Lee Chanjin Urges CEOs to Strengthen Investor Protection
Emphasizes Qualitative Growth and Proactive Internal Controls
Lee Chanjin, Governor of the Financial Supervisory Service, held his first meeting with the financial investment industry since taking office and urged CEOs to strengthen investor protection and internal controls.
Lee Chanjin, Governor of the Financial Supervisory Service, is attending the "Financial Supervisory Service Governor-Insurance Company CEO Meeting" held at the Life Insurance Education and Culture Center in Jongno-gu, Seoul on September 1, 2025. Photo by Kang Jinhyung
At the Financial Investment Company CEO Meeting held at the Korea Financial Investment Association in Yeouido, Seoul on September 8, Lee stressed, "The financial investment industry must achieve qualitative growth beyond mere expansion," and emphasized, "It must take responsible action to enhance investor benefits."
The meeting was attended by Seo Yooseok, Chairman of the Korea Financial Investment Association, as well as CEOs from 26 securities and asset management companies. The meeting took place the day after the announcement of the Financial Supervisory Service's organizational restructuring plan. The government and the ruling party announced the previous day that they would establish a new Financial Consumer Protection Agency by separating the Financial Consumer Protection Bureau from the Financial Supervisory Service and designating both as public institutions.
Lee emphasized that strong commitment and action from CEOs are essential to prioritize investor protection. He stated, "Failure to protect investors results in significant social costs, including financial losses, fines and other legal liabilities, reputational risks, and loss of market trust," adding, "CEOs must lead a proactive culture of investor protection throughout the entire process of product design, sales, and management."
He also called on the financial investment industry to play an active role in eradicating unfair trading practices. Lee said, "Since the capital market grows based on trust, unfair trading practices such as price manipulation, fraudulent transactions, and illegal investment advisory chat rooms must be eliminated," and made it clear, "The Financial Supervisory Service will respond firmly with a zero-tolerance policy." He added, "The industry must faithfully fulfill its role as whistleblowers."
Enhancing trust in the retirement pension market was also presented as a key task. He said, "Please promote subscriber-centered work innovation to achieve stable long-term returns," and explained, "The Financial Supervisory Service will also support the industry by gradually expanding the investment limits for risky assets and providing tax benefits."
In addition, Lee called for the financial investment industry to expand its core role of supplying venture capital. He stressed, "Supplying venture capital is the very reason for the existence of financial investment companies and their fundamental duty," and added, "For the growth of our economy, the financial investment industry must serve as a key platform for productive finance."
He also requested that financial investment companies play a role in advancing the capital market. Lee said, "Financial investment companies should lead improvements in corporate governance and shareholder return policies, while asset management companies must fulfill their fiduciary duties by implementing the stewardship code."
Finally, Lee stated that he would strengthen communication with the market and the industry to ensure that supervisory administration remains closely connected to the field. He emphasized, "As the person responsible for fostering the capital market, I will actively promote investments in KOSPI index exchange-traded funds (ETFs) and startups," and added, "As a manager of a productive capital market, I will faithfully carry out my duties."
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