《KOREANONLIFEINSURANCE3Q12PREVIEWLOWERINGEXPECTATIONS0113》由会员分享，可在线阅读，更多相关《KOREANONLIFEINSURANCE3Q12PREVIEWLOWERINGEXPECTATIONS0113（12页珍藏版）》请在金锄头文库上搜索。
1、InsuranceKoreaKorea Non-lifeInsurance3Q12 Preview: Lowering expectationsabcGlobal Research Severe auto loss ratio deterioration andexpense burden from stronger-than-expected new business growth topressure insurers near-term earnings Upcoming regulatory changes to weighon investor sentiment (ie, upco
2、mingCompanynameDongbuHyundaiBbergticker005830 KS001450 KSPrice Rating New TP Old TP Chg in PotlKRW KRW KRW TP return44,500 OW(V) 62,000 67,000 -7% 39%33,150 OW(V) 44,000 44,000 0% 33%implementation of the acquisition costdeferral limit, introduction of standalonemedical treatment coverage and theLIG
3、Meritz002550 KS000060 KS24,400 N(V) 29,000 33,00013,300 N(V) 14,000 15,000-12%-7%19%5%ongoing RBC model tightening)Samsung000810 KS216,000OW 290,000 300,000-3% 34%F&MSource: HSBC estimates. Note: Potential return equals the percentage difference between the currentshare price and the target price. P
4、rice at 07/01/1310 January 2013Sinyoung Park*AnalystThe Hongkong and Shanghai Banking Corporation Limited,Seoul Securities Branch We cut FY12-13 earnings estimates by11% and 3% on average and revisedown price targets; Samsung F&Mremains our highest conviction sectorcall as we seek for a more prudent
5、underwriter with strong capital positionWeakening earnings momentum: Non-life insurers are setto miss FY12 profit targets due to worse-than-expected autoloss ratio deterioration from unfavourable weatherconditions/discount effect (Apr 12 auto premium rate cut,mileage and black box discounts) and exp
6、ense burden fromstronger-than-expected pure protection new business growth.With severe auto loss ratio deterioration expected forDecember, Korean non-life insurers earnings momentumwill weaken further and miss consensus by 31% for 3Q12.Upcoming regulatory changes to weigh on investorsentiment: While
7、 the possibility of auto premium rate hike+822 3706 on the back of far worse-than-expected auto loss ratioJames E Garner*, CFAHead of Asian Insurance ResearchThe Hongkong and Shanghai Banking Corporation Limited+852 2822 4321 .hkView HSBC Global Research at: http:/*Employed by a non-US affiliate of
8、HSBC Securities (USA) Inc,and is not registered/qualified pursuant to FINRA regulationsIssuer of report: The Hongkong and Shanghai BankingCorporation Limited, Seoul Securities BranchDisclaimer & DisclosuresThis report must be read with thedisclosures and the analyst certificationsin the Disclosure a
9、ppendix, and with theDisclaimer, which forms part of itdeterioration remains low, upcoming regulatory changesshould weigh on the investor sentiment: (1) Apr13implementation of the acquisition cost deferral limit maypressure insurers near-term expense ratio, (2) ongoingtightening of the overly lenien
10、t RBC model could posedownside risk for dividend payout at insurers with below200% RBC ratio, (3) all eyes on the sale of standalonemedical coverage products launched from 2 Jan 2013.Samsung F&M (OW, target KRW290,000) remains ourhighest conviction call: For five non-life insurers under ourcoverage,
11、 we cut FY12-13 earnings estimates by 11% and3% on average and revise down price targets by 6% onaverage (see Exhibit 2 for details) to reflect weakeningearnings momentum. See page 3 for valuation and risks.InsuranceKorea10 January 2013Exhibit 1: Korean Non-life insurers 3Q12 earnings estimates vers
12、us consensusabc(KRW bn)DecQ11 MarQ12 JunQ12 SepQ12 _ Monthly _ DecQ123Q11 4Q11 1Q12 2Q12 Oct-12 Nov-12 Dec-12* 3Q12EQoQYoYConsDiff %Samsung F&MDongbuHyundai M&FLIGMeritz F&MNon-life sector861018546413592168193623248425111211875486051851309257354997832221610158463030149128272113917115182653820357-18%
13、-37%-29%-32%-43%-28%76%-19%-23%-17%-51%-1%214132874937518-29%-38%-24%-21%-46%-31%Source: HSBC estimates and Bloomberg (*December 2012 monthly net earnings figures are HSBC estimates)Exhibit 2: Change in estimatesKRW bn, %_ SFM _FY12E FY13E FY14E_ Dongbu_FY12E FY13E FY14E_ HMF _ _LIGz _ _ Merit _FY12
14、E FY13E FY14E FY12E FY13E FY14E FY12E FY13E FY14ERevised Net ProfitOld Net ProftChangeChange (%)829915(86)-9%1,0981,118(20)-2%1,2631,286(23)-2%420464(44)-9%501535(34)-6%583618(35)-6%373402(29)-7%453468(15)-3%491501(10)-2%233260(27)-10%304311(7)-2%352365(13)-4%136168(32)-19%18418400%22522421%Source:
15、HSBC estimatesEarnings changesWe make earnings changes to reflect worse-than-expected auto loss ratio deterioration (i.e., top 5insurers auto loss ratio average jumped to 102.3% for December according to Hankyung on 9 Jan 2013),higher expenses arising from stronger-than-expected pure protection new
16、business sales. Samsung F&M: A big jump in December auto loss ratio is likely to result in c8% q-o-q deteriorationfor DecQ12 and we have also reflected cKRW15bn for early retirement expenses in FY12. Dongbu Insurance: With the rising on-line portion (36%) and worse-than-expected auto loss ratiodeter
17、ioration industry-wide, we have factored in 2.6%pt higher auto loss ratio assumption for FY12. Hyundai M&F: Worse-than-expected auto loss ratio deterioration and potentially higher expenseratio in 4Q12 as the company expects to recognize excess amortization cost. LIG Insurance: We reflected higher a
18、uto loss ratio assumption and a higher expense ratio given thecontinued increase in the GA sales portion at LIG. Meritz F&M: Like peers, we will see a higher-than-expected auto loss ratio due to unfavourableweather conditions and other discount effect (mileage discount subscription is the highest at
19、 Meritz).In addition, due to the strong pure protection new business sales with year-to-November figures up29% y-o-y and lack of deferred acquisition cost buffer, the company has been recognizingaccumulative excess amortization cost of KRW55bn since May to November and we expect to seefurther expens
20、e recognition for the remaining FY122InsuranceKorea10 January 2013Valuation and risksOur price targets are based on a price-to-book value methodology following a Gordon growth model, netof company specific discounts and our multiple is predicated on a company-specific cost of equity and along-run gr
21、owth assumption of 1.0% (we assume 5% in China).For five non-life insurers under our coverage, we cut FY12-13 earnings estimates by 11% and 3% onaverage and revise down price targets by 6% on average (see Exhibit 2 and Exhibit 3 for details) to reflectweakening earnings momentum and lower book value
22、 assumptions as insurers use up the unrealized gainon the AFS securities to boost net investment yields, except for Samsung F&M.At the end of SepQ12, we saw 8.5% increase in shareholders equity due to a sharp increase in theunrealised gain of AFS (available-for-sale) securities under the accumulated
23、 other comprehensiveincome, which is a shareholders equity item with the Bank of Korea cutting the policy rate twice (asurprise rate cut on 12 July 2012 and much expected one on 11 October 2012). However, asaforementioned, second-tier non-life insurers boosted net investment yields with disposal gai
24、ns and thusreduced the balance of the unrealized gain on AFS securities, consequently lowering our FY13 BVPSestimates by 7% on average and leading to target price revisions (see Exhibit 3).ExhibitExhibit 3: Change in BVPSabcSFM _ Dongbu _ HMF _ _ LIG _ _ Meritz _KRW bn, %Revised BVPSOld BVPSChangeCh
25、ange (%)FY12E203,993195,9378,0564%FY13E227,821219,7188,1024%FY12E42,31644,237(1,921)-4%FY13E49,79852,067(2,268)-4%FY12E26,63427,928(1,294)-5%FY13E31,27732,651(1,374)-4%FY12E28,30830,971(2,663)-9%FY13E33,69436,365(2,671)-7%FY12E9,92611,880(1,955)-16%FY13E11,65313,511(1,858)-14%Source: HSBC estimatesW
26、e continue to prefer Samsung F&M (OW, TP KRW290,000) as we seek for a more prudent underwriterwith less earnings volatility and more flexibility from the upcoming regulatory changes: (1) Upcomingimplementation of the acquisition cost deferral limit: SFM has a bigger DAC (Deferred Acquisition Cost)bu
27、ffer due to portfolio mix difference and relatively less dependency on the GA (General Agency)channel which takes higher upfront commission portion, (2) Ongoing tightening of the RBC (Risk BasedCapital) model: SFM has the strongest capital position that offers an upper hand in making more lucrativei
28、nvestments and far less pressure on paying out dividends .Under our research model, for stocks with a volatility indicator, the Neutral band is 10 percentage pointsabove and below the hurdle rate for Korean stocks of 10.5%.Our target price of KRW62,000 for Dongbu implies a potential return of 39%, a
29、bove the Neutral band ofour model; therefore, we are reiterating our Overweight (V) rating on Dongbu stock.Our target price of KRW44,000 for Hyundai implies a potential return of 33%, above the Neutral band ofour model; therefore, we reiterate our Overweight (V) rating on Hyundai stock.3InsuranceKor
30、ea10 January 2013Our target price of KRW29,000 for LIG implies a potential return of 19%, within the Neutral band of ourmodel; therefore, we are reiterating our Neutral (V) rating on LIG stock.Our target price of KRW14,000 for Meritz implies a potential return of 5%, within the Neutral band ofour mo
31、del; therefore, we are reiterating our Neutral (V) rating on Meritz stock.Our target price of KRW290,000 for Samsung F&M implies a potential return of 34%, above the Neutralband of our model; therefore, we are reiterating our Overweight rating on Samsung F&M stock.Potential return equals the percent
32、age difference between the current share price and the target price,including the forecast dividend yield when indicated.Exhibit 4: Valuation and rating summaryabcCompanyBloomberg RatingMarketMarket Price atPricePotlP/EVAvgPB Avg ROEPEPEDiv yldnametickercapcap7/1/13targetreturnROEVKRWbnUSDbnKRWKRW20
33、13e 2013-15e2013e 2013-15e2012e2013e2013eDongbuHyundaiLIGMeritzSamsung005830 KS001450 KS002550 KS000060 KS000810 KSO(V)O(V)N(V)N(V)O3,1512,9641,4641,28610,2333.02.81.41.29.644,50033,15024,40013,300216,00062,00044,00029,00014,000290,00039%33%19%5%34%0.5x0.5x0.3x0.4x0.6x19%17%20%21%16%0.88x1.03x0.72x1
34、.12x0.92x17%18%18%18%12%6.7x7.1x5.5x9.5x11.0x5.6x5.9x4.2x7.0x8.3x3.4%4.7%4.8%3.6%3.1%F&MSector17.932%0.5x17%0.93x15%9.2x7.1x3.6%Source: Thomson Reuters Datastream, HSBC estimates. Potential return equals the percentage difference between the current share price and the target price.Exhibit 5: Our ta
35、rget prices represent an average of five valuation methodologies with the appropriate weightingsCompany_ Valuation per share methodology _ _ Price target weight _12M Rdual 12M RdualWtd 2013eDis-PricenameCurrSOTPP/EV income P/ TNAV P/ BV SOTP P/EV income P/ TNAV P/ BV valndiv countTargetDongbuKRW 169
36、,636 162,17336,45975,25775,7870%0%0%0% 100%75,787 1,504 (20%)62,000HyundaiLIGKRW 89,863 89,030 23,279 47,067 48,152KRW 124,156 124,428 26,034 48,734 48,7000%0%0%0%0%0%0%0%100% 48,152 1,520100% 48,700 1,159(10%)(40%)44,00029,000MeritzKRW 56,357 61,402 25,110 -15,756 19,4410%0%0%0% 100% 19,441476(30%)
37、14,000Samsung F&MKRW 625,190 570,692 168,481 288,340 286,5520%0%0%0% 100% 286,552 6,4810%290,000Source: HSBC estimatesExhibit 6: We employ company-specific discount rates to strike our target pricesGroupDiscount rationaleDongbuHyundaiLIGMeritzSamsung F&MSource: HSBC estimates420%10%40%30%0%Poor disc
38、losure (10%), Group Risk (10%)Poor disclosure (10%)Poor disclosure (10%), high equity gearing (10%), Shares overhang (10%), Weak capital (10%)Poor disclosure (10%), lack of scale (10%), Capital (weak RBC ratio-below 200%) (10%)NAInsuranceKorea10 January 2013Exhibit 7: Key risksabcCompanyTickerRating
39、 Share price 7Jan 2013Target Price Key risks to ratingDongbuHyundai M&F005830 KS001450 KSOW(V)OW(V)44,50033,15062,000 Downside risks: (i) A financial company holding structure migration (ii)further government intervention with material negative impact44,000 Downside risks: (i) Further government int
40、ervention could undermineprofitability, (ii) Longer than expected low interest rate environment, (iii)Cannibalization between Hyundai M&F and Hi-Car, its own directunderwriter.LIG002550 KSN(V)24,40029,000 Upside risks: (i) Stronger than expected pure protection new businessmomentum. (ii) Slower than
41、 expected implementation of the capitaltightening measures. Downside risks: (i) Slower than expected closing ofauto loss ratio gap versus peers, (ii) Any significant one-off losses, (iii)further government intervention with material negative impactMeritz F&M000060 KSN(V)13,30014,000 Upside risks: (i
42、) Stronger-than-expected synergies from a holding companystructure. (ii) Much slower-than-expected tightening of the overly lenientRBC. Downside risks: (i) Discontinuation of syndication-based underwritingpractice for the commercial line, (ii) Faster-than-expected implementation oftightening measure
43、s for the overly lenient RBC framework.Samsung F&M000810 KSOW216,000290,000 Downside risks: (i) Weaker-than-expected capital markets, (ii) Potentialvalue-destructive M&A.Source: HSBC estimates5InsuranceKoreaabc10 January 2013Disclosure appendixAnalyst CertificationThe following analyst(s), economist
44、(s), and/or strategist(s) who is(are) primarily responsible for this report, certifies(y) that theopinion(s) on the subject security(ies) or issuer(s) and/or any other views or forecasts expressed herein accurately reflect theirpersonal view(s) and that no part of their compensation was, is or will
45、be directly or indirectly related to the specificrecommendation(s) or views contained in this research report: Sinyoung Park and James GarnerImportant disclosuresStock ratings and basis for financial analysisHSBC believes that investors utilise various disciplines and investment horizons when making
46、 investment decisions, whichdepend largely on individual circumstances such as the investors existing holdings, risk tolerance and other considerations.Given these differences, HSBC has two principal aims in its equity research: 1) to identify long-term investment opportunitiesbased on particular th
47、emes or ideas that may affect the future earnings or cash flows of companies on a 12 month time horizon;and 2) from time to time to identify short-term investment opportunities that are derived from fundamental, quantitative,technical or event-driven techniques on a 0-3 month time horizon and which
48、may differ from our long-term investment rating.HSBC has assigned ratings for its long-term investment opportunities as described below.This report addresses only the long-term investment opportunities of the companies referred to in the report. As and whenHSBC publishes a short-term trading idea th
49、e stocks to which these relate are identified on the website Details of these short-term investment opportunities can be found under the Reports section of thiswebsite.HSBC believes an investors decision to buy or sell a stock should depend on individual circumstances such as the investorsexisting
50、holdings and other considerations. Different securities firms use a variety of ratings terms as well as different ratingsystems to describe their recommendations. Investors should carefully read the definitions of the ratings used in each researchreport. In addition, because research reports contain
51、 more complete information concerning the analysts views, investorsshould carefully read the entire research report and should not infer its contents from the rating. In any case, ratings should notbe used or relied on in isolation as investment advice.Rating definitions for long-term investment opp
52、ortunitiesStock ratingsHSBC assigns ratings to its stocks in this sector on the following basis:For each stock we set a required rate of return calculated from the cost of equity for that stocks domestic or, as appropriate,regional market established by our strategy team. The price target for a stoc
53、k represents the value the analyst expects the stockto reach over our performance horizon. The performance horizon is 12 months. For a stock to be classified as Overweight, thepotential return, which equals the percentage difference between the current share price and the target price, including the
54、forecast dividend yield when indicated, must exceed the required return by at least 5 percentage points over the next 12 months(or 10 percentage points for a stock classified as Volatile*). For a stock to be classified as Underweight, the stock must beexpected to underperform its required return by
55、at least 5 percentage points over the next 12 months (or 10 percentage pointsfor a stock classified as Volatile*). Stocks between these bands are classified as Neutral.Our ratings are re-calibrated against these bands at the time of any material change (initiation of coverage, change of volatilityst
56、atus or change in price target). Notwithstanding this, and although ratings are subject to ongoing management review,expected returns will be permitted to move outside the bands as a result of normal share price fluctuations without necessarilytriggering a rating change.6Jan-08Jan-09Jan-10Jan-11Jan-
57、12Jan-13Jan-08Jan-09Jan-10Jan-11Jan-12Jan-1346%17%InsuranceKoreaabc10 January 2013*A stock will be classified as volatile if its historical volatility has exceeded 40%, if the stock has been listed for less than 12months (unless it is in an industry or sector where volatility is low) or if the analy
58、st expects significant volatility. However,stocks which we do not consider volatile may in fact also behave in such a way. Historical volatility is defined as the pastmonths average of the daily 365-day moving average volatilities. In order to avoid misleadingly frequent changes in rating,however, v
59、olatility has to move 2.5 percentage points past the 40% benchmark in either direction for a stocks status to change.Rating distribution for long-term investment opportunitiesAs of 09 January 2013, the distribution of all ratings published is as follows:Overweight (Buy)(28% of these provided with In
60、vestment Banking Services)Neutral (Hold)Underweight (Sell)37%(27% of these provided with Investment Banking Services)(20% of these provided with Investment Banking Services)Share price and rating changes for long-term investment opportunitiesSamsung F&M Insurance (000810.KS) Share Price performance
61、KRW VsRecommendation & price target historyHSBC rating history289000269000249000229000209000189000169000149000129000109000Source: HSBCFromNeutral (V)Overweight (V)Neutral (V)Overweight (V)Target PricePrice 1Price 2Price 3Price 4Price 5Price 6Price 7Price 8Price 9Price 10Price 11Price 12ToOverweight
62、(V)Neutral (V)Overweight (V)OverweightValue260000.00270000.00260000.00271000.00270000.00258000.00260000.00263000.00258000.00230000.00270000.00300000.00Date29 April 201018 March 201103 July 201224 October 2012Date27 June 201013 October 201011 May 201110 July 201101 September 201103 October 201121 Oct
63、ober 201101 November 201131 January 201222 February 201203 July 201224 October 2012Source: HSBCLig Insurance Co Ltd (002550.KS) Share Price performance KRW Vs HSBC Recommendation & price target historyrating history356503065025650206501565010650Source: HSBCFromUnderweight (V)Overweight (V)Overweight
64、Overweight (V)Target PricePrice 1Price 2Price 3Price 4Price 5Price 6Price 7Price 8Price 9Price 10Price 11Price 12ToOverweight (V)OverweightOverweight (V)Neutral (V)Value32000.0033000.0029000.0032000.0033000.0037000.0040000.0031000.0032000.0040000.0028000.0033000.00Date29 April 201020 May 201110 July
65、 201107 November 2012Date29 April 201019 May 201013 October 201009 January 201118 March 201101 April 201120 May 201128 September 201101 November 201122 February 201203 July 201207 November 2012Source: HSBC7Jan-08Jan-09Jan-10Jan-11Jan-12Jan-13Jan-08Jan-09Jan-10Jan-11Jan-12Jan-13InsuranceKorea10 Janua
66、ry 2013Meritz Fire & Marine (000060.KS) Share Price performance KRW Vs HSBC Recommendation & price target historyabcrating history1487012870108708870687048702870Source: HSBCFromN/ATarget PricePrice 1Price 2Price 3Price 4Price 5Price 6Price 7Price 8Price 9Price 10Price 11Price 12Price 13Price 14Price
67、 15Price 16Price 17Price 18ToNeutral (V)Value9300.008400.009000.008800.008300.008600.009000.0010300.0011500.0014400.0013000.0012700.0012200.0012300.0014000.0012000.0013000.0015000.00Date07 July 2009Date24 September 200929 April 201019 May 201019 July 201013 October 201015 November 201009 January 201
68、118 March 201101 April 201110 July 201101 September 201103 October 201121 October 201101 November 201122 February 201203 July 201226 September 201207 November 2012Source: HSBCDongbu Insurance Co Ltd (005830.KS) Share Price performance KRW VsRecommendation & price target historyHSBC rating history608
69、005080040800308002080010800Source: HSBCFromUnderweight (V)Neutral (V)Target PricePrice 1Price 2Price 3Price 4Price 5Price 6Price 7Price 8Price 9Price 10Price 11Price 12Price 13Price 14ToNeutral (V)Overweight (V)Value35000.0037000.0038000.0042000.0049000.0055000.0057000.0059000.0056000.0057000.007000
70、0.0053000.0064000.0067000.00Date29 April 201022 February 2012Date29 April 201002 June 201013 October 201015 November 201009 January 201101 April 201110 July 201101 September 201103 October 201131 January 201222 February 201203 July 201218 October 201231 October 2012Source: HSBC8Jan-08Jan-09Jan-10Jan
71、-11Jan-12Jan-1371234567891011InsuranceKorea10 January 2013Hyundai Marine & Fire Ins (001450.KS) Share Price performance KRW VsRecommendation & price target historyabcHSBC rating history435503855033550285502355018550135508550Source: HSBCFromUnderweight (V)Overweight (V)Neutral (V)Target PricePrice 1P
72、rice 2Price 3Price 4Price 5Price 6Price 7Price 8Price 9Price 10Price 11Price 12Price 13Price 14ToOverweight (V)Neutral (V)Overweight (V)Value27000.0030000.0029000.0033000.0038000.0036000.0040000.0035000.0036000.0037000.0038500.0037000.0033000.0044000.00Date29 April 201010 July 201107 November 2012Da
73、te29 April 201019 May 201013 October 201009 January 201101 April 201112 May 201101 September 201103 October 201121 October 201131 January 201222 February 201214 May 201203 July 201207 November 2012Source: HSBCHSBC & Analyst disclosuresDisclosure checklistCompanyDONGBU INSURANCE CO LTDHYUNDAI MARINE
74、& FIRE INSMERITZ FIRE & MARINETicker005830.KS001450.KS000060.KSRecent price43400.0031850.0013100.00Price Date09-Jan-201309-Jan-201309-Jan-2013Disclosure4, 64, 6, 7Source: HSBCHSBC* has managed or co-managed a public offering of securities for this company within the past 12 months.HSBC expects to re
75、ceive or intends to seek compensation for investment banking services from this company in the next3 months.At the time of publication of this report, HSBC Securities (USA) Inc. is a Market Maker in securities issued by thiscompany.As of 31 December 2012 HSBC beneficially owned 1% or more of a class
76、 of common equity securities of this company.As of 30 November 2012, this company was a client of HSBC or had during the preceding 12 month period been a clientof and/or paid compensation to HSBC in respect of investment banking services.As of 30 November 2012, this company was a client of HSBC or h
77、ad during the preceding 12 month period been a clientof and/or paid compensation to HSBC in respect of non-investment banking securities-related services.As of 30 November 2012, this company was a client of HSBC or had during the preceding 12 month period been a clientof and/or paid compensation to
78、HSBC in respect of non-securities services.A covering analyst/s has received compensation from this company in the past 12 months.A covering analyst/s or a member of his/her household has a financial interest in the securities of this company, asdetailed below.A covering analyst/s or a member of his
79、/her household is an officer, director or supervisory board member of thiscompany, as detailed below.At the time of publication of this report, HSBC is a non-US Market Maker in securities issued by this company and/or insecurities in respect of this companyAnalysts, economists, and strategists are p
80、aid in part by reference to the profitability of HSBC which includes investmentbanking revenues.For disclosures in respect of any company mentioned in this report, please see the most recently published report on thatcompany available at HSBC Legal Entities are listed in the Disclaimer below.91234I
81、nsuranceKoreaabc10 January 2013Additional disclosuresThis report is dated as at 10 January 2013.All market data included in this report are dated as at close 07 January 2013, unless otherwise indicated in the report.HSBC has procedures in place to identify and manage any potential conflicts of inter
82、est that arise in connection with itsResearch business. HSBCs analysts and its other staff who are involved in the preparation and dissemination of Researchoperate and have a management reporting line independent of HSBCs Investment Banking business. Information Barrierprocedures are in place betwee
83、n the Investment Banking and Research businesses to ensure that any confidential and/orprice sensitive information is handled in an appropriate manner.As of 31 December 2012, HSBC and/or its affiliates (including the funds, portfolios and investment clubs in securitiesmanaged by such entities) eithe
84、r, directly or indirectly, own or are involved in the acquisition, sale or intermediation of,1% or more of the total capital of the subject companies securities in the market for the following Company(ies):DONGBU INSURANCE CO LTD,HYUNDAI MARINE & FIRE INS10InsuranceKorea10 January 2013Disclaimer* Le
85、gal entities as at 8 August 2012UAE HSBC Bank Middle East Limited, Dubai; HK The Hongkong and Shanghai Banking CorporationLimited, Hong Kong; TW HSBC Securities (Taiwan) Corporation Limited; CA HSBC Bank Canada,Toronto; HSBC Bank, Paris Branch; HSBC France; DE HSBC Trinkaus & Burkhardt AG, Dsseldorf
86、; 000HSBC Bank (RR), Moscow; IN HSBC Securities and Capital Markets (India) Private Limited, Mumbai;JP HSBC Securities (Japan) Limited, Tokyo; EG HSBC Securities Egypt SAE, Cairo; CN HSBCInvestment Bank Asia Limited, Beijing Representative Office; The Hongkong and Shanghai BankingCorporation Limited
87、, Singapore Branch; The Hongkong and Shanghai Banking Corporation Limited, SeoulSecurities Branch; The Hongkong and Shanghai Banking Corporation Limited, Seoul Branch; HSBCSecurities (South Africa) (Pty) Ltd, Johannesburg; HSBC Bank plc, London, Madrid, Milan, Stockholm, TelAviv; US HSBC Securities
88、(USA) Inc, New York; HSBC Yatirim Menkul Degerler AS, Istanbul; HSBCMxico, SA, Institucin de Banca Mltiple, Grupo Financiero HSBC; HSBC Bank Brasil SA BancoabcIssuer of reportThe Hongkong and Shanghai BankingCorporation Limited, Seoul SecuritiesBranch7th Floor, HSBC Building25, 1-ka, Bongrae-dongChu
89、ng-ku, Seoul 100-161, KoreaTelephone: +822 3706 8700/3Fax: +822 3706 8797Website: Mltiplo; HSBC Bank Australia Limited; HSBC Bank Argentina SA; HSBC Saudi Arabia Limited; TheHongkong and Shanghai Banking Corporation Limited, New Zealand Branch incorporated in Hong KongSARThis document has been issue
90、d by The Hongkong and Shanghai Banking Corporation Limited, Seoul Securities Branch (HSBC) for the information of itsinstitutional and professional customers; it is not intended for and should not be distributed to retail customers. If it is received by a customer of an affiliate ofHSBC, its provisi
91、on to the recipient is subject to the terms of business in place between the recipient and such affiliate. This document is not and should not beconstrued as an offer to sell or the solicitation of an offer to purchase or subscribe for any investment. HSBC has based this document on information obta
92、inedfrom sources it believes to be reliable but which it has not independently verified; HSBC makes no guarantee, representation or warranty and accepts noresponsibility or liability as to its accuracy or completeness. Expressions of opinion are those of the Research Division of HSBC only and are su
93、bject to changewithout notice. HSBC and its affiliates and/or their officers, directors and employees may have positions in any securities mentioned in this document (or in anyrelated investment) and may from time to time add to or dispose of any such securities (or investment). HSBC and its affilia
94、tes may act as market maker or haveassumed an underwriting commitment in the securities of companies discussed in this document (or in related investments), may sell them to or buy them fromcustomers on a principal basis and may also perform or seek to perform investment banking or underwriting serv
95、ices for or relating to those companies.HSBC Securities (USA) Inc. accepts responsibility for the content of this research report prepared by its non-US foreign affiliate. All U.S. persons receivingand/or accessing this report and wishing to effect transactions in any security discussed herein shoul
96、d do so with HSBC Securities (USA) Inc. in the UnitedStates and not with its non-US foreign affiliate, the issuer of this report.In the UK this report may only be distributed to persons of a kind described in Article 19(5) of the Financial Services and Markets Act 2000 (FinancialPromotion) Order 200
97、1. The protections afforded by the UK regulatory regime are available only to those dealing with a representative of HSBC Bank plc inthe UK. In Singapore, this publication is distributed by The Hongkong and Shanghai Banking Corporation Limited, Singapore Branch for the generalinformation of institut
98、ional investors or other persons specified in Sections 274 and 304 of the Securities and Futures Act (Chapter 289) (“SFA”) and accreditedinvestors and other persons in accordance with the conditions specified in Sections 275 and 305 of the SFA. This publication is not a prospectus as defined inthe S
99、FA. It may not be further distributed in whole or in part for any purpose. The Hongkong and Shanghai Banking Corporation Limited Singapore Branch isregulated by the Monetary Authority of Singapore. Recipients in Singapore should contact a Hongkong and Shanghai Banking Corporation Limited, SingaporeB
100、ranch representative in respect of any matters arising from, or in connection with this report. In Australia, this publication has been distributed by TheHongkong and Shanghai Banking Corporation Limited (ABN 65 117 925 970, AFSL 301737) for the general information of its “wholesale” customers (asde
101、fined in the Corporations Act 2001). Where distributed to retail customers, this research is distributed by HSBC Bank Australia Limited (AFSL No. 232595).These respective entities make no representations that the products or services mentioned in this document are available to persons in Australia o
102、r arenecessarily suitable for any particular person or appropriate in accordance with local law. No consideration has been given to the particular investmentobjectives, financial situation or particular needs of any recipient. This publication is distributed in New Zealand by The Hongkong and Shangh
103、ai BankingCorporation Limited, New Zealand Branch incorporated in Hong Kong SAR.In Japan, this publication has been distributed by HSBC Securities (Japan) Limited. In Korea, this publication is distributed by The Hongkong and ShanghaiBanking Corporation Limited, Seoul Securities Branch (HBAP SLS) fo
104、r the general information of professional investors specified in Article 9 of theFinancial Investment Services and Capital Markets Act (“FSCMA”). This publication is not a prospectus as defined in the FSCMA. It may not be furtherdistributed in whole or in part for any purpose. HBAP SLS is regulated
105、by the Financial Services Commission and the Financial Supervisory Service of Korea.In Hong Kong, this document has been distributed by The Hongkong and Shanghai Banking Corporation Limited in the conduct of its Hong Kong regulatedbusiness for the information of its institutional and professional cu
106、stomers; it is not intended for and should not be distributed to retail customers in Hong Kong.The Hongkong and Shanghai Banking Corporation Limited makes no representations that the products or services mentioned in this document are available topersons in Hong Kong or are necessarily suitable for
107、any particular person or appropriate in accordance with local law. All inquiries by such recipients must bedirected to The Hongkong and Shanghai Banking Corporation Limited. It may not be further distributed in whole or in part for any purpose.In Canada, this document has been distributed by HSBC Ba
108、nk Canada and/or its affiliates. Where this document contains market updates/overviews, or similarmaterials (collectively deemed “Commentary” in Canada although other affiliate jurisdictions may term “Commentary” as either “macro-research” or“research”), the Commentary is not an offer to sell, or a
109、solicitation of an offer to sell or subscribe for, any financial product or instrument (including, withoutlimitation, any currencies, securities, commodities or other financial instruments). Copyright 2013, The Hongkong and Shanghai Banking Corporation Limited, Seoul Securities Branch, ALL RIGHTS RE
110、SERVED. No part of thispublication may be reproduced, stored in a retrieval system, or transmitted, on any form or by any means, electronic, mechanical, photocopying, recording, orotherwise, without the prior written permission of The Hongkong and Shanghai Banking Corporation Limited, Seoul Securiti
111、es Branch MICA (P) 038/04/2012,MICA (P) 063/04/2012 and MICA (P) 206/01/201211abcGlobal Financial Institution Group Research TeamCarlo DigrandiGlobal Head of Financial Institutions Research+44 20 7991 6843BanksEuropeRobin DAsiaJames GarnerAnalyst, Head of Asian Insurance+852 2822 4321 .hkAnalyst, Gl
112、obal Sector Head, Banks+44 20 7991 6926 Michael Chang+852 2996 .hkMonica Patrascu+44 20 7991 6828Peter Toeman+44 20 7991 6791Rob Murphy+44 20 7991 Grace Zhou+852 2822 3053Sinyoung Park+822 3706 8770Real EIason Kepaptsoglou+44 20 7991 6722Lorraine Quoirez+44 20 7991 EuropeJohn Fraser-AndrewsHead of R
113、eal Estate Equity Research, Europe+44 20 7991 6732 john.fraser-Johannes ThormannGlobal Head of ExchangesThomas Martin+49 211 910 3276thomas.martinhsbc.de+49 211 910 3017johannes.thormannhsbc.deStphanie DossmannCEEMEA+33 1 56 52 43 Gyorgy OlahHead of Ceemea Banks Research+44 20 7991 6709 Aybek Islamo
114、v+44 20 7992 3624 Tamer Sengun+90 212 376 46 15 .trJan Rost+27 11 676 4209 Latin AmericaVictor GallianoAsiaDerek KwongHead of Real Estate Equity Research, Asia+852 2996 6629 .hkAshutosh Narkar+91 22 2268 1474 ashutoshnarkarhsbc.co.inMichelle Kwok+852 2996 6918 .hkPhillip Zhong+852 2996 6535 .hk+1 21
115、2 525 Perveen WongMariel Santiago+852 2996 .hkFinancials+1 212 525 5418Felipe Rodrigues+55 11 3847 .brStanley Cheung+852 2822 4395Pratik Burman Ray+65 6658 .sgAsiaTodd DunivantAnalyst, Head of Banks, Asia-Pacific+852 2996 6599 .hkYork PunDavid Choo+65 6658 0612Abel Lee+8862 6631 .tw+852 2822 .hkRuth
116、 LeungEric Mak+852 3941 .hk+852 2996 .hkCEEMEAKathy Park+82 2 3706 8755Sachin SLevent Bayar+90 212 376 46 17Credit R.tr+91 22 2268 1224Tejas Mehta+91 22 2268 1243Kar Weng Loo+65 6658 0621Xiushi Cai+65 6658 .sgBanks and InsuranceAsiaDilip ShahaniAnalyst, Head of Global Research, Asia-Pacific+852 2822
117、 4520 .hkDevendran MahendranSovereigns and Financial InstitutionsBruce Warden+852 2822 .hk+8862 6631 .twNorth AmericaInsuranceEuropeKailesh MistryAnalyst, Head of European Insurance+44 20 7991 6756 Dhruv GahlautVan HesserGlobal Head of Credit Research, US Banks+1 212 525 3114 Arjun BowryAssociate+1 212 525 3119 +44 207 991 6728Steven Haywood+44 207 991 3184Thomas Fossard+33 1 56 52 43 Specialist SalesNigel Grinyer+44 20 7991 5386Martin Williams+44 20 7991 Juergen Werner+49 211 910 4461Jonathan Weetman+44 20 7991 5939Matthew Robertson+44 20 7991
