SEOUL — South Korea’s brokerage industry is locked in an intense battle to secure customers as the total number of Individual Comprehensive Account (ISA) subscribers has officially surpassed the 10-million milestone. With nearly 9 out of 10 subscribers opting for the brokerage-type ISA—which allows direct trading of stocks and exchange-traded funds (ETFs)—securities firms are rolling out aggressive, multifaceted "lock-in" strategies featuring high-yield repurchase agreements (RPs), asset manager partnerships, and exclusive rewards.

According to the financial investment industry, major brokerage houses are leveraging practical perks to attract funds shifting away from banks, combining tax-saving incentives with high-return short-term products.

High-Yield RPs and Collaborative ETF Promos Take Center Stage

Kiwoom Securities has teamed up with nine major domestic asset management firms, including Mirae Asset, Samsung, Shinhan, and KB, to host a joint promotion through December 30. Investors who net-purchase designated ETFs in their brokerage ISA accounts are eligible for up to 270,000 won in mobile gift certificates on a first-come, first-served basis. Furthermore, new customers who net-purchase 300,000 won or more of targeted ETFs can receive up to nine additional coffee gift coupons per asset manager.

Daishin Securities launched a special 60-day RP offering a pre-tax annual yield of 7.0% for its brokerage ISA customers. The firm significantly bolstered the incentive by quadrupling the individual purchase limit from 5 million won to 20 million won. In addition, Daishin is offering up to 1 million won to customers transferring their ISA assets from other financial institutions, alongside up to 30,000 won in domestic stock trading support funds.

Korea Investment & Securities is targeting its online-exclusive "Bankis" brokerage ISA clients with unique experiential marketing, including a lucky draw to win an authentic Korean Moon Jar artwork. The firm also offers 10,000 won upon opening a new account and depositing 100,000 won or more, with rewards scaling up to 1 million won based on net deposits. To capture stable capital, Korea Investment is also selling a 50-day special RP with a pre-tax annual yield of 5%.

Diversified Strategies and Digital Wealth Management

Shinhan Securities has also tapped into the demand for secure fixed-income assets, running three consecutive batches of special RP offerings totaling 30 billion won, all of which sold out early within 10 business days.

Beyond financial perks, firms are elevating their digital wealth management services. Woori Investment & Securities recently hosted a live webinar for premium clients focused on tax-saving strategies combining ISA accounts with pension savings and Individual Retirement Pensions (IRP), aligning with recent tax code revisions. Other prominent players, including KB Securities, Hanwha Investment & Securities, and Samsung Securities, are similarly offering cash rewards and gift certificates to attract net deposits and asset transfers from competitors.

An industry insider noted, "Amid the ongoing boom in direct retail investing, a clear capital migration from commercial banks to securities firms is underway. As investors increasingly seek both tax benefits and high returns, competition among brokerages to capture and retain these customers is expected to intensify further."

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