Their transactions in the Hong Kong and U.S. stock markets accounted for 53.6 percent of their total foreign stock trades. (image credit: Kobiz Media)
SEOUL, Jan. 31 (Korea Bizwire) – Twelve major Korean asset management firms increased foreign stock transactions via their overseas investment funds by 63.9 percent from 2013 to 2014. The number of said transactions reached 79,687 in 2014, according to an announcement from the Korea Securities Depository (KSD) on January 30.
The stock trades within their overseas investment funds took place in 46 countries. Their transactions in the Hong Kong and U.S. stock markets accounted for 53.6 percent of their total foreign stock trades. The share of transactions in Hong Kong markets dropped to 29.7 percent in 2014 from 29.6 percent in 2013, while the share of transactions in U.S. markets increased to 23.9 percent from 20.5 percent.
The number of transactions of internally managed funds increased by 122.7 percent from 2013 to 2014, while the number of transactions of externally managed funds increased by 24.8 percent.
Shim Jae-San, chief of the Fund Business Department of the KSD, said that the overall increase in foreign stock transactions among the twelve asset management firms is due to the influx of newly founded Korean asset firms, the consistent trend of box patterns on the Korean stock market and the increasing capital flow into overseas investment funds thanks to the recovering overseas stock markets.
The KSD has been operating the FundNet system since 2004 in order to bring efficiency and transparency to the Korean asset management industry. The KSD is also offering a Fund Report Management System, which the twelve companies are currently provided with, in order to give more centralized fund reporting services to asset managers.
By M.H. Lee (mhlee@koreabizwire.com)
