Stable Life After Retirement

Daewoo Securities has pension consultants in its branches nationwide to advise retirees on their investments

Daewoo Securities Co. introduced the Golden Age Portfolio, a financial product that can ensure a comfortable life after retirement by investing in financial products that generate long-term income. The product is tailor-made for retirees looking for the right financial products that will ensure long-term, stable income, paying monthly profits, and at the same time increasing their funds. The company said an investor who put 500 million won in the fund would get 1.5 million won in monthly income from the investment and at the end of 10 years the investment would total 700 million won.
If 1 billion won were invested in the product, the monthly income would be 3 million won and the fund would grow to 1.4 billion won after 10 years, the company said.
The fund will be invested in both stocks and bonds to secure both monthly regular income and growth of the invested funds. The way the company operates, 30 percent of the fund would be invested in securities and 70 percent in bonds to ensure the monthly income during the tenure of the investment.
The Macquarie Infra Listed Beneficiary Certificate is among the portfolio. The certificate specializes in investments in infrastructure such as highways, harbors and other vital social overhead capital facilities.
Inflation-related bonds and real estate bonds, which are also part of the product, guarantee monthly income and growth. The inflation-related bonds pay 2.7 percent of face-value interest every six months and increase the invested fund as much as the inflation rate so that the fund would be able to maintain its initial value.
The interest payment can be used to supplement living expenses, while the increase in the invested fund would maintain the value of the fund versus inflation. The bonds related to real estate work the same way, as it pays a guaranteed interest rate of 3.5 percent per annum while the rise in real estate value will also make the invested fund bigger.
The standard allocation of investments by Daewoo Securities consists of 20 percent in inflation-related bonds, 15 percent in fixed interest rate-type retirement insurance and 10 percent in other areas. But the investment allocation has not always been the same, varying depending on investor preferences, especially in bonds and stocks. Sometimes, more funds go to securities than to bonds if it is the investor’s preference.
President Lim Ki-young said the company operates customer consultant teams made up of experts on not only investments but also on tax matters in order to provide the best consultation services to investors, especially to very conservative ones.
The company has been strengthening its services to those who are about to retire from their jobs. The company has a PC ― Pension Consultant ― at every one of its nationwide branches to assist those who are about to retire to fund their golden years. They provide tailor-made retirement plans to help those who are about to retire and they continue to provide advice to them even after they have chosen the pension investment products through the Golden Age Portfolio.
“Alimi Service” is the representative service the pension consultants can show their clients as an example of how the return on their investments reached the targeted levels and losses fell to the minimum levels they set before investing.
The retirement funds must be managed safely, first of all, and the pension consultants must inform investors if the gains or losses reach the targeted levels.
For 40 years of Korea’s financial history, Daewoo Securities have led the Korean securities market, creating maximum value for customer satisfaction and shareholder profit. Now, the company is taking another leap towards a greater future. Expanding its role from a leader in the securities industry to become a pioneer in financial services and a world-class leading securities firm, advancing the development of Korea’s capital market, the company is poised to start a new era of financial service.
Based on its cutting-edge competitiveness recognized by the financial service industry, Daewoo Securities will create and lead a market where the highest profits are made through trust and principle. A company that attracts customers, a company that sets new standards in financial services, a company that paves the way for development in the Korean financial industry, that is Daewoo Securities. The company will spread its wings to deliver greater satisfaction to its customers and shareholders. nw

President Im Kee-young of Daewoo Securities Co.