[ 한국어 ]

Tuesday 28 February 2012 - UPDATED 6/2/2012

8:00am

Registration

9:00am

Chairman's opening remarks

9:10am

Keynote address: Recent changes in regulatory environment and risk management

Joo Jae-Seong, Senior Deputy Governor, FINANCIAL SUPERVISORY SERVICS (FSS)

9:30am

Roundtable: Korea's economic outlook for 2012

South Korea's economy is said to grow at the slowest pace in three years in 2012 as the European debt crisis and global economic weakness cripple exports. The nation's financial ministry has said that Gross domestic product growth will slow to 3.7 percent next year from 3.8 percent this year and 6.2 percent last year. Exports, equivalent to half of the economy, will increase 7.4 percent next year, down from a 19.2 percent jump this year, trimming the current-account surplus to $16 billion from $25 billion

• How do these growth prospects affect the economy and what are the primary factors continuing to drive growth?
• A trade-off between inflation and growth: How worrisome is inflation, and how can the government combat it without severely limiting growth?
• What impact does the European debt crisis have on the Korean Economy and how does Korea's economy compare to its regional peers such as China, Taiwan and India?
  
• What sectors currently present the greatest opportunities for investors?
• How will the economic development in China, including aspects such as inflation and rate fluctuations, affect the region?
• Does the deterioration of the current account balance indicate overheating?
  
• Social and political risks in Korea and their impact on the Korean economy
  

Moderator:
Daeshik Park, Executive Vice President, KOREA ECONOMIC RESEARCH INSTITUTE

Speakers:
Dr Heungchong Kim, Director of Planning and Co-ordination, THE KOREA INSTITUTE OF ECONOMIC POLICY
Dr Donghyun Park, Principal Economist, ASIAN DEVELOPMENT BANK
Dr Kyuil Chung, Head International Economic Studies Team, Economic Research Institute, THE BANK OF KOREA
Wonjae Lee, President, HANKYOREH ECONOMIC RESEARCH INSTITUTE

10:30am

Morning coffee break

11:00am

Presentation: CNH/CNY Solutions

Historically countries have been trading with China in US dollars. This is all going to change with the internationalization of the RMB. This will have a big impact on Korean, Indonesian and Indian investors who are trying to enter the Chinese markets in a big way.

• Offshore asset and liability
  
• How the onshore RMB market has evolved
• What instruments are being used for trading the RMB

Colin Chen, Head of Structured Debt Solutions, DBS

11:30pm

Presentation: Overview of liquidity management & ALM requirements for BASEL III

• Factors Leading to the Market Turbulence that Began in December 2007 and Lessons Learned
• Recent regulatory standards for liquid risk exposures of banking organizations
• Impact of recent liquidity standards on banking organizations

Robert Wyle, Senior Director, Product Management, MOODY'S ANALYTICS

12:00pm

Panel discussion: Risk management techniques and challenges in Korea: The use of derivatives

Risk is inevitable which in turn makes the management of risk inevitable. Understanding the differences between what is known, unknown and unknowable is critical so that financial risks can be managed within tolerable limits. Today, the vast amount of leverage in the financial system and the concentration of counterparties has forced institutional investors to identify better strategies for managing volatility, especially on the downside with the help of simple and complex derivative products.

• Downside risk remains an issue: How can investors protect themselves against these risks
• Have financial institutions been successful in quantifying the risks they face?
• The necessity of hedging: A cost benefit analysis
• Tail events: Reducing the odds of a crisis using derivatives, diversification of risks and improving risk management
• Risk Evaluation with Monte Carlo Simulation

Speakers:
Kun Ho Lee, Chief Risk Officer, KOOKMIN BANK
B.K Suh, Managing Director, Chief Risk Officer and Compliance Officer, SHINYOUNG SECURITIES

12:45pm

Lunch

1:45pm

ETF Spotlight "South Korea" : A case study

South Korea has been one of the stronger-performing emerging markets. For the year to date (through Nov. 30) was down only 10.9%. One of the reasons for this is that, as an exporter, it competes more with Japanese companies. Both countries have globally recognized brands, and South Korean firms have benefited as the Japanese yen has continued to appreciate since the 2008 financial crisis.

• Examining the explosion of Korea's ETF industry and anticipating further growth
• Understanding how ETFs work and their role within a portfolio
• Inverse and leveraged ETFs in Korea
• What was behind the recent ban on credit lending and how long should it last?

Jooyoung Yun, Head of Index/ETF Investment Division, MIRAE ASSET MAPS GLOBAL INVESTMENTS

 2:15pm

Panel discussion: The Market for Structured Products

Recent revisions to the Korean capital market rules became a major driving force for the Korean structured products market demand for accurate pricing and valuation of structured products and exotic derivatives. The collapse of equity prices since April in South Korea has left investors facing substantial mark-to-market losses, and the prospect of being cash-locked for several years. But risk appetite remains robust for index products and new structures offering downside protection

• The Asian market for structured products and Hybrids is estimated at $50 billion, with South Korea a particularly active market for exotic hybrids. Where is the structured products market headed?
• Understanding the types of structured notes: Interest rate-Linked notes, Credit-Linked notes, Equity-Linked notes, Currency-Linked notes and Commodity-Linked notes
• Structured Products as an alternative asset class: A comparison of returns and a look at diversification
• The new rules relating to equity linked warrants and their impact on volumes

3:00pm

Hedge Funds, Prime Broking and The Regulations

Under the new regulation in Korea, individual investors will be allowed to directly invest in hedge funds, with a minimum investment requirement set at 500 million Korean won. The revision provides more opportunities for hedge fund investors as well as managers.

• Hedge fund and Prime Broking regulations by the financial services commission in Korea and their impact on the securities firms

Hee Jin Noh, Head Policies and Regulations, KOREA CAPITAL MARKETS INSTITUTE
Yeong Keun Joo, Head Prime Brokerage Division, SAMSUNG SECURITIES

3:45pm

Afternoon coffee break

4:15pm

Presentation: Mitigating Counterparty Credit Risk in the current global OTC derivative regulatory reform

Dr. Chulwoo Han, CMPR, TRIOPTIMA

 4:45pm

Panel Discussion: The future: Assessing the impact and consequences of regulating OTC derivatives in Europe and Asia

The financial crisis revealed shortcomings in the management of counterparty credit risk and the absence of sufficient transparency in OTC derivatives markets. The intent of the proposed reforms is to reduce the incidence of systematic risk in the market and prevent fraud and abuse, while also averting future financial crises. In reality the proposals could impose costs on companies that did nothing to contribute to the financial mess that the world is currently working through. Moving standard OTC derivatives to an exchange would force companies that use these to incur more costs. What are the implications?

• Establishing the new regulatory regime for the OTC derivatives market
• Overview of global regulatory reform and its impact on the Asian market
• What do regulators and CCPs aim to achieve through central clearing?
• Implication of Basel III on counterparty credit risk requirements
• Development in the OTC Derivatives Regulations in Korea
• Establishing new relationships between buy-side, sell-side and third party under the central clearing framework
• How will Dodd-Frank and EMIR impact OTC derivative investors in the Asian market?

Moderator:
Jong Oh Choi, Derivatives/Capital Markets Advisor, KIM AND CHANG

Speakers:
Dr Yeong-Ho Woo, Chaired Professor at the ULSAN NATIONAL INSTITUTE OF SCIENCE AND TECHNOLOGY
Dr Nam Gilnam, Research Fellow, Head of Financial Investment Products, KOREA CAPITAL MARKETS INSTITUTE
Young-Soo Chang, Senior Legal Counsel, KOREA SECURITIES DEPOSITORY (KSD)

5:30pm

Chairman's closing remarks

5:40pm

End of conference