[NH Investment & Securities]
SEOUL -- NH Investment & Securities, a major securities firm based in Seoul, has reorganized its structure to strengthen its business in investment banking and wealth management as part of efforts to become South Korea's second state-approved big investment bank.
"As a platform player, we will try to lead the capital market and expand our market dominance," an NH Investment official said Friday, expressing confidence that NH Investment would win a government license at the end of this month to issue and sell registered promissory notes to retail investors.
Last year, financial regulators selected five securities firms which could expand their businesses beyond brokerage services into investment banking businesses in a much-anticipated move aimed at enhancing their competitiveness against foreign rivals.
The top-tier investment banking club includes Mirae Asset Daewoo Securities, NH Investment, Korea Investment & Securities, KB Securities and Samsung Securities. Korea Investment was the first to issue and sell registered promissory notes to retail investors.
NH Investment offers a broad range of financial services, encompassing wealth management, investment banking, brokerage and merchant banking. In its latest change, the company expanded its investment banking business and enhanced the competitiveness of asset management by creating a private equity division and a financial industry division. An investment banking desk was established in its U.S. branch in New York.
In an effort to nurture big investment banks capable of competing with global players, the Financial Services Commission (FSC) has said securities firms with more than four trillion won in their capital would be allowed to issue one-year promissory notes and provide wider corporate financing services.
NH and other candidates have increased their capital to join the ranks of large-sized investment banks which can issue promissory notes within 200 percent of equity capital. NH Investment's equity capital stands at less than five trillion won.
reporter
Lim Chang-won
cwlim34@ajunews.com
