Hyundai Motor Securities Revises IRP Fees... "Enhancing Customer Returns"

[Asia Economy Reporter Ji-hwan Park] Hyundai Motor Securities announced on the 30th that it will completely revamp the fees for Individual Retirement Pension (IRP) accounts starting July 1.

Hyundai Motor Securities is the first among major IRP providers to introduce a performance-based fee system. At the same time, it will reduce fees for all offline IRP accounts to an industry-low level of 0.20~0.25%. The performance-based fee system means that if the customer's return rate does not reach the minimum fee rate of 0.20%, the fees will be fully waived. This demonstrates Hyundai Motor Securities' strong commitment to improving customer returns. Both existing and new offline IRP customers will have all management and asset management fees waived if their returns are 0.20% or less.

They will also open a completely fee-free non-face-to-face Direct IRP account. The Direct IRP is an online-only IRP account opened via mobile (non-face-to-face), where customers manage their assets directly and are exempt from management and asset management fees. New Direct IRP subscribers can have all management and asset management fees waived not only on subscriber contributions they make themselves for year-end tax deductions but also on employer contributions such as severance pay.

Hyundai Motor Securities expects that the implementation of the offline IRP performance-based fee system, fee reductions, and the opening of the fee-free Direct IRP will improve the actual returns of all pension accounts and increase customer satisfaction.

Ji-hong Kwon, Head of Retail Business at Hyundai Motor Securities, said, “For offline customers, we will take responsibility for increasing returns through professional consulting, and for Direct customers who manage their assets directly, we will waive fees to eliminate cost burdens. We will continue to provide optimal pension asset growth solutions for our customers' prosperous retirement and strive to improve returns.”

Customers wishing to subscribe to Hyundai Motor Securities Direct IRP can select Direct IRP (online-only) on the product selection screen when opening a mobile non-face-to-face account.