ID :
194915
Thu, 07/14/2011 - 01:04
Auther :
Shortlink :
https://oananews.org//node/194915
The shortlink copeid
Korean brokerages' foreign units swing to losses in 2010
SEOUL, July 14 (Yonhap) -- South Korean securities firms saw their foreign operations swing to losses in fiscal 2010 from a year earlier due mainly to increased sales and maintenance costs, the financial regulator said Thursday.
The 90 foreign units of 20 local brokerages saw their combined net loss reach US$65 million in the year ended on March 31, a sharp turnaround from a profit of $8 million a year ago, according to the Financial Supervisory Service (FSS).
The losses came as brokerages increased spending on sales and maintenance as part of efforts to fuel overseas expansion and beef up workforces, the FSS said, adding increased market volatility, stemming from southeastern Europe's debt crises, also eroded their bottom lines.
Their combined assets totaled $1.7 billion as of end-March, up 29 percent from the same period a year earlier.
As of end-March, 20 local securities firms -- including top players Samsung Securities Co. and Daewoo Securities Co -- operated 56 local subsidiaries, two branches and 32 representative offices in 14 countries, according to the FSS.
Of the total foreign operations, 77 percent were located in Asia, mostly in China and Hong Kong, while the remainder were based in countries such as the United States and Britain.
The 90 foreign units of 20 local brokerages saw their combined net loss reach US$65 million in the year ended on March 31, a sharp turnaround from a profit of $8 million a year ago, according to the Financial Supervisory Service (FSS).
The losses came as brokerages increased spending on sales and maintenance as part of efforts to fuel overseas expansion and beef up workforces, the FSS said, adding increased market volatility, stemming from southeastern Europe's debt crises, also eroded their bottom lines.
Their combined assets totaled $1.7 billion as of end-March, up 29 percent from the same period a year earlier.
As of end-March, 20 local securities firms -- including top players Samsung Securities Co. and Daewoo Securities Co -- operated 56 local subsidiaries, two branches and 32 representative offices in 14 countries, according to the FSS.
Of the total foreign operations, 77 percent were located in Asia, mostly in China and Hong Kong, while the remainder were based in countries such as the United States and Britain.
