Direct Small Investments in MBS Now Available to Individual Investors  

- MOU between HF and KB Securities rolls out MBS products on the 27th 

HF-issued mortgage-backed securities (MBS) products are to be made available to small investors.

Korea Housing Finance Corporation (HF, CEO Lee Jung-Hwan) announced on May 8, 2019, that it signed the Memorandum of Understanding (MOU) for the Launch of Personal Direct MBS  Products with KB Securities (CEO Park Jeong-Rim) at the headquarters of KB Securities in Yeoui-do, Seoul, on May 8, 2019. The MOU aims to make MBS products available to individual direct investors.

The MOU allows individual investors to make MBS purchases in units of KRW 10,000 through KB Securities starting from the 27th. Until now, the MBS market has only been accessible to major individual investors and institutional investors.   

HF CEO Lee Jung-Hwan said, “This MOU is designed to expand the boundaries of MBS investment to small individual investors and invigorate the MBS distribution market. By allowing ordinary individual investors, such as housewives and college students, to make small investments in MBS products carrying a credit rating as high as those of South Korea government bonds, we expect that we can help these retail investors secure a stable stream of interest income and, at the same time, contribute significantly to cultivating a sound investment culture.”

KB Securities will sell MBS products offline at its 119 branches and 67 retail desks in KB Bank branches and online.

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HF reached the MOU for the Launch of Personal Direct MBS Products with KB Securities at the headquarters of KB Securities in Yeoui-do, Seoul, on the 8th. HF CEO Lee Jung-Hwan (right) and KB Securities CEO Park Jeong-Rim (left) pose for a photo after the MOU signing ceremony.