Top Korean bank to stop lending to chaebols

H&CB has just started to let investors know that it will no longer lend to large corporates. It says that the risk-adjusted return on capital does not make that business worthwhile. This strategy, of course, has big implications for corporate Korea - which is still dominated by large corporates, known as chaebol. H&CB will stop lending to the top 30, and more broadly, to any corporate that taps the domestic bond market.