[New Year's Address] Choi Hyun-man, Senior Vice Chairman of Mirae Asset Daewoo, "Achievable to Reach 10 Trillion Won in Equity Capital"

Choi Hyun-man, Senior Vice Chairman of Mirae Asset Daewoo

[Asia Economy Reporter Song Hwajeong] Choi Hyun-man, Senior Vice Chairman of Mirae Asset Daewoo, stated in his New Year's address on the 2nd that achieving 10 trillion KRW in equity capital this year is possible. He emphasized that based on overwhelming equity capital superiority, the expansion of high-quality asset investments and the increase in profits generated from investment assets will firmly establish a virtuous cycle structure.

Below is the full text of the New Year's address.

Dear employees of Mirae Asset Daewoo,

As we welcome the hopeful new year of 2020, I wish you and your families health and happiness.

Throughout 2019, Mirae Asset Daewoo devoted itself to global and investment innovation, and as a result, it is expected to achieve the highest performance since its founding. Our equity capital has also surpassed 9 trillion KRW. Especially in the investment sector, we have successfully advanced landmark domestic and international deals such as Strategy Hotel & Resort, Naver Financial, and Asiana Airlines, setting a new milestone in the Korean capital market. Due to these business innovation achievements, we proudly received the Presidential Award, the grand prize at the Korea Corporate Innovation Awards. This is a precious outcome that all Mirae Asset Daewoo employees have cultivated by never resting on the title of Korea’s number one securities firm but continuously pursuing innovation and change. I deeply appreciate your hard work.

Respected employees of Mirae Asset Daewoo,

2020 marks a meaningful year as the start of a new decade. In 2020, the seeds we have sown so far will begin to bear fruit one by one, and it is expected that the unprecedented achievement of 10 trillion KRW in equity capital in the domestic securities industry will be possible. Based on overwhelming equity capital superiority, the expansion of high-quality asset investments and the increase in profits generated from investment assets will firmly establish a virtuous cycle structure.

Mirae Asset’s global network, operating on the world stage, will create even stronger synergies. Through the global sales platform One Asia Equity Sales and Global Wealth Management, all customers worldwide will experience integrated investment services within our network. Profits generated from overseas subsidiaries and global operations will increase further, and Mirae Asset Daewoo will have a clearly differentiated competitiveness and profit structure from other domestic securities firms.

Ten years ago, we said that by 2020 we would become Asia’s number one in creating customer value and leading a sound investment culture. We aimed to become Asia’s Leading Financial Services Company.

Now, ten years later, we stand shoulder to shoulder with Asia’s top-tier securities firms. We now aim to leap beyond Asia and become a global top-tier investment bank (IB). The year 2020 will be the inaugural year of this journey.

Standing at the starting point of a new decade toward becoming a global top-tier IB, let us once again reflect on our core values. Mirae Asset exists for its customers. Our raison d'?tre is to create customer value. Mirae Asset exists to grow customers’ assets over the long term together with them. Therefore, all employees should keep the following three perspectives in mind when performing their duties.

First, High Quality. In all business areas, the value delivered to customers must aim for high quality that clearly differentiates us from competitors. Since our reason for existence is the customer, we must always provide customers with opportunities and products to invest in the best high-quality assets. The attitude of employees toward customers must also have the highest competitive advantage.

Second, High Technology. Our competitiveness must be delivered to customers in the most convenient way. Therefore, financial platform services must aim for high technology. We must create a financial platform based on big data and artificial intelligence (AI) that allows customers to communicate conveniently and directly 24 hours a day. Let us secure and respond to customers with innovative digital financial solutions.

Third, High Touch.

In all areas requiring a human touch, let us secure a gap that competitors cannot follow. To this end, let us actively utilize all our resources and infrastructure. With warm human sensibility and mindset, let us provide quality and reliable benefits and services to impress all our customers.

If all employees uphold these three perspectives toward the new decade, Mirae Asset Daewoo will soar higher as a global top-tier IB.

Dear employees of Mirae Asset Daewoo,

As we prepare together for 2020 toward our grand goals, I would like to share a few requests.

First, let us further strengthen our global business.

Our globalization is not merely an expansion of networks but a balancing act. Customers can manage their assets stably by diversifying investments concentrated domestically through global asset allocation. The company can escape the narrow domestic market and pioneer new overseas markets, gaining opportunities to grow with the global economy. The nation can present a new vision of national wealth creation through financial exports. For Mirae Asset Daewoo, globalization is a path we must take for customers, the company, and the country. Let us devote all efforts to strengthening global business.

Second, let us further strengthen investments toward the future.

Since 2017, we have supplied more than 1 trillion KRW in venture capital to small and innovative companies, contributing to the recovery of Korea’s economic dynamism. We have led efforts to create new jobs in local communities and invigorate Korean society by investing in venture infrastructure and regional tourism industries. We have supplied high-quality assets secured through investments to customers and diversified our profit structure by expanding businesses such as IB, Trading, and PI.

Mirae Asset Daewoo’s investments are transforming the nation, society, customers, and the company. Without investment, growth is impossible, and the future cannot be changed. Let us embrace Mirae Asset’s DNA of challenge and innovation and create a new future through investment.

Third, let us continuously promote convergence innovation.

To provide customers with differentiated high-quality value, it is not enough to simply do our best in our own fields. This is why convergence innovation across all departments is essential. Especially, 'digital finance,' the core of platform business, 'IT,' and 'pension,' a comprehensive package of WM sales, can create differentiated new values and solutions through convergence innovation with other departments.

Let us actively engage in convergence innovation with external platforms as well. Mirae Asset will invest 800 billion KRW in Naver Financial this January, with Mirae Asset Daewoo responsible for 680 billion KRW. This is the largest fintech investment in Korea’s history. When Mirae Asset’s financial solutions meet Naver’s digital platform used by 40 million customers, various convergence synergies will be created.

In a market environment where boundaries between industries and sectors are collapsing, silo organizations that build walls and do not communicate within the company cannot survive. Now, all departments across the company must communicate and actively engage in convergence innovation.

Fourth, let us ensure thorough internal control and risk management.

Successful asset management for customers must be sustainable, not temporary, and this is only possible under thorough risk management. As seen in the large losses from derivative-linked funds and the Lime Asset Management incident, failures in internal control and risk management cause significant damage to customers and put the company in crisis.

At the end of last year, we proactively reflected the 'Financial Consumer Protection Model Code,' appointed a chief officer responsible for financial consumer protection, and established a dedicated organization. We also operate the 'Financial Dispute Mediation Team,' a dedicated team for complaints and VOC (Voice of Customer). This expresses our commitment to take the lead in customer protection with responsibility as the number one securities firm.

Each employee should have the mindset that they are a compliance officer and risk manager and thoroughly engage in internal control and risk management.

Finally, let us actively fulfill our social responsibilities.

Today, the birth and growth of Mirae Asset Daewoo have all come from customers and society. Therefore, we have a mission to contribute to customers and society through investment and innovation. We aim to create new national wealth through financial exports. However, we should not be satisfied with this alone but take a step further to lead the practice of warm capitalism with consideration. From small daily practices of saving everyday items to participating in social service and donation activities, let us fulfill various social responsibilities.

Employees of Mirae Asset Daewoo,

Mirae Asset Daewoo is changing the paradigm of the Korean capital market and creating a new path. Rather than hesitating on unfamiliar paths, let us proceed with confidence in the direction we are heading.

Upholding the perspectives of High Quality, High Technology, and High Touch,

let us strengthen global and investment businesses, enhance internal control and risk management, and actively engage in convergence innovation and social responsibility.

Just as we have risen to become an Asia top-tier securities firm through sincere practice over the past decade,

let us stand tall as a global top-tier IB in the new decade.

Let us sincerely respond to the hopes of customers and society who say, 'We wish there was a global financial company like this in our country.'

Once again, I wish health and happiness to all employees and your families.

Happy New Year.

This content was produced with the assistance of AI translation services.