The election for the head of the Korea Financial Investment Association has been confirmed as a three-way race. The next chair is expected to be chosen through a general meeting in mid next month, and controversy over election fairness is growing as current Chair Seo Yu-seok makes the first-ever bid for a consecutive term.
On the 19th, the nomination committee for the next chair of the Korea Financial Investment Association closed document submissions at 10 a.m.. It was confirmed that only three people—current Chair Seo Yu-seok of the association, Hwang Sung-yeop, CEO of Shinyoung Securities, and former KB Asset Management CEO Lee Hyun-seung—submitted applications, after previously expressing their intent to run.
Former NH Investment & Securities CEO Jung Young-chae, who deliberated until the last minute, said "I did not submit an application," confirming the three-way race. The next chair will be decided by member-company voting at a general meeting expected on the 15th to 19th of next month.
The biggest issue in this election is Chair Seo Yu-seok's bid for another term. In the past, during the Securities Dealers Association era, Chair Hwang Geon-ho served consecutive terms for eight years, but there has been no precedent since the current association was launched in 2009.
Because this is the first case of an incumbent chair directly entering the election, controversy over fairness is brewing. In particular, Seo is said to have an exact grasp of each member's voting rights (based on fee contribution ratios), while other candidates cannot know this, prompting criticism of an "unfair election."
In the association's chair election, voting rights are weighted according to fee contribution, and Mirae Asset Group and Korea Investment Holdings are expected to cast the most votes.
An industry official said, "Other candidates have to fight a blind election because they do not know how member companies' voting rights are distributed, but Seo, as the incumbent chair, can know."
In addition, the nomination committee is formed by the board, and since Seo appoints and leads the board, questions about fairness are raised here as well.
Amid this, Mirae Asset Group, Seo's former home base, is signaling opposition to his consecutive term. A senior Mirae Asset official recently said, "The chair of the association is a position that should be taken in turn by the most suitable person in the industry," adding, "There has been no consecutive term."
With the strengths of the rivals also formidable, the prevailing view is that it is difficult to predict the race.
Hwang Sung-yeop, CEO of Shinyoung Securities, has worked only at Shinyoung Securities for 38 years since joining in 1987, and is regarded as the "model Shinyoung man" who has experienced all areas, including corporate planning, asset management, corporate sales, IB, and overall management. The dominant assessment in the industry is that "his on-the-ground sense and practical understanding are overwhelming."
However, as the new administration is forcefully pushing stock market activation policies such as "KOSPI 5000" and "Value-up 2.0," there is considerable criticism that "because his career has been confined to a single company, his government negotiation capability and broad network may be somewhat weak."
An industry official said, "The chair must represent member companies' interests to the government, but questions sometimes arise about his government relations capability and network."
Another candidate, former KB Asset Management CEO Lee Hyun-seung, passed the 32nd civil service exam and began public service at the Ministry of Economy and Finance, then worked across Merrill Lynch, SK Securities, Koramco Asset Management, and KB Asset Management, making him a blended "bureaucrat + practitioner" figure. In particular, the fact that he was in the same civil service class as Deputy Prime Minister for Economic Affairs Koo Yun-cheol has recently drawn attention, leading to assessments that he has strengths on the government-relations front.
Since the association chair effectively serves as a "negotiation channel with the government," his government relations capability and network are considered clear strengths. However, the fact that the former CEO left the industry in 2024 and is not incumbent is cited as a weakness.
Some argue that a consecutive term for Seo would be better for the continuity of the association's work. An industry official said, "In the case of the association's chair, unlike other associations, the position is filled by election, so whenever a new chair is chosen, new pledges are presented, and many of the projects previously pursued are scrapped or affected."