Could South Korean Brokerage Firms Achieve Record Earnings in 2025 Amid Market Surge?
Synopsis
Key Takeaways
Seoul, Feb 15 (NationPress) The leading brokerage firms in South Korea achieved remarkable earnings last year, fueled by a robust bull market in the local stock exchanges, according to industry reports released on Sunday.
The total net profit for the country's 27 securities firms is projected to reach 10.23 trillion won (approximately US$7.03 billion) in 2025, a significant increase from 6.97 trillion won the previous year, as reported by Yonhap news agency.
Korea Investment & Securities Co. recorded the highest net income of 2.01 trillion won, reflecting a 79 percent increase from the prior year, followed closely by Mirae Asset Securities Co. with a net profit of 1.59 trillion won.
Kiwoom Investment & Securities Co. reported a net profit of 1.12 trillion won, while NH Investment & Securities Co. and Samsung Securities Co. posted net profits of 1.03 trillion won and 1.01 trillion won, respectively.
Their impressive results were partially attributed to increased commission fees from heightened trading activity among retail investors.
The local stock market's average daily turnover reached 16.9 trillion won in 2025, representing a remarkable 57 percent increase from the previous year, according to the data.
Experts predict that brokerage firms will continue to see growth in their profits as daily turnover is anticipated to rise further.
Analysts suggest that daily turnover could soar to 45 trillion won this year, given the upward momentum of the stock market.
Last year, the key stock index, the Korea Composite Stock Price Index (KOSPI), skyrocketed over 75 percent and has gained around 30 percent so far this year.
In January alone, the average daily turnover reached 62 trillion won, according to the data.
Meanwhile, South Korea's primary stock exchange operator announced that its value-up index reached a historic peak at the end of last month.
The Korea Exchange's (KRX) value-up index stood at 2,330.7 as of the end of January, reflecting a 134.9 percent increase since its launch on September 30, 2024. This outstripped the broader benchmark KOSPI, which rose 101.5 percent during the same period, the bourse operator noted in a press release.
The value-up index consists of 100 companies that exhibit strong performance across various qualitative metrics, including profitability and shareholder returns.