ICMA South Korea Bond Market Roundtable

The famous Korean wave (Hallyu) is expanding beyond the country’s culture to its bond markets, with FTSE Russell poised to decide whether to include government Treasuries in its World Government Bond Index for the first time this September and domestic borrowers breaking issuance records in the international bond market.

South Korea’s leading credits are not only showing diversity and creativity in the way they are setting benchmarks across new markets and with new products, but are also attracting a wider range of investors, many of whom want to reduce their dependence on China.

It all adds up to much wider global recognition for a country that has been a staple of Asian credit markets for the past 30 years. And it presents an opportune time for ICMA to hold an inaugural, annual South Korea Bond Market Roundtable in Seoul this September.

The event will draw together a select gathering of government representatives, regulators, issuers, investors and other market participants for half-a-day of closed-door discussions followed by a drinks reception.

Specialist financial content and event agency Resonate Global is co-organising the event, with its partners set to bring their media experience to bear moderating panels and breakout sessions, in addition to preparing a post-event report for participating sponsors.

The event is being designed to encourage a free-flow of ideas and networking between participants. Topics and themes include:

• Macro outlook – Will the government move away from a cautious stance towards easing monetary policy? Will it act in tandem with other central banks?
• Foreign investors in South Korea’s domestic bond market – What difference could FTSE Russell Index inclusion have on domestic borrowing costs and issuance volumes, plus foreign participation? What more can the government do to attain developed market status; are asset allocators already ahead of the index providers?
• Regulatory policy – Impact of new policies such as efforts to revive domestic covered bonds?
• Domestic issuance – Opportunities and challenges as yields tighten and borrowers like SK Hynix and LG Energy Solution raise record amounts. Will the credit backdrop remain benign or will concerns about the property sector and household debt revive? How are borrowers adjusting their strategies?
• International issuance – Korean borrowers lead the Asian G3 league tables, but the issuance pace from government-related entities and corporates is slower than 2023. Will this tr
• Sustainable finance – How is standards harmonisation, market integrity, greenwashing and innovation stacking up as Korean borrowers branch into blue, green, sustainable and sustainability-linked bonds? What role for transition finance?
• Financials – Outlook for credits that have been the mainstay of Korean G3 issuance for many years.