À̹ÌÁö È®´ë South Korea¡¯s SBI Savings Bank Inc. said on Wednesday that it has earned a credit rating of A- from Seoul-based credit rating firm Korea Investors Service (KIS) Inc., which could help the company to arrange and market retirement pensions in major bank windows.
According to SBI Savings Bank, the stable rating was awarded by KIS was based on factors such as its leading market position in terms of total asset, improvement in asset quality and profitability indices, balanced portfolio for corporate and personal financing, and capability to support its parent financial group.
SBI Savings Bank¡¯s total asset stands at 6.6 trillion won ($5.86 billion) as of June, this year, and it accounts for 10.1 percent of total industry loans and 10.7 percent of deposits. Its asset quality has improved with non-performing loan ratio standing at 5.41 percent, default rate 5.13 percent, and BIS capital adequacy ratio 13.15 percent.
An unnamed official from SBI Savings Bank said that it is unusual for a standalone savings bank outside financial holding families earn a top investment A-grade rating. It will provide retirement pension products by joining hands with other major financial firms including lenders and brokerages after its latest credit achievement.
SBI Savings Bank has been preparing to launch retirement pension business this year. To do so, a financial institution must achieve credit rating of BBB- or higher as required by the country¡¯s financial authority for stable management of retire pension funds.
By Chung Joo-won and Lee Eun-joo
[¨Ï Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]