Focused on fundamentals, designed for the long run: Gian Asset Management

Gian Asset Management has grown steadily by widening the circle of trust through every change in the financial markets. Focusing on fundamentals such as sound fund design and trust-building as much as on returns, the firm aims to become an asset manager that has a positive long-term influence on the capital markets. We met CEO Dojun Kim to hear about that philosophy and direction.

Gian Asset Management registered as a private fund manager in May 2019, just before the Lime scandal and the COVID-19 pandemic, when it was hard for a new manager even to launch a fund. It pushed through and launched and managed its funds regardless. Korea’s fund market had opportunities to grow, but incidents ultimately shattered investor trust. To avoid repeating those problems, Mr. Kim stresses that not only a fund’s returns but also its structure and asset composition must be trustworthy. “It saddened me to see trust in the fund market fading, and when I founded the company I felt we had to manage money in a way that could earn that trust.”

In its fourth year, Gian launched a new KOSDAQ venture fund. The high cost structure of large fund administrators was a burden for a young manager already facing unexpected fixed costs. While looking for a more reasonable alternative, the firm found Korea Fund Service, and through that process was also introduced to Fincatch as a provider of trading systems. Mr. Kim says he chose Fincatch OMS because of its flexible, responsive communication and the sense that the two companies could grow together. After using it, he points to quick feedback on feature requests, a realistic cost structure for a young manager, and practical features that make trading more efficient. “What’s good about Fincatch is that when we say we need a certain feature, they actually listen and give detailed feedback. That’s what keeps us here, and it’s meaningful in the sense that we can grow together.”

Rather than growing fast, Gian prefers to grow naturally on trust, building up the satisfaction of one client at a time even if it takes longer. That aligns with Mr. Kim’s investment philosophy. Under that philosophy, the firm focuses on building a solid foundation rather than aggressive marketing or heavy external promotion. Until its track record is persuasive enough, the priority is to strengthen its revenue base through performance fees on existing funds and to build internal capabilities. “Until our results are persuasive enough, we’re focusing on investment and internal capabilities. I think at some point the right timing will come when it feels fine to tell clients about us.”

Gian also believes a fund’s asset composition should be simple and clear enough for clients to understand. In managing money, the firm stresses that protecting clients from redemption risk by weighing volatility and liquidity alongside returns is one of an asset manager’s most important roles. “Our basic principles of fund management are: 1. research-based investing, 2. simple, clear fund structures, and 3. a sense of balance among returns, volatility and liquidity. These principles are the minimum safeguards for protecting our clients and the driving force behind earning their long-term trust.”

Mr. Kim described his management philosophy through Daniel Coyle’s book The Culture Code. As legendary NBA coach Gregg Popovich put it, what truly matters is not wins, losses or results but relationships, and he believes the relationships formed one by one through the company connect into a valuable network. That is why he tries never to be rude to anyone, while also being wary of forming artificial relationships for a specific purpose. He also explains that successful organizations are not those without problems but those forged in solving difficult situations together, and that trust deepens the moment colleagues share their vulnerabilities and help one another. “Showing vulnerability creates more trust and closeness than showing off ability. Vulnerability doesn’t follow trust; it comes first.” This people-centered philosophy carries naturally into Gian’s culture and management. Choosing to grow by building trust with clients rather than chasing rapid growth, and investing only in assets clients can understand while focusing on protecting them from risk, both reflect Mr. Kim’s emphasis on trust and relationships.

Since registering in 2019, Gian has stayed profitable every year but one, maintaining stable operations. Its investment results are equally steady: not one of the ten funds it has launched has recorded a loss. In the past year in particular, AUM has more than tripled, a meaningful milestone. That result comes from an investment philosophy that prizes sustainability over short-term performance, and shows how that philosophy has become the foundation of client trust. “I think we should widen the circle of trust starting with those closest to us, and we keep preparing for that. I’d like our growth to come naturally from clients’ choices rather than from artificially expanding the business.” As a partner growing alongside Gian Asset Management, Fincatch will do its best to be a key supporter in the firm’s effort to make a positive impact on the capital markets.