Financial Supervisory Service Establishes Fund Rapid Review Office: "Preparing Efficient Review Measures"

[Asia Economy Reporter Lee Jung-yoon] The Financial Supervisory Service (FSS) announced on the 13th that it will establish a Fund Rapid Review Office and promote measures to efficiently review products.

Despite the increasing demand for reviews of public funds, private funds, and foreign funds, rapid reviews have not been conducted, and the need for improvement has been continuously raised. Accordingly, the FSS established the Fund Rapid Review Office, a dedicated review department, through this year's organizational restructuring.

In addition, the review and investigation functions for financial investment products, previously performed by the department supervising financial investment businesses, have been integrated into the Fund Rapid Review Office, and the review and investigation personnel have been expanded from 13 to 21.

Furthermore, the FSS has prepared measures to streamline product review tasks. First, to improve the work process, it will categorize by investor type and report content to simultaneously achieve rapid review and investor protection, allocating review capabilities differentially. Also, to enhance efficient review operations, the reporting and reception system for general private funds will be improved.

For foreign funds, the FSS plans to operate a dedicated review system to shorten the review period. Previously, 2 to 3 personnel handled reviews of both general private funds and foreign funds, making rapid review of foreign funds difficult. The FSS will assign 4 personnel exclusively for foreign fund reviews and process them intensively, and will also promote the computerization of the entire registration review process to ensure rapid and efficient registration review tasks.

To listen to market participants' opinions and understand market trends, communication with asset management companies' product managers will be strengthened and referenced during review tasks.

An FSS official stated, "Based on the expanded organization and personnel, we will faithfully implement the measures to streamline review tasks and check their operational performance. We will also prepare additional measures for work efficiency if necessary through feedback from market participants. We plan to develop a computerized system for general private and foreign funds, conduct pilot tests, and collect opinions in the first half of this year, and operate the improved system from the second half."

He added, "In the future, by enabling rapid reviews, we will increase predictability for product launches and support timely supply of various financial investment products, thereby enhancing the dynamism of the capital market and the function of capital circulation. By streamlining work processes, we expect to focus review capabilities more on areas requiring investor protection."