Hana Financial Investment Launches 'Gift Wrap' for Global Long-Term Investment Inheritance

We have come together to guide you into the world of successful gifting and global investment. (From left) Seungtaek Hwang, Head of Research Center; Gilyoung Yang, Portfolio Manager of Lab Operations Team; Jongseung Lee, Vice President of Global Division; Changjin Kwon, Head of Lab Operations Team; Onchang Ki, Head of IPS Headquarters

[Asia Economy Reporter Ji Yeon-jin] Hana Financial Investment (CEO Eun-hyung Lee) announced on the 28th that it has launched the 'Gift Wrap,' which invests long-term in sustainable global companies so that it can be passed down to family members. During a three-day pre-registration period last week, approximately 330 accounts and about 12 billion KRW were raised.

The Gift Wrap invests with a long-term perspective by comprehensively evaluating fundamentals and corporate sustainability among the 'World's Most Admired Companies' selected by Fortune, a leading US economic magazine. Investment value and financial soundness, as well as social responsibility burdens, are major considerations, and ESG evaluation scores, a global hot topic, are key to the final portfolio selection.

The Gift Wrap plans to provide a comprehensive solution for customers who intend to gift financial products to support their family's future. It also includes various benefits necessary for gifting. Customers who subscribe are provided with gift tax filing service agency support, and fees are gradually reduced for long-term holdings to favor long-term investment. Additionally, the customer's requests are actively reflected in the management, offering the advantages of a wrap account.

Kwon Chang-jin, head of the wrap management team at Hana Financial Investment, explained, "Gifting is now essential and fundamental in asset management, but many people find it difficult. From the perspectives of time value and tax savings, gifting requires proactive response and continuous attention, which led to the launch of this product. Hana Financial Investment aims to become a pioneering securities firm that introduces an environment in the financial market where sustainability and ESG can be practiced directly and indirectly through financial products."

The Gift Wrap was launched in two types: 'Long-term Holding Type,' which buys and holds excellent companies long-term, and 'Asset Allocation Type,' which rebalances the portfolio according to market conditions. The minimum subscription amounts are 10 million KRW for the Long-term Holding Type and 20 million KRW for the Asset Allocation Type. The basic fees are 1.0% upfront and 1.2% annual trailing fees, with the trailing fees gradually decreasing over time. Upon renewal every five years, the trailing fee is reduced to a maximum of 0.5% for the Long-term Holding Type and up to 0.6% for the Asset Allocation Type.

The contract period is basically one year and will be automatically extended annually if not terminated at maturity. Early termination within one year is possible but requires payment of an early termination fee. This is a discretionary investment contract managed and operated per customer account, and past returns do not guarantee future returns; principal loss may occur depending on management results.

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