Property Risks Prompt S&P to Lower Outlook for Korea Brokerages to Negative

Real estate market investments may cause trouble for South Korean securities firms, according to S&P Global Ratings, which revised its ratings outlook to negative for two companies on Friday.

“Credit risks from overseas alternative investments are material,” the assessor said, shifting its view on both Mirae Asset Securities Co. Ltd and Korea Investment & Securities Co. Ltd. to negative from stable. “Domestic real estate project financing is adding to the strain.”