The stable outlook on KB Securities Co. Ltd. reflects our view that KBFG will maintain adequate capital buffer to support its business growth and well-managed asset quality with low credit losses over the next 18-24 months. We expect KBFG to provide strong support to KB Securities under any foreseeable circumstances, considering the company's core importance to the group. The ratings on the company will therefore remain highly correlated with the group's creditworthiness. We could lower the ratings on KB Securities if: (1) the group's capitalization weakens, pushing down its risk-adjusted capital (RAC) ratio sustainably below 7%, potentially due to excessive business growth amid weaker profitability or rapid inorganic growth; or (2) the group's asset quality deteriorates significantly more than the
