For the first time, South Korean asset management firms are beginning to offer their local ware to overseas investors. Citing investment experts, Korea Times reports that the move would help form a bubble in the local stock market, as the securities markets continue to blossom. In addition, according to the paper, local firms are selling foreign securities to their South Korean investors, a change from past practice when only foreign portfolio managers could offer such products.
The locals couldn’t be more delighted. Kim Dae-yeon of PCA Investment Trust Management told the Times, “The fact that our offering of [Korea Fund] in Japan is gaining popularity among Japanese investors reflects that foreign investors’ confidence in Korea portfolio management firs’ asset management know-how and risk management system has improved.”