Securities Industry Leaders' New Year Messages: "This Year Is Difficult Again, Innovation and Trust Building Needed"

Exchange Revises KOSDAQ Market Entry Requirements
Mirae Asset Daewoo Achieves 10 Trillion KRW in Equity Capital
NH Investment & Securities Actively Responds to Digital Channels
KB Securities Strengthens Profit-Centered Management System

[Asia Economy Reporter Song Hwajeong] Heads of capital market-related institutions and CEOs of the securities industry unanimously predicted that the domestic and international environment of the capital market would be challenging this year and stated that they would actively pursue innovation and build trust.

On the 2nd, Jung Ji-won, Chairman of the Korea Exchange, attended the opening ceremony of the securities and derivatives market and presented the '3Cs' of Challenge, Communication, and Confidence as keywords to overcome the difficult capital market conditions.

The Exchange plans to clearly reform the KOSDAQ market entry requirements system to focus more on the future growth value of companies so that companies can timely raise the funds they need. Through the Business Development Company (BDC) promoted by the government, it will help ensure that the abundant liquidity in the listed market is sufficiently provided to unlisted companies as well. To enable investors to achieve slightly higher returns, income-type Exchange Traded Products (ETPs) based on REITs, bonds, and high-dividend stocks will be continuously expanded. It also plans to increase information provision services such as Environmental, Social, and Governance (ESG), which are in rapidly growing global demand.

Chairman Jung emphasized, "Trust is especially important," and said, "We will prepare a comprehensive response plan to new types of unfair trading and eradicate market disruption activities using high-frequency algorithmic trading (HFT). In addition, through focused monitoring of political theme stocks ahead of the general election and illegal short selling, we will strive to minimize investor damage from unhealthy market activities."

Choi Hyun-man, Senior Vice Chairman of Mirae Asset Daewoo, forecasted in his New Year's message that achieving a capital base of 10 trillion won this year is possible and stated that based on overwhelming capital superiority, high-quality asset investment will expand, and profits generated from investment assets will also increase, firmly establishing a virtuous cycle.

Senior Vice Chairman Choi said, "In 2020, the seeds we have sown so far will bear fruit one by one, and it is expected that the domestic securities industry will achieve an unprecedented capital base of 10 trillion won," adding, "Based on overwhelming capital superiority, high-quality asset investment will expand, and profits generated from investment assets will also increase, firmly establishing a virtuous cycle."

Senior Vice Chairman Choi stated, "This year will be the first year to advance as a global top-tier investment bank (IB)," and urged to further strengthen global business and future-oriented investments. He also emphasized the need to actively pursue convergence innovation not only among all departments within the company but also with external platforms, and requested thorough internal control and risk management.

Jung Young-chae, CEO of NH Investment & Securities, said in his New Year's message, "In a low-growth environment, the demand for asset management and asset operation will increase, and due to changes in production and consumption patterns and the spread of the sharing economy, the need for corporate business structure reorganization is greater than ever," pointing out, "As asset returns gradually decline and asset size approaches the limits of capital regulation, growth in the previous manner is difficult."

CEO Jung emphasized, "A new way of growth different from before is needed," and added, "The simple brokerage market will be largely replaced by digital services in the near future, and more active responses to digital channels, which customers increasingly prefer, are necessary."

Park Jung-rim and Kim Seong-hyun, CEOs of KB Securities, stated in their New Year's messages that they will strengthen a profit-centered management system through enhancing business competitiveness and operational structure efficiency. Park and Kim said, "In the capital market, we must create investment performance through effective responses to market issues such as the continued low-interest-rate trend, and in the asset management market, we must strive to improve customer-centered competitiveness through customer-focused investment solutions and digital innovation," adding, "We face the task of consolidating areas of competitive advantage by pooling company-wide capabilities and securing a leading position in the securities industry through competitor catch-up and proactive business promotion in areas of competitive disadvantage and new business fields."

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