Wealth Services for Foreigners
The Shinhan Financial Group opens the Shinhan International Finance Center (IFC) in Gwanghwamun, Seoul on January 29.
The target customers of the Shinhan IFC include foreigners who are engaged in economic activities in Korea and its wealth management service for them is the first of its kind in the commercial banking industry of the country although some Korean private banking centers have provided currency exchange and remittance services along with those for foreigners interested in investment in specific regions such as Jeju Island.
The Shinhan Financial Group is also planning to open more private wealth management centers in order to maintain its leadership in the wealth management sector. Still, the Shinhan IFC is scheduled to be run in the form of a task force team for a while in that wealth management for foreign customers is not a familiar concept yet.
“These days, Korean financial institutions are preparing a number of wealth management services abroad for the purpose of overseas business expansion, but our attempt will be an unprecedented one with financial services for foreigners doing economic activities in Korea limited to currency exchange, remittance and the like,” the company explained, adding, “An increasing number of high-income earners are likely to be found in Korea based on the KORUS FTA and the subsequent opening of the legal service market and so on, and then the wealth management market targeting them will grow at a rapid pace.”