AlphaBIZ - Securities firms′ net profit was cut in half due to the sluggish stock market and higher interest rates, but their executive salaries rose 54%, up to 5.5 billion won

This article is translated by AI company Flitto and Alhpa Biz neural machine translation technology

사진= 연합뉴스

 

[Alpha Biz=(Chicago) Reporter Paul Lee] Last year, securities firms' net profits were cut in half due to the sluggish stock market and interest rate hikes, but the total remuneration of executives, including their chairmen and representatives, increased 54% year-on-year. Among the executives of major securities companies in Korea, Jung Il-moon, CEO of Korea Investment & Securities, received the highest salary.

According to a business report by local securities firms on the 26th, the total remuneration of chairmen and representatives of 28 major securities firms rose 22.5766 billion won, or 54 percent, from 41.5697 billion won in 2021 to 64.08357 billion won in 2022.

CEO Jung Il-moon received a total of 5,518,260,000 won last year. Mirae Asset Securities Chairman Choi Hyun-man received 5.113 billion won, Daishin Securities Vice Chairman Yang Hong-seok 3.993 billion won, Meritz Securities Chairman Choi Hee-moon 3.7194 billion won and Daishin Securities Chairman Lee Eo-ryong 3.633 billion won, the report showed. It was followed by Korea Investment & Securities Chairman Kim Nam-gu (KRW 3.5497 billion) and NH Investment & Securities CEO Chung Young-chae (KRW 2.475 billion).

Kyobo Securities saw its net profit drop by nearly 100 billion won from 143.3 billion won in 2021 to 43.3 billion won in 2022, but the total amount of remuneration for CEO Park Bong-kwon and CEO Lee Seok-ki increased on the contrary. In particular, Lee's total remuneration has doubled from 592 million won in 2021 to 1.12359 billion won in 2022.

Last year, the securities industry had a tough year as stock trading declined due to interest rate hikes and falling stock prices. According to the Financial Supervisory Service, the net profit of 58 securities firms stood at KRW 4.5131 trillion, down 50.3% from a record high of KRW 9.896 trillion in 2021. 

 

Cash dividends at major securities firms have also shrunk. Hanwha Investment & Securities, which allocated 43.8 billion won in 2021, decided not to pay any dividends last year, with Eugene Investment & Securities reducing the amount of dividends from 13.1 billion won in 2021 to 5.5 billion won last year.

 

 

AlphaBIZ 폴리(hoondork1977@alphabiz.co.kr)