Jae Woo Kim's questions to KB Financial Group Inc (KB) leadership • Q3 2024
Question
Jae Woo Kim inquired about KB Financial Group's risk-weighted asset (RWA) growth targets in comparison to developed markets, the necessary RWA growth rate to achieve a 50% shareholder return ratio, and the potential for a shareholder return ratio exceeding 50%.
Answer
CFO Jae Kwan Kim explained that KB Financial Group does not set a specific total shareholder return (TSR) target, as returns are directly linked to the CET1 ratio exceeding 13%. He emphasized focusing on the absolute growth in shareholder returns, not just the ratio. Kim stated the group aims to reduce its RWA growth rate from a historical average of 6.1% to approximately 5% going forward, aligning with its value-up plan and redesigning employee KPIs accordingly.