Korea Exchange Bank, with over KRW53.6 trillion (USD44.9 billion) in assets, plans to establish an equity derivatives operation later this year. Hee Dong Kim, head of the financial engineering department in Seoul, said the bank wants to offer products such as long-dated over-the-counter equity options and equity-linked notes.
Kim said the firm's new operation could be running within six months, but first it needs to gain approval from the regulator. The onshore market opened in the summer and several securities houses have set up desks for equity derivatives. The products would be handled by the six-member financial engineering team, according to Kim.
KEB currently offers interest rate and foreign exchange derivatives.
