[비즈한국] Hyundai Asset Management has conducted its first executive reshuffle since being acquired by JJ Construction. Six existing executives left the company, while four new members were appointed. This is interpreted as an attempt by JJ Construction to exert full-scale influence over Hyundai Asset Management. However, there are significant concerns due to Hyundai Asset Management's recent sluggish performance.
JJ Construction acquired Hyundai Asset Management from Mugunghwa Trust on May 19 this year. JJ Construction is a company with a special relationship with Jeil Construction, and Park Hyun-hae, the wife of Jeil Construction Chairman Yoo Jae-hoon, is the largest shareholder. JJ Construction stated that the purpose of the acquisition was to strengthen its business capabilities. Jeil Construction is the 15th-ranked construction firm in the 2025 construction capacity evaluation and has been expanding its housing business led by its apartment brand, 'Jeil Punggyeongchae'.
Following the acquisition by JJ Construction, Hyundai Asset Management carried out a major executive reshuffle on May 28. First, a total of six executives, including two outside directors and four non-standing directors, resigned. CEO Jung Wook maintained his position.
Hyundai Asset Management then appointed four new directors: one outside director and three non-standing directors. Among them, non-standing directors Kim Jung-seok and Yoo Ji-won are personnel from Jeil HDS, an affiliate of Jeil Construction, representing the Jeil Construction side. Additionally, Kim Kyung-soo, CEO of K-Pool Two, was appointed as an outside director, and Choi Jung-kyung, formerly of OK Logiwell, was appointed as a non-standing director.
JJ Construction formed a consortium with OK Logiwell during the process of acquiring Hyundai Asset Management. Post-acquisition, JJ Construction holds a 60% stake in Hyundai Asset Management, while OK Logiwell holds 40%. The appointment of Choi Jung-kyung as a non-standing director is interpreted as being influenced by OK Logiwell's stake.
In the financial industry, this reshuffle is seen as an attempt by Jeil Construction to exert actual influence over Hyundai Asset Management. Jeil Construction has primarily focused on the construction industry and has had little connection to the financial sector. However, it began expanding its footprint into finance last year by acquiring J-Curve Asset Management (formerly SS Asset Management). Newly appointed non-standing director Kim Jung-seok also serves as an outside director at J-Curve Asset Management. Director Kim is considered a key figure within the Jeil Construction group, having served as a division head at Jeil HDS, CEO of Jeil Holdings, and CEO of Jeil Punggyeongchae.
The issue is that it is difficult to say that Hyundai Asset Management's performance is notable. According to audit reports, Hyundai Asset Management recorded a net loss of 13 billion KRW in 2024. Although it turned a profit in 2025, the amount was only 46.66 million KRW, which is not significant. Moreover, there are substantial concerns because Jeil Construction is not a company with expertise in the financial industry. On the other hand, there is a positive perspective because Hyundai Asset Management holds a diverse investment portfolio among mid-sized general asset managers. Bizhankook attempted to contact Hyundai Asset Management for comment, but could not reach them.
The predecessor of Hyundai Asset Management was Hyundai Fund, established by Hyundai Securities in 2008. Hyundai Fund changed its name to Hyundai Asset Management in 2009, and when Hyundai Securities was acquired by KB Financial Group in 2016, Hyundai Asset Management was naturally incorporated as a subsidiary of the KB Financial Group. KB Financial Group sold Hyundai Asset Management to Keystone Private Equity (Keystone PE) in 2017, and Keystone PE sold it again to Mugunghwa Trust in 2020.