Overseas Stock Commission Market 'Ranking Battle'

Q1 57.6 Billion Won, Kiwoom Securities Ranks 1st
'Unshakable 1st Place' Mirae Asset Drops to 3rd

[Asia Economy Reporter Ji-hwan Park] The competition among securities firms for the overseas stock commission market is intensifying. Mirae Asset Securities, which held the top spot throughout last year, has dropped to third place this year after ceding the throne to Kiwoom Securities and falling behind Samsung Securities, which ranked second.

According to the Financial Investment Association's electronic disclosure system as of the end of the first quarter this year, among the top 13 securities firms by equity capital, Kiwoom Securities earned the highest commission revenue from foreign currency securities custody, including stocks and bonds, amounting to 57.6 billion KRW. Samsung Securities (54.2 billion KRW) and Mirae Asset Securities (53.1 billion KRW) followed. Next were Korea Investment & Securities (28.6 billion KRW), NH Investment & Securities (26.8 billion KRW), KB Securities (22.9 billion KRW), Shinhan Financial Investment (15.2 billion KRW), Daishin Securities (8.3 billion KRW), Hana Financial Investment (6.6 billion KRW), Yuanta Securities (3.2 billion KRW), Hanwha Investment & Securities (1 billion KRW), Meritz Securities (0.5 billion KRW), and Kyobo Securities (0.4 billion KRW).

Kiwoom Securities also showed the steepest growth rate in revenue over the past year. Its foreign currency securities commission income rose from 6.9 billion KRW in the first quarter of last year to 57.6 billion KRW in the first quarter of this year, an overwhelming increase of 734%. Its ranking improved from fourth place in the first quarter of last year to third in the second quarter, and this year it surpassed Mirae Asset and Samsung to claim the top spot. Samsung Securities maintained its second-place position, increasing its foreign currency securities commission income from 21.9 billion KRW in the first quarter of last year to 54.2 billion KRW this year, a 148% increase.

On the other hand, Mirae Asset Securities, which had been the undisputed leader, saw its revenue increase by only 90%, from 27.9 billion KRW to 53.1 billion KRW, dropping two ranks. While Kiwoom and Samsung offered exceptional benefits such as investment support funds of around 20 to 40 USD, Mirae Asset did not provide significant preferential treatment until recently, when it began offering free commissions and favorable exchange rates, which analysts say caused it to fall behind in the ranking competition. The mid-tier competition between NH Investment & Securities and KB Securities, ranked fifth and sixth, is also fierce. Over the past five quarters, NH Investment & Securities has shown a slight edge with three wins, including the first quarter of this year and the first and fourth quarters of 2020.

The unprecedented boom in retail stock investment by individual investors, which began in earnest last year, is expected to continue this year. The total foreign currency securities custody commission revenue earned by the 13 securities firms in the first quarter of this year reached 278.3 billion KRW, exceeding half of last year's annual revenue of 532.9 billion KRW in just one quarter. An industry insider said, "As overseas securities commission revenue emerges as a main source of income, marketing competition for market share is overheating," adding, "Benefits such as free commissions and investment support funds are likely to continue until the end of the year."

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