JPMorgan Launches Asset Management Unit
By Lee Hyo-sik
Staff Reporter
JP Morgan Asset Management will provide a range of innovative investment products to Korean investors and is committed to contributing to the further development of the local asset management industry, a senior JP Morgan official said.
Clive Brown, CEO of JP Morgan’s international asset management business, said on Thursday that the global asset manager will introduce its proven investment management capabilities and deliver maximum results to local investors.
``It is our wish to become the leading investment manager in Korea by building the trust of local customers and posting second-to-none investment performance,’’ he said in a press conference at the Westin Chosun Hotel.
Brown said the Korean asset management industry holds tremendous growth potential, saying that the market will likely post double-digit growth per year over the next five to 10 years. ``The Korean market is the second largest in the Asia-Pacific region with $280 billion under management and we are looking forward to participating actively in that growth. But we will focus more on doing business in a proper way rather than on expanding our asset size.’’
He said the most important thing is to deliver promised investment performance to investors and create long-term wealth for clients.
``We know there are a number of competitors already operating here, including Franklin Templeton and Mirae Asset Management. But we can win over many local investors as we will bring unique global knowledge about asset management into the local scene and excellent customer services,’’ Brown said.
When asked about the possibility of JP Morgan Asset Management taking over other asset managers, he said his company currently has no plan to either merge with or take over others, stressing that it is difficult to integrate with other organizations because of unique corporate culture. ``For the foreseeable future, we will grow organically.’’
The company received approval from the Financial Supervisory Service (FSS) last month to open asset management business here and it plans to launch three equity funds early next month.
It will first introduce the equity fund investing in 30 blue chip companies listed on the local bourse as well as an Asia Consumer-Infrastructure fund investing in large cap companies in China and other emerging Asian markets. The company will also offer the Middle East & Africa equity fund.
JP Morgan Asset Management has over $1 trillion under its management worldwide as of March, with 40 offices employing close to 700 financial experts in equity, bond, currency and real estate markets.