Mirae Asset Securities Surpasses 24 Trillion KRW in Pension Assets by Year-End

Individual Pension Explodes with 5.6 Trillion KRW Increase
Approximately 33% Growth from 18 Trillion KRW at Start of Last Year
Leading 'Investing Pension' Culture through Global Asset Allocation for Higher Returns

[Asia Economy Reporter Song Hwajeong] Mirae Asset Securities announced on the 5th that its pension assets surpassed 24 trillion KRW as of the end of 2021.

In 2021, Mirae Asset Securities' pension reserves increased by more than 6 trillion KRW, reaching 17 trillion KRW in retirement pensions and 7.4 trillion KRW in personal pensions. This represents an approximately 33% increase compared to the 18 trillion KRW reserves at the beginning of the year, with more than 4 trillion KRW added in just eight months after becoming the first in the securities industry to exceed 20 trillion KRW in pension assets in April last year.

The outstanding pension performance of Mirae Asset Securities is analyzed to have been decisively contributed by the explosive growth of individual pensions (DC, IRP, personal pensions). Defined Contribution (DC) retirement pensions increased by about 1.7 trillion KRW to 6.1 trillion KRW, and individual retirement pensions (IRP) grew by more than 1.8 trillion KRW to reach 4.4 trillion KRW. Personal pensions also increased by about 2.1 trillion KRW, showing a reserve scale of 7.4 trillion KRW.

Looking only at DC and IRP, Mirae Asset Securities accounted for about 20% of the total reserve increase among all 43 retirement pension providers, showing the largest growth rate, surpassing major banks and insurance companies.

Additionally, Mirae Asset Securities is recognized for leading the money movement in the pension market last year by establishing "investing pensions" as a new culture. It played a pivotal role in shifting the paradigm so that pension assets, which had long been mainly focused on safe assets, could expand to investment assets such as Exchange-Traded Funds (ETFs), Target Date Funds (TDFs), and REITs. In fact, about 40,000 customers from banks and insurance companies transferred their personal pension and IRP accounts to Mirae Asset Securities over the past year.

The core competitiveness of Mirae Asset Securities' pension division lies in excellent returns through global asset allocation. By quickly securing market trends and investment information in regions such as the U.S., Europe, and Asia through local subsidiaries, it supports stable pension asset management by finding diverse global investment opportunities and proposing optimal portfolios tailored to different investment preferences. Furthermore, it strives to improve long-term pension asset performance through active rebalancing of underperforming products while discovering high-performing products.

As a result, as of the third quarter of 2021, the one-year disclosed yield was 8.12% annually for DC and 7.55% annually for IRP, ranking first among the top 10 major retirement pension providers by reserves. It achieved excellent performance by ranking first in DC and IRP for six consecutive quarters.

Choi Jongjin, Head of the Pension Division at Mirae Asset Securities, emphasized, “It is important to diversify investments in differentiated global quality products and systematically manage risks while increasing long-term returns through regular portfolio changes in pensions.” He added, “The core of future investments will be global innovative growth ETFs and funds.”

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