High Funding Surpasses 300 Billion Won in Outstanding Loans

- 50% Growth in Just Four Months After Surpassing 200 Billion Won in May
- Driven by Bullish Stock Market, 8% Annual Returns, and Flawless RMS Stability

High Funding, the leading online investment-linked finance (on-to-up) platform in Korea, announced that its outstanding loan balance has surpassed 300 billion won, fueled by the bullish stock market. This represents a 50% growth in just four months since it exceeded 200 billion won at the end of May. The surge is attributed to the rising Korean stock market, a stable annual return rate of around 8%, and sophisticated risk management based on collaboration with the nation’s top RMS provider, SNC Systems. Thanks to this growth, the company expects to post its first annual profit this year, just three years after its founding.

High Funding’s stock loan product is differentiated from traditional securities firm margin loans by using the entire account’s assets as collateral, rather than individual stocks. This presents a new model for stock purchase financing.

On-to-up stock loans directly connect funds from individuals and corporations to stock investors (borrowers), and the interest paid by borrowers is passed on in full to the investors who lend the money. In other words, it is a “win-win” platform where both borrowers and investors share the profits. High Funding adopts a transparent revenue model by charging both borrowers and investors a platform usage fee of approximately 0.5% per year, providing predictable returns for investors and efficient leverage opportunities for borrowers.

High Funding’s stock loan product has played a positive role in supplying liquidity during market upswings, thereby supporting rising stock prices. The company has not recorded a single delinquency or investor loss throughout its cumulative operation of 800 billion won. This is the result of proactive risk prevention by the RMS, made possible by a dedicated research team specializing in identifying risky stocks and continuous monitoring.

Compared to the overall market size, there is still significant growth potential for stock loans. According to the Korea Financial Investment Association, while the balance of securities firm margin loans increased by about 4 trillion won over the past three quarters, the increase in stock loans during the same period was less than 200 billion won, indicating a relatively small share. Industry experts note, “Although still minor compared to securities firm margin loans, on-to-up stock loans could emerge as a new growth engine as demand for leverage increases.”

Meanwhile, High Funding is running a referral event to expand its investor base. Both referrers and referees can receive Baedal Minjok gift certificates and Korean Air gift certificates worth up to 500,000 won. The event runs until the end of October and participation is available through the High Funding website.