Korea’s financial regulator said Friday it has given the green light to the establishment of the country’s first 12 homegrown hedge funds, a move designed to nurture the sector.
A total of nine local asset managers, including Mirae Asset Global Investments Co. and Shinhan BNP Paribas Asset Management Co., will manage funds worth around 150 billion won ($130 million), according to the Financial Services Commission.
Five securities firms, including top-tier players Daewoo Securities Co. and Samsung Securities Co., are expected to function as prime brokers for the hedge funds, the FSC added.
Prime brokerage services, usually offered by investment banks and securities firms, span a variety of areas such as securities clearing and financing.
