Mirae Asset decides not to enter Internet-only bank biz

Mirae Asset Securities Co., one of South Korea's largest brokerages, said Sunday that it has decided not to enter the Internet-only bank business, to better concentrate on its core areas.

A corporate source said that the firm, which had set up a task force and actively considered branching out into the new sector, decided against taking such a step, so it can better enhance its competitiveness as an investment firm.

Internet-only bank operations range from deposits, lending and cards to foreign exchange transactions. The government said their financial soundness would be regulated in the same way as that of other commercial lenders.

"In the future, Mirae Asset plans to use its global network to make forays into the pension business and other asset management operations that can allow it to develop a leading and independent business platform," said an insider, who did not wish to be identified.

Local financial regulators said earlier in the year that they plan to screen potential firms that want to enter the field in the second half of this year, with domestic operations to start in the first half of 2016.

At present, Korea Investment Holdings and Daum Kakao have joined forces to create an Internet-only bank, with Kiwoom Securities, eBest Investment Securities Co. and NH Investment and Securities Co. all expressing interest. (Yonhap)