Financial firm chiefs stress coexistence, innovations on dawn of new year

The heads of Korea’s financial holding firms on Tuesday vowed to reinforce coexistence with society and push ahead with bold innovations in a joint New Year’s address, noting growing wealth inequality and a rapidly changing consumer market.

KB Financial Group Chairman Yang Jong-hee [NEWS1]

The heads of Korea’s financial holding firms vowed to reinforce coexistence with society and push ahead with bold innovations in New Year’s addresses on Tuesday.

KB Financial Group Chairman Yang Jong-hee said KB will shift their corporate paradigm from cutthroat competition to coexistence amid growing wealth inequality.

“Scope of customers need to be expanded to citizens and the entire society,” Yang said in a statement. “Traditional categorization of customers is becoming meaningless due to structural change of population caused by low birth rate and the aging [society].”

“The responsibility and the role of finance are growing more important as vulnerable social groups expand from wealth polarization," he added.

Shinhan Financial Group Chairman Jin Ok-dong [YONHAP]

Shinhan Financial Group Chairman Jin Ok-dong ordered executives across Shinhan affiliates to establish a new standard for environmental, social and governance (ESG), digitization and globalization.

“Consumer trends for the market, technology and finance are rapidly changing by the minute,” Jin said. “The future cannot be guaranteed if [we] insist on the existing success measures.”

“It is time to make fundamental innovations and jump in on challenges,” Jin said, while vowing to coexist with society.

Hana Financial Group Chairman Ham Young-joo [NEWS1]

Hana Financial Group Chairman Ham Young-joo stressed cooperation across Hana affiliates — and even rivals — amid a rapidly changing market.

“Cooperation is no longer an option but a must,” Ham said, noting the abrupt fall of Silicon Valley Bank, once the 16th largest bank by assets in the United States, in March 2023, and the takeover of Credit Suisse by fellow investment bank UBS.

Woori Financial Group Chairman Yim Jong-yong [YONHAP]

Woori Financial Group Chairman Yim Jong-yong stressed the importance of making feasible achievements this year while noting last year's weaker-than-expected earnings.

Yim vowed to size up the capacity of the group in preparation for its entrance into the brokerage service, and to expand its non-banking portfolio. Unlike other major financial holding firms, including KB, Shinhan and Hana, Woori does not operate a brokerage firm, a reason for its heavy reliance on banking.

Yim has stressed the need for a brokerage affiliate in the group portfolio since his term began last year.

Woori will also strengthen synergy among its affiliates in pursuit of new business opportunities. It plans to strengthen its competitiveness in IT and digitization by preemptively responding to new technologies such as generative AI and a central bank digital currency, he added.

BY JIN MIN-JI [jin.minji@joongang.co.kr]