Singapore's largest derivatives house, DBS Bank, is setting up an onshore Korean interest rate trading desk in the coming months. The move follows that of several international and local firms, such as Bank One (DW, 2/23) and United Overseas Bank (DW, 9/23). "The derivatives market here is still getting bigger and bigger," said Young Cheon Kim, head of trading in Seoul.
Kim joined at the onset of the year from FleetBoston Financial in Seoul, with a mandate to establish an onshore trading presence in Korea. He has already built up an fx operation and is now turning his sights on fixed income and interest rate products. DBS will hire an interest rate trader within the next few months to start a book for both swap and option trading. Structuring will be handled by the existing regional team in Singapore.
"There's lots of local corporates and institutions using these products," Kim added.
