Hanwha Life to acquire majority stake in US-based Velocity Clearing

By Lee Yeon-woo Hanwha Life headquarters in Seoul / Courtesy of Hanwha Life Hanwha Life has agreed to acquire a 75 percent stake in Velocity Clearing, the life insurance company announced on Wednesday. This marks the first time a domestic life insurance company has acquired a U.S.

securities firm. "Establishing opportunities for diversified growth that transcend borders and industries in the U.S.



market is of immense significance to us," Hanwha Life CEO Yeo Seung-joo said. "With Velocity Clearing’s robust platform and expertise, this acquisition will serve as a springboard for enhancing the global capabilities of Korea's leading insurance company." Hanwha Life aims to enhance long-term profitability by creating diverse U.

S. investment opportunities, while maximizing synergies with its global financial operations. It also plans to leverage its expertise in alternative investments as an institutional investor to provide individual clients with a broader range of investment opportunities.

Through this deal, Hanwha Life will gain direct access to Velocity's infrastructure and network. Established in 2003, Velocity Clearing is a technology-focused brokerage firm headquartered in New York, offering execution, clearing, and custody services to retail traders and institutional clients. Hanwha Life plans to retain and collaborate closely with Velocity’s existing staff to ensure a smooth integration process.

The acquisition will also allow the New York-based brokerage company to continue expanding into the Asian market, Hanwha said. "Velocity Clearing is seeing record growth across multiple success metrics and clients are embracing our offering of a full suite of trading solutions and services that empowers them to reach their goals and objectives," CEO of Velocity Clearing Michael Logan said. "We look forward to Hanwha Life’s support in accelerating our growth even further, particularly across Asia.

" The acquisition process is expected to be finalized upon receiving regulatory approval from the supervisory authorities of both countries..