Korea Investment Holdings will inject 371.1 billion won ($269.85 million) into its US securities unit, marking the latest move in an aggressive overseas expansion that has yet to prove its worth in America’s crowded financial landscape.
The parent company’s main subsidiary, Korea Investment & Securities, nearly doubled earnings in 2024 with operating profit surging 93.3% to 1.28 trillion won ($890 million). The windfall has emboldened management to chase loftier ambitions, including a stated goal to dethrone Japan’s Nomura Securities as Asia’s leading brokerage.
According to regulatory filings Thursday, the capital increase will be executed through 270 common shares priced at 1.3746 billion won each. The funding targets Korea Investment & Securities US, which currently operates with $250 million of capital and focuses on acquisition financing and real estate investments.
CEO Kim Sung-hwan aims to boost overseas business from 15% of revenue to 30% by 2030, but the US market presents formidable challenges. Established Wall Street players dominate investment banking, while regulatory complexity and intense competition have derailed many foreign entrants’ American dreams.
The substantial cash injection reflects confidence in the firm’s US strategy, though skeptics question whether even deep pockets can crack America’s entrenched financial establishment.
