Choyeon Kim, client services manager in the custody business department,custody team at KB Kookmin Bank, shared how the bank is strengthening its position as a leading provider of custody services in South Korea by focusing on client-centric improvements, operational resilience and strategic service innovation. She explained that despite challenging market conditions, KB Kookmin Bank achieved strong operational and financial results over the past year. Importantly, Kim emphasised that the bank’s financial performance continued to improve compared to the previous year. This improvement was driven by deeper engagement with both global and domestic institutional investors, and an expanded focus on value-added services. She noted that KB Kookmin Bank’s custody business model is centred on delivering consistent, reliable and responsive services that are closely aligned with client needs and evolving regulatory requirements. The bank’s sustained investments in operational excellence, risk management and technological innovation underpin its ability to support increasingly complex cross-border investment activities. Kim further emphasised that KB Kookmin Bank is not only responding to changes in the custody landscape but also proactively enhancing its service offerings. By expanding value-added services, improving client communications and investing in automation, the bank aims to provide seamless, secure and transparent custody services that meet the growing demands of institutional investors operating in South Korea. Enhanced operational capabilities to support market growth Kim explained that KB Kookmin Bank has placed significant emphasis on strengthening its operational capabilities to meet the evolving demands of institutional investors operating in South Korea. She highlighted that the bank’s operational strategy is centred on delivering reliable, accurate and timely custody services, underpinned by a strong commitment to risk management, compliance and service excellence. Kim shared that KB Kookmin Bank’s custody operations are designed to support a high volume of transactions across a broad range of asset classes, including equities, fixed income securities and collective investment vehicles. The bank’s ability to handle growing transaction volumes has been tested and proven by the increase in institutional client base, despite broader market challenges. She emphasised that one of the key priorities for the bank is to ensure operational resilience and stability. KB Kookmin Bank has been upgrading its custody systems and automating key workflows to minimise operational risks and improve processing efficiency. These investments have allowed the bank to maintain high service standards even as it manages the requirements of a larger and more perse client base. Kim noted that the bank has also focused on enhancing its internal controls and compliance frameworks to meet the increasingly complex regulatory environment in South Korea and globally. She explained that the bank has strengthened its monitoring and reporting capabilities to ensure full compliance with local and international regulations governing custody services. In addition to system enhancements, Kim highlighted that KB Kookmin Bank maintains close communication with financial regulatory bodies. By staying closely engaged with these institutions, the bank is able to anticipate regulatory changes, adapt operational processes accordingly, and support clients through any market transitions. Kim explained that the bank’s operational teams are highly experienced and dedicated to providing personalised service to clients. Each client is assigned a dedicated relationship manager and operational contact point to ensure that enquiries, instructions and issues are handled promptly and accurately. This client-centric operational model enables KB Kookmin Bank to respond quickly to client needs and maintain service continuity, which has been key to sustaining client satisfaction and trust, as reflected in its expanded mandate base. She further emphasised that KB Kookmin Bank’s operational philosophy is based on proactive communication, transparency and continuous improvement. By soliciting regular feedback from clients and conducting periodic service reviews, the bank identifies areas for enhancement and implements changes to improve operational performance in line with its growing service commitments. Kim stressed that operational capability is the foundation of the bank’s custody business. By ensuring that its operational processes are resilient, compliant and client-focused, KB Kookmin Bank is able to support institutional investors with the security, reliability and responsiveness they require to navigate the South Korean market, even as it grows its institutional client base and expands its business. Client engagement and value-added services Kim explained that KB Kookmin Bank recognises that high-quality client engagement and the provision of value-added services are critical to sustaining and growing its custody business. She emphasised that the bank is committed to building strong, long-term relationships with both global and domestic institutional investors by offering not just transactional efficiency but also proactive service support and customised solutions. Kim highlighted that one of the ways the bank enhances client engagement is through dedicated client relationship teams. Each client is assigned specific relationship managers and operational contact points who are responsible for handling daily interactions, responding to queries, and facilitating smooth communication between the client and the bank’s various internal departments. This dedicated model ensures that clients receive personalised attention and that any issues are addressed promptly and effectively. She explained that KB Kookmin Bank also conducts regular service reviews with its clients. These reviews provide an opportunity to discuss operational performance, service quality, regulatory updates and any client-specific concerns or needs. The increase in custody clientsover the past year is evidence of the bank’s successful client engagement strategy and growing market credibility. Kim noted that the bank places a strong emphasis on communication transparency. Clients are kept informed of all relevant market developments, operational changes and regulatory updates through regular newsletters, bulletins and direct client advisories. She explained that maintaining clear and timely communication is critical in helping clients navigate the South Korean investment environment and ensuring that there are no surprises in their custody operations. In addition to enhancing engagement, Kim shared that KB Kookmin Bank is expanding its range of value-added services. She explained that the bank has strengthened its corporate actions processing and proxy voting support to provide more comprehensive assistance to clients. The bank has invested in enhancing reporting capabilities to deliver more timely and accurate information to clients, which contributes to the bank’s strengthened financial performance Kim also discussed that KB Kookmin Bank has improved its support forenvironmental, social and governance (ESG) investment mandates.As more global investors place importance on ESG considerations, the bank is aligning its custody reporting and service offerings to better support clients with ESG-related investment activities in the South Korean market. Furthermore, Kim emphasised that the bank tailorsits services to the specific operational and reporting standards required by each client. She reiterated that the bank’s approach to client engagement is rooted in proactivity, customisation and responsiveness. By continuously seeking to understand client needs, delivering personalised support and expanding value-added services, KB Kookmin Bank aims to provide a differentiated custody experience that meets the evolving expectations of institutional investors. Invest in technology and operational innovation Kim explained that KB Kookmin Bank recognises the critical importance of continuous investment in technology and innovation to maintain its competitiveness in the custody market. She highlighted that the bank has made sustained efforts to upgrade its systems and automate key custody processes to enhance efficiency, accuracy and service quality for clients. Kim shared that KB Kookmin Bank has implemented a range of technology enhancements across its custody operations. As a result, the bank reduces manual intervention, minimises operational risks and improves turnaround times for clients. These efforts have supported the bank’s ability to maintain operational resilience while managing a growing client base over the past year. She emphasised that one of the bank’s core priorities is ensuring system resilience and data security. KB Kookmin Bank has invested significantly in strengthening its IT infrastructure to safeguard client data and ensure uninterrupted service delivery. Regular system testing, cybersecurity upgrades and business continuity planning are integral parts of the bank’s technology strategy. These investments have also helped support the bank’s improved financial performance. Kim noted that another area of technological focus is regulatory reporting. With increasing regulatory scrutiny both locally and internationally, the bank’s risk management framework provides greater assurance to its expanding institutional client base. Throughout her discussion, Kim emphasised that KB Kookmin Bank’s investment in technology is always guided by a client-centric philosophy. The goal is to deliver tangible benefits to clients — including faster transaction processing, improved reporting accuracy, enhanced security and greater operational transparency — while supporting the bank’s broader business growth and financial performance objectives. Resilient and client-centriccustody franchise Kim concluded that KB Kookmin Bank’s approach to the custody business is built on a foundation of operational resilience, client-centric service and continuous innovation. Kim highlighted how the bank’s focus on operational excellence, personalised client engagement and technology-driven service enhancements has positioned it to support both global and domestic institutional investors more effectively. By maintaining its disciplined focus on operational resilience, client satisfaction and service innovation, KB Kookmin Bank aims to further solidify its leadership in the South Korean custody market and support the investment activities of institutional clients with a high standard of excellence and reliability.
