[Super Rich Targeted] Silent War to Catch Ultra-Wealthy, Went to Wonbailey (Report)

"Banpo Attracting Asset Owners, An Unlosable Market"
Providing Services for Ultra-High Net Worth Individuals Including Art Auction Seminars
Retirement Planning, Real Estate, Inheritance, and Gifts All Solved in One Place

The scene of the shopping area at Banpo Raemian One Bailey in Seocho-gu, Seoul, where major securities firms are concentrated, on the afternoon of the 3rd.
[Photo by Lee Seung-hyung]

"Banpo, the place where the wealthiest of the wealthy live… 'Gangnam within Gangnam'"

On the afternoon of the 3rd, I visited the commercial complex of Raemian One Bailey in Banpo-dong, Seocho-gu, Seoul. This place houses branches of major domestic securities firms all in one location. This is because the Banpo-dong area has recently solidified its position as the top affluent neighborhood in the country. Raemian One Bailey (2,990 households), Raemian Prestige (2,444 households), Acro River Park (1,612 households), and Banpo Central Xi (757 households), located near Sinbanpo Station on Line 9 and Express Bus Terminal Station, have housing prices around 100 million KRW per pyeong (3.3 square meters). Additionally, Raemian One Pentas (641 households), Banpo DH Class T (5,002 households), and Raemian Trini One (2,091 households) are scheduled for future sales, leading the industry to expect that wealthy individuals will continue to gather in Banpo.

Mirae Asset Securities is conducting an investment seminar for high-net-worth individuals at the Banpo WM Investment Center.
[Photo by Mirae Asset Securities]

The commercial complex of Raemian One Bailey, which began occupancy last August, hosts six asset management (WM) specialized centers targeting ultra-high-net-worth clients from securities firms. On the 1st and 4th floors are Mirae Asset Securities, on the 2nd floor NH Investment & Securities and Samsung Securities, on the 3rd floor KB Securities, and on the 5th floor Yuanta Securities and Korea Investment & Securities.

Upon entering the Mirae Asset Securities Investment Center Banpo WM on the 1st floor, I noticed clients conversing with dedicated private bankers (PBs) during the afternoon hours. The 4th floor houses seminar rooms and consultation rooms for VIP clients. The Mirae Asset Securities Investment Center Banpo WM, occupying both the 1st and 4th floors, is led by Center Director Lee Sung-woo. He has 30 years of experience across HR, audit, and mergers & acquisitions (M&A) departments and currently handles asset management, corporate fund operations, and retirement planning. Additionally, he collaborates with in-house experts across various fields to provide one-stop comprehensive asset management consulting covering overseas stocks, pensions, real estate, taxation, and legal matters.

NH Investment & Securities Banpo Branch located on the 2nd floor of the Banpo Raemian One Bailey shopping mall in Seocho-gu, Seoul.
[Photo by Seunghyung Lee]

NH Investment & Securities, located on the 2nd floor, opened its 'Banpo Branch' here last May. As a powerhouse in corporate finance, NH Investment & Securities leverages the area's characteristics, which include many ultra-high-net-worth individuals and entrepreneurs, to offer competitive corporate finance deal consulting, asset succession, global concierge, and family office solutions.

On the same floor as NH Investment & Securities, Samsung Securities Banpo WM branch is headed by Branch Manager Jo Wan-je, who has experience as head of the headquarters investment consulting department, branch manager of Samsung Town Financial Center Corporate Branch, and Samsung-dong WM branch. Known as a 'traditional powerhouse in asset management,' Samsung Securities has led the super-rich asset management market, including family offices, through its industry-first dedicated ultra-high-net-worth brand 'SNI (Success & Investment).'

VIP lounge exclusively for KB Gold & Wise The First Banpo Center. On one side, a barista is stationed, preparing beverages.
[Photo by Seunghyung Lee]

The KB Gold & Wise The First Banpo Center on the 3rd floor features luxurious interior design, a VIP-only lounge, and art pieces displayed throughout. Director Hong Eun-mi leads the center. Director Hong is an asset management expert who has received awards such as the KB Securities Excellence Award and the Gold Prize in the individual (PB) category. What differentiates KB Gold & Wise The First Banpo Financial Center from competitors is that it operates as a combined bank and securities branch. It plans to lead the asset management market in the Banpo area through integrated services leveraging the capabilities of financial affiliates within the KB Group.

Inside the Banpo PB Center of Korea Investment & Securities. A customer is receiving a consultation.
[Photo by Lee Seunghyung]

The Korea Investment & Securities Banpo PB Center on the 5th floor was bustling with many clients. The center is led by Director Lee Hye-jung, who has 20 years of experience. She is highly regarded for her market analysis and expertise in real estate and taxation, having worked at key branches such as Korea Investment & Securities Songpa PB Center and Jamsil PB Center.

Yuanta Securities GWM Banpo Center, competing on the same floor, is led by Director Yoon Hyang-mi. With 30 years of experience, Director Yoon and the senior PBs under her are seasoned veterans in asset management.

A PB from one of the securities firms I met at the One Bailey commercial complex said, "Not only the existing wealthy over their 70s but also emerging super-rich in their 20s and 30s are gathering in Banpo. Considering potential clients in nearby areas, this is a region securities firms cannot afford to miss." He added, "Competition among securities firms to attract ultra-high-net-worth clients is fierce. Since competing branches are located in the same building, everyone works in a constant state of tension to avoid falling behind even slightly."

Another securities firm official said, "Because six securities firms are located in one place, clients can visit One Bailey alone and compare which firm is more competitive." He continued, "Usually, when a client is acquired, they recommend acquaintances as well. Even attracting a small number of ultra-high-net-worth clients can significantly contribute to performance."

Each Firm Emphasizes Differentiated Competitiveness... "Mobilizing Affiliate Capabilities to Meet Super-Rich Needs"

The securities firms concentrated in Banpo One Bailey are strengthening their WM capabilities by highlighting their unique strengths. In particular, they are focusing all efforts on client acquisition by presenting portfolios that include tax saving, inheritance and gifting?key concerns of the ultra-wealthy?as well as various investment products, corporate finance linkage, and alternative investments.

Mirae Asset Securities Investment Center Banpo WM, located on the 4th floor of the Banpo Raemian One Bailey shopping mall in Seocho-gu, Seoul.
Photo by Lee Seung-hyung

Most securities firm officials agreed that retirement pensions are an important market because of their large absolute scale even in ultra-high-net-worth asset management. Oh Jeong-taek, Director of Mirae Asset Securities Investment Center Banpo WM, said, "Asset management professional PBs who have worked for years in Gangnam and Seocho areas have gathered here. Since the client base is diverse?from emerging wealthy in their 20s and 30s to ultra-high-net-worth individuals in their 80s owning multiple real estate properties?we have additionally assigned experts in asset management, corporate asset management, business succession, taxation, and real estate." He emphasized, "One of the significant tasks is retirement planning consulting, including the operation and withdrawal of retirement pensions." He added, "Most high-net-worth clients are focused on their businesses and find it difficult to allocate time for retirement planning. Today, I had an intensive consultation on retirement pensions, tax saving, and gifting with a corporate vice president client who visited the branch."

Director Oh also mentioned that tax-saving specialized products are attracting the interest of ultra-high-net-worth individuals. He said, "Last month, there was strong interest in government bonds for individual investors sold exclusively by Mirae Asset Securities. This is likely because the product is highly stable, offers fixed returns, and is advantageous for tax saving."

KB Gold & Wise The First Banpo Center is conducting an art seminar for ultra-high-net-worth clients.
[Photo by KB Financial Group]

Director Hong also said, "The biggest concern for super-rich clients is tax saving. Since KB Gold & Wise The First Banpo Center operates as a combined securities and bank branch, it can offer clients the most advantageous products from a tax-saving perspective."

Director Hong emphasized the importance of providing differentiated services for high-net-worth clients. He said, "We always prepare consulting and seminars tailored to client needs. For clients interested in art, we hold art seminars with art auctioneers, and for the children of the young wealthy, we offer consulting on studying abroad and college admissions?seminars that are difficult to find elsewhere. Experts for tax and legal consultations related to gifting and inheritance are gathered in one place. Ultimately, we aim to strengthen the family office."

Meanwhile, the portfolios of wealthy individuals seem to be undergoing recent rebalancing. The director said, "With the ongoing high-interest-rate environment, risky assets like stocks continue to rise. Asset owners are gradually reducing their holdings in AI-related stocks, which have recorded high returns since the beginning of the year, and increasing their allocations to growth stocks such as healthcare or undervalued sectors like finance in preparation for the upcoming interest rate decline." He added, "Since a mild correction is possible in the near term, some assets are being liquidated."

Regarding the current hot topic of financial investment income tax (financial investment tax), the director advised, "Rather than making hasty judgments, it is better to monitor the progress and respond swiftly." He added, "Asset owners are interested in the financial investment tax because of tax saving. In the same context, super-rich clients are also showing interest in Brazilian government bonds, which are tax-exempt."