Korea Investment & Securities, Subscription Event for Separate Taxation High-Yield Fund

Korea Investment & Securities, a subsidiary of Korea Financial Group, announced on the 19th that it will hold a new subscription event for separated taxation high-yield funds targeting Bankis customers.

Customers who newly subscribe to separated taxation high-yield funds with more than 1 million KRW by September 27 will receive gift certificates up to 100,000 KRW depending on the amount. Benefits for subscribing to designated asset management company funds will also be provided. If customers subscribe to funds from Korea Investment Management, Mirae Asset Global Investments, or KB Asset Management with more than 1 million KRW, they can receive additional gift certificates up to 50,000 KRW per asset management company, regardless of the fund type, totaling up to 150,000 KRW.

Since the enforcement of the amendment to the Restriction of Special Taxation Act on the 12th, separated taxation benefits have been applied to high-yield funds. High-yield funds are products that invest more than 45% in bonds rated BBB+ or below. For those subject to comprehensive financial income taxation, if they subscribe to high-yield funds by the end of next year, interest income and dividend income generated for three years from the subscription date will not be included in comprehensive income up to 30 million KRW per person, and will be subject to separated taxation at the withholding tax rate (including local tax) of 15.4%. Currently, there are a total of 9 high-yield funds available for subscription at Korea Investment & Securities.

Kim Seong-hwan, Head of the Individual Customer Group, said, "As investor interest in financial products with tax-saving effects is high, we plan to prepare and offer more diverse separated taxation high-yield fund products and related events in the future."