KB Bank to launch South Korea’s first crypto investment fund

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KB Bank flagships South Korea's journey to crypto assimilation by designating a committee to design the strategy regarding digital assets, following Singaporean megabank DBS in the region.

Kookmin Bank is preparing to become the first bank in South Korea to offer crypto investment products to retail investors.on Monday that it had formed a Digital Asset Management Preparatory Committee to determine product and strategy capabilities regarding digital assets and artificial intelligence investment funds. The bank expects to launch crypto exchange-traded funds and futures products. The committee will also assess risk and compliance issues for the investment funds.

The plans were confirmed by KB head of index quant management Honggun Kim in the official release from the bank. He said, “We will launch a virtual asset-themed equity fund, etc. We plan to publish periodicals as well.” KB Financial Group, the country’s largest firm by net profit, had about $520 billion in total assets as of September 2021,The current plans are to launch a crypto investment index fund and a fund that utilizes an outsourced chief investment officer , also referred to as outsourced investment management, in order to provide guarantees on principal investments. The OCIO fund may also be used in retirement pensions.

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