Bank of Korea emboldened in diversification drive

The Bank of Korea manages almost $330 billion in foreign reserves and cannot invest in domestic assets originated by resident institutions, such as dollar bonds issued by Korea Development Bank. BoK diversifies its portfolio in terms of currency and asset class, investing not only in government bonds, but also in supranationals and agencies, mortgages, corporate debt and a small portion of global equities. Choo Heung-Sik joined the organisation in reserve management. He also wor…