The new joint venture will be established in the second half of 2018, subject to regulatory approval.

South Korea-based Samsung Active Asset Management, a subsidiary of Samsung Asset Management, will merge with Franklin Templeton Investment Trust Management, to establish Samsung Franklin Templeton Asset Management, a joint venture in Korea.

The new venture will be under joint management, with equal representatives from the two parties. The firm will launch a range of product offerings for Korean investors, the firms said.

It will focus on large-cap growth and small- and mid-cap equity strategies as offered and promoted by Samsung, combined with a large-cap value strategies overseen by Franklin Templeton Investments. 

“This merger will maximise the strengths of Samsung Asset Management and Franklin Templeton Investments to provide the best services to Korean investors,” said SungMin Hwang, a representative of Samsung Active Asset Management. “We will be able to offer some of the world’s best asset management services in terms of products and strategy.”

Mark Browning, managing director of Franklin Templeton Asia-Pacific added: “We welcome the opportunity to partner with Samsung Asset Management, the leading asset management company in Korea. Franklin Templeton remains committed to our Korean clients and will provide global investment expertise across a variety of asset classes within the structure of this new joint venture.”

Subject to obtaining approval from the financial regulatory bodies, the two parties plan to establish the joint venture in the second half of 2018.

Established in January 2017, Samsung Active Asset Management is 100 per cent wholly-owned by Samsung Asset Management and specialises in active equity management in Korea.

Franklin Templeton Investment Trust Management is an asset management firm established in March 1988 in South Korea, with 100 per cent of its shares held by Franklin Templeton Capital Holdings.