Mirae Asset Securities Surpasses 4 Trillion KRW in ISA Balances

Mirae Asset Securities announced on the 7th that the balance of Individual Savings Accounts (ISA) exceeded 4 trillion KRW as of the 6th.

This marks an increase of 500 billion KRW in about two months since surpassing 3.5 trillion KRW at the end of October last year, breaking the 4 trillion KRW mark.

ISA is a product that allows investment in various financial products such as stocks, Exchange-Traded Funds (ETF), bonds, and deposits within a single account while receiving tax benefits. Dividend income, interest income, and gains and losses from domestic listed stocks are combined, and up to 2 million KRW (up to 4 million KRW for the basic type for low-income earners) are tax-exempt under the general type. Amounts exceeding this are subject to a separate tax rate of 9.9%.

Since the introduction of the brokerage-type ISA, which can only be subscribed to through securities firms in 2021, investment in domestic stocks and bonds has become possible, greatly enhancing investment attractiveness. Additionally, customer demand for domestic listed overseas ETFs, which are classified as dividend and interest income, has contributed to a sharp increase in subscription amounts and the number of subscribers.

In fact, an analysis of products invested in through Mirae Asset Securities' brokerage-type ISA accounts shows that ETFs and Exchange-Traded Notes (ETN) make up 52%, domestic stocks 29%, and bonds and funds 5%, reflecting customers' investment demands well. Furthermore, based on recent strong overseas market performance, the balance of domestic listed overseas ETFs accounts for the largest portion at 1.64 trillion KRW.

Mirae Asset Securities provides various mobile services for customer investment convenience. Changing ISA types is simple, from the 'brokerage-type' that allows direct investment in stocks and bonds to the 'trust-type' that allows deposit subscriptions. They also offer diverse content such as 'Financial Products to Watch This Week' and 'Investment Ideas Through News,' updated weekly, providing investment information that has received great responses from customers.

If an ISA account is held for more than three years, additional tax credit benefits of up to 10% (maximum 3 million KRW) of the converted amount can be received when converting to a pension. In fact, the ISA maturity funds converted to Mirae Asset Securities pensions in 2024 amounted to 299.2 billion KRW, more than 11 times the previous year. This indicates that many investors use ISA not only for its tax-exempt benefits but also because pension conversion allows for year-end tax credits.

A representative from Mirae Asset Securities stated, "To maximize tax benefits through ISA, an investment plan linked with pensions is necessary," adding, "We will devote ourselves to providing high-quality services to maximize customer returns."

Currently, Mirae Asset Securities offers a lifetime preferential online trading commission rate for domestic listed stocks (only 0.0036396% borne by customers) when opening an account non-face-to-face. They are also running an event until March 31, 2025, where customers who make net deposits of 5 million KRW or more into brokerage-type ISA or net purchases of 3 million KRW or more in financial products such as over-the-counter bonds, funds, and Equity-Linked Securities (ELS) will receive investment support funds of up to 280,000 KRW.