Korean Bank To Plunge Into Credit Mart

  • 17 Dec 2001
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Government-owned Korea Development Bank is planning to become the first domestic bank to offer structured credit products as well as trade credit-default swaps next year to take advantage of a growing hunger for credit risk in Korea. H.G. Chung, head of the financial engineering team in Seoul, said the bank is looking to tap the growing interest for the products in Korea, as well as reduce credit risk on KDB's balance sheet through offering synthetic balance sheet CDOs. Chung continued that the bank will target insurance companies as well as pension funds. The size of the initial synthetic CDO will likely be at least USD100 million.

The bank hopes to subsequently offer additional CDOs the following year, though it is still in discussion. Chung added that the bank expects to issue credit-linked notes referenced to Korean corporates and enter the credit-default swap trading market. It anticipates becoming active in both customer and proprietary business. Chung continued that the bank will likely hire a team of two to three credit derivative traders for the effort.

"They're the first domestic bank to do this," said K.K. Yoo, head of derivatives at Kookmin Bank in Seoul. Kookmin has also been interested in entering this market (DW, 2/26) but has put the plans on hold as it completes its merger with the Housing & Commercial Bank.

  • 17 Dec 2001

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 18 Jul 2017
1 Citi 244,235.70 910 8.87%
2 JPMorgan 223,767.95 1021 8.13%
3 Bank of America Merrill Lynch 211,276.97 750 7.68%
4 Barclays 166,062.82 634 6.03%
5 Goldman Sachs 162,877.27 537 5.92%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 21 Jul 2017
1 HSBC 25,385.87 103 7.10%
2 Deutsche Bank 25,125.19 81 7.03%
3 Bank of America Merrill Lynch 22,023.57 59 6.16%
4 BNP Paribas 18,766.65 109 5.25%
5 Credit Agricole CIB 18,157.63 105 5.08%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 18 Jul 2017
1 JPMorgan 12,578.87 55 8.17%
2 Citi 11,338.07 71 7.36%
3 UBS 10,682.06 44 6.93%
4 Goldman Sachs 10,419.53 53 6.76%
5 Morgan Stanley 10,194.88 57 6.62%