarters in Seoul, Friday. Courtesy of Hana Financial GroupBy Lee Min-hyungHana Financial Group has pledged to create more jobs via its “social venture university” program, the company said Sunday.The financial holding firm has clinched partnerships with universities across the nation to launch the program with the purpose is to create more innovative jobs. This was part of Hana's efforts to fulfill the environmental, social and corporate governance (ESG) management criteria, the company said.The company held an event recently to share the outcomes from the program. A total of 18 social venture teams, venture facilitators and officials from affiliated universities gathered for the event. Hana also picked three teams for an award ceremony and offered financial aid worth 150 million won for them to start their own startups. The company also invited regional entrepreneurs for young participants to enhance their networking for their futur

Dec 11, 2022By Lee Min-hyung

Hana pledges more job creation via social venture program

KIC acquires minority stake in Golub Capital

Korea Investment Corporation (KIC) headquarters in central Seoul / Courtesy of KIC By Anna J. ParkThe Korea Investment Corporation (KIC) has strengthened a strategic partnership with U.S.-headquartered Golub Capital, in a move to bolster its alternative investment portfolio. The Korean sovereign wealth fund announced on Friday morning that it had acquired a passive and non-voting minority stake in Golub Capital's management companies. KIC said its stake represents an economic interest in Golub Capital's management companies of less than 5 percent. The additional terms of the investment were not disclosed to the public.Golub Capital, which has over $55 billion of capital under management as of October this year, plans to use the proceeds from KIC's investment to further enhance its ability to deliver reliable financing solutions, as all proceeds from the transaction will be reinvested in the U.S. credit company. “We are pleased to expand our relationship with Golub Ca

Dec 9, 2022By Anna J. Park

KIC acquires minority stake in Golub Capital

Shinhan case raises concerns over gov't influencing bank leaders

From left are Cho Yong-byoung of Shinhan Financial Group, Son Tae-seung of Woori Financial Group and Son Byung-hwan, all chairman and CEOs of their respective banking groups. Korea Times file By Yi Whan-wooShinhan Financial Group Chairman and CEO Cho Yong-byoung's decision to drop out of the firm's next leadership race, Thursday, is heightening concerns that the banking industry is becoming more susceptible to the government's influence in the appointment of its chiefs.The possibility has been raised of President Yoon Suk-yeol's administration intentionally influencing the industry as the terms for multiple financial services companies' chairmen are approaching their ends starting Dec. 31. Some companies are fully affiliated with the government, and even the ones that are not lack a controlling shareholder and therefore remain vulnerable to interventions in their management made by outside parties.Under the circumstances, Cho's decision surprised many because Shinha

Dec 9, 2022By Yi Whan-woo

Shinhan case raises concerns over gov't influencing bank leaders

Woori pledges to support British teen environmental activists

Amy Meek, right, 18, and Ella Meek, 16 left, the sisters and co-founders of Kids Against Plastic, pose during an international conference jointly hosted by Woori Financial Group and the Institute for Global Economics in Seoul in November. Courtesy of Woori Financial Group By Yi Whan-wooWoori Financial Group announced on Friday that it will sponsor Kids Against Plastic, an environmental group founded by British teenage sisters with the goal of tackling plastic pollution around the world.The banking group said the sponsorship will be made through a matching grant program, which means that the company will match its donation to the amount of money raised by individual supporters of the sisters.The sisters, Amy Meek, 18, and Ella Meek, 16, have been running the Be Plastic Clever campaign to urge people to reduce their use of single-use plastics.The campaign is running in cooperation with 636 first and secondary schools across the world after Kids Against Plastic was for

Dec 9, 2022By Yi Whan-woo

Woori pledges to support British teen environmental activists

Shinhan Financial nominates banking CEO as next leader

From left are Shinhan Financial Group Chairman Cho Yong-byoung and Shinhan Bank CEO Jin Ok-dong. Both were shortlisted by the banking group's chairmanship nomination committee in the chairmanship race. YonhapIncumbent chairman voluntarily drops out of raceShinhan Financial Group said Thursday it has nominated Shinhan Bank CEO Jin Ok-dong as its next leader.Jin, 61, will be officially appointed as the new chairman for a three-year term upon confirmation by shareholders and board of directors in their respective meeting in March next year. “We have judged CEO Jin is the right man to deal with uncertainties in the future in an active and flexible manner,” the banking group's chairmanship nomination committee said following its meeting.It also assessed Jin as being highly qualified in terms of ethics and management skills.Jin's nomination came amid speculation that incumbent chairman, Cho Yong-byoung, could possibly extend his tenure for a third term after taking office in 2017. Cho, however, voluntarily dropped out of the chairmanship race, according to sources familiar with

Dec 8, 2022By Yi Whan-woo

Shinhan Financial nominates banking CEO as next leader

MBK Partners founder makes Forbes top philanthropists list for 2nd time

MBK Partners co-founder and CEO Michael Byungju Kim / Courtesy of MBK PartnersBy Anna J. ParkMBK Partners co-founder and CEO Michael Byungju Kim has made the list of Forbes top philanthropists in Asia for two consecutive years.Forbes announced earlier this week that a total of 15 business people have made the list of “Asia's 2022 Heroes of Philanthropy”, with nine being chosen for the first time. Kim was one of six honorees who was listed again, and one of three who were selected for two consecutive years. Kim is also the only Korean who made the list this year. The U.S.-headquartered financial magazine evaluated the 59-year-old private equity billionaire's contributions in the arts as well as his long-held vision for education. Kim pledged a $10-million donation in September to the Metropolitan Museum of Art in New York. The donation will be used to renovate the museum's modern and contemporary art exhibition halls, where a gallery will be named after Kim and his wife: the Michael B. Kim and Kyung Ah Park Gallery.Kim referred to his charitable act as “impact giving

Dec 8, 2022By Anna J. Park

MBK Partners founder makes Forbes top philanthropists list for 2nd time

Macquarie joins bid to acquire LOCA Mobility

Why is Lotte Card selling LOCA Mobility?Lotte Card headquarters in central Seoul / Courtesy of Lotte CardBy Anna J. ParkMacquarie Asset Management was revealed to have been among the few potential buyers that participated in the main bid to acquire LOCA Mobility, a subsidiary of Lotte Card. LOCA Mobility operates various traffic solution services, including pre-paid cards, city bus management systems (BMS) and bus information systems (BIS).According to investment banking industry sources Wednesday, MBK Partners and JPMorgan, the sales manager of the deal, held the main bid earlier this week to sell LOCA Mobility. A few bidders participated, suggesting a price as high as 400 billion won ($302 million) to acquire a 100 percent stake in LOCA Mobility.Macquarie is said to have joined the bid, considering LOCA Mobility's stable profitability and further growth potential. The mobility system company accounts for a 37 percent share of the local pre-paid traffic card market, second only to Tmoney, which controls a 60 percent share. The company's cumulative revenues during the first three qua

Dec 7, 2022By Anna J. Park

Banking & Finance