Shinhan Investment Corp, IRP Total Cost Burden Rate 0.24%... Lowest in Securities Industry

[Asia Economy Reporter Lee Jung-yoon] Shinhan Investment Corp. announced on the 9th that it achieved the lowest total expense ratio in the securities industry for IRP (Individual Retirement Pension) as of the end of last year.

The total expense ratio refers to the proportion of account management fees, fund fees, etc., within the retirement pension reserves, representing the actual cost burden borne by customers when managing their retirement pensions. Having the lowest total expense ratio means that the company is reducing the operational cost burden for its customers. Shinhan Investment Corp.'s IRP total expense ratio at the end of last year was 0.24%, which is only half of the securities industry average of 0.48%.

Shinhan Investment Corp. has continuously lowered fees to enhance the value of customers' retirement assets. Due to these efforts, Shinhan Investment Corp. was selected as an excellent fee-efficiency operator for three consecutive years in the retirement pension operator evaluation hosted by the Ministry of Employment and Labor, and was named a comprehensive excellent operator last year.

Although the total expense ratio is at the lowest level, the company aims for the highest level of customer-centered service. A total of 211 "Pension Pioneers," pension consulting experts, have been deployed across 75 branches nationwide to provide specialized advisory services. Pension Pioneers are matched one-on-one with customers to offer personalized retirement fund management services, including product management and tax consulting.

To enhance convenience for non-face-to-face customers, the retirement pension mobile channel was completely revamped in December last year, introducing various content such as the "Taste-targeted BEST ETF Service," which recommends customized Exchange-Traded Funds (ETFs) based on customers' transaction patterns, and a top purchase product recommendation service that informs customers of funds and ETFs most purchased by top 10% earners, high-net-worth individuals, and by age group.

Additionally, when opening an account through Shinhan Investment Corp.'s mobile application Shinhan Alpha, account management fees are completely waived, leading efforts to improve customers' actual returns. As a result, Shinhan Investment Corp.'s IRP reserves increased by 48% last year compared to 2021, ranking first in growth rate among major retirement pension operators in the securities industry.

Meanwhile, from this year, the tax credit limit for pension accounts has been expanded from 7 million KRW to 9 million KRW. Also, with the full implementation of the retirement pension default option, interest in pensions is expected to grow more than ever. Park Sung-jin, Head of the Pension Business Division at Shinhan Investment Corp., stated, "We will always prioritize customer-centric values in providing pension and retirement planning services," adding, "We will continue to lead in adapting to institutional changes and enhancing customer convenience this year as well."

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