We are building a risk–based management structure, improving our long–term insurance loss ratio, improving the compensation process and increasing high yield, higher value contracts. By identifying diverse, stable bonds and alternative investments at home and abroad, we are posting healthy financial growth. Our priority is always our customers. We created a Consumer Protection charter. We also expanded the authority of our customer service center to ensure improved customer value and consumer protection. In addition, we offer a variety of services for customers who may prefer more conversational interactions, including live video chats, conversational AI chatbots and simple payment request services for long–term insurance.

Our efforts to improve customer services were certified by the Korea Service Quality Index as an excellent call center for eight consecutive years in 2021, achieving a record of 14 certifications in total. In 2022, we were awarded the Certification for Excellence in Consumer–Centered Management(CCM) for the eighth consecutive time.

In addition, we were the first South Korean insurer to introduce an electronic signature system, making it easier for customers to complete transactions from mobile devices. In 2019, we launched Carrot, South Korea’s first all–digital platform for non–life insurance products, in keeping with our development of new digital businesses in the industry. By consistently upgrading our mobile access, such as the Smart Insu app for long–term insurance, and Smart Chadori, an app for auto insurance, we have attracted the more than 1.5 million customers who have installed both applications.

Hanwha General Insurance will continue to strengthen its core insurance business competencies while solidifying stable profit and actively advancing digital innovation. We plan to enter new businesses, such as healthcare services, to develop overseas markets and to create new customer values as we grow as a non–life insurance company.

At the end of 2022, we were one of South Korea’s top asset management companies with USD 78.63 billion in assets under management (AUM). By demonstrating our outstanding expertise in both alternative investment and traditional investment, we achieved the No. 1 position among comprehensive asset management companies in the overseas infrastructure investment fund category. In 2021, as part of expanding into digital finance, we launched the PINE app, a platform for direct sales of funds for individual investors. The app has gained recognition from investors, particularly Millennials and Generation Z, for its user-friendly interface, low sales commission and valuable investment information. Additionally, we have obtained a REITs AMC license from South Korea’s Ministry of Land, Infrastructure and Transport, and entered the REITs business in the first quarter of 2023.

These diverse efforts earned us the Best Overseas Equity Fund at the 2022 Korea Fund Awards by Money Today news media, the Top Prize in global bonds at the 2021 KG Zeroin Korea Fund Awards and the Grand Prize in real estate funds at the 2021 Herald Fund Awards of the Korea Herald news media. Looking ahead, we will continue to build the foundation for future growth with a focus on the retirement plan market and alternative investments. We are also actively promoting global businesses and digital financial platforms as we become a comprehensive asset management solutions provider and top–tier asset management company in Asia.

Our trading division continues to diversify its income structure, while we quickly respond to the rapidly changing financial environment to improve profitability. We are also improving our operating infrastructure and risk analysis system to secure stable growth. Our wholesale business focuses on domestic and international institutional investors and corporate clients by providing investment information and brokerage services for stocks, bonds, derivatives and other financial products. Our expertise is well recognized as we received high grades from major institutions in 2021. As we sharpen our competitive edge, we will continue to grow by expanding global business and diversifying trading products.

We are expanding our investment banking business to include domestic and international corporate finance, real estate investment and infrastructure investment in overseas regions such as Japan, the US and Europe. We will further widen our business scope with global ESG investment and overseas alternative asset investment.

Hanwha Investment & Securities continues to build its digital financial platform to provide differentiated products and services that respond to digital transformations and trends. In addition, we are actively promoting partnerships with, and investments in, Fintech companies to spur future growth engines. After introducing our investment app STEPS, then the industry’s first facial recognition technology to open accounts, in 2022, we launched the 1 Dollar Shop, a fractional trading service that lets small investors easily invest in overseas stocks. In alliances with PAYCO and Woori Bank, we expanded our fintech business. Responding to the changing digital environment, we acquired stakes in Dunamu, a blockchain startup operating South Korean cryptocurrency exchange UPbit, and Toss Bank, an Internet banking operator.

As part of expanding global operations and securing new growth engines, we officially launched a Vietnam subsidiary, Pinetree Securities Corporation, in December 2019, which achieved an earnings surplus only two years after launch. Designed to deliver a digital financial platform that offers competitive products and services, Pinetree Securities Corporation launched Stock123 and AlphaTrading apps, offering quick, easy and practical information about stock trading. The company also introduced e–KYC (electronic Know Your Customer) using facial recognition technology, which received a great response from customers. Our Singapore subsidiary, established in 2020, is also widening our global business by identifying promising new alternative investment opportunities and unlisted companies in Southeast Asia.

Our business motto is “To provide financial solutions for wealth and life” for our clients, shareholders and employees with sustainable products that yield stable profitability. As a trusted and financially stable company with expertise in a range of industries, we are confident we can build a better future for our customers.

We offer differentiated services in corporate business loans, such as business lines of credit, secured loans, PF, ABL and NPL, by relying on our experienced sales teams and highly disciplined management. We are also preparing for digital transformation in the rapidly changing financial environment as a digital banking operator. We launched the "Mymo" app in October 2022 as part of our innovations in providing customized digital services to Gen Y (Millennials) and Gen Z customers as well as to business owners. Mymo, short for "My Money," is the first app in the industry to feature a "self-managed loan service," which enables customers to reduce interest rates on their own. The app also offers convenient benefits for interest rate reductions as customer credit scores improve. In addition, we aim to provide exceptional financial services to our customers by introducing products tailored to customer lifestyles, including for the needs of Millennials and Gen Z.

Going forward, we will grow as a top–notch leader in the savings bank industry by enhancing fundamental business capabilities, nurturing digital retail businesses, upgrading corporate finance services, expanding business areas and discovering next–generation new businesses.

We partner with multiple life and general insurers in professional insurance sales. By evaluating coverage, duration and premiums of a range of insurance products, we provide customized services to suit the lifecycles and financial situations of customers. We established rigorous internal control and consumer protection systems that exceed the general level of other corporate insurance agents.

By removing misleading and inappropriate sales of financial products, we are taking the lead in protecting the rights and interests of consumers For financial planners, drawing on our deep experience and knowledge as the flagship sales channel of South Korea’s first insurance company, we offer excellent sales support systems, including the industry's highest commissions, training processes, expert support and the benefits of our ACE Club, which honors top–ranking planners. We achieved stable performance from our inception and gained momentum by recording average monthly insurance sale of USD 4.50 million, achieving the top revenue in the general agency industry.

To offer greater convenience to our financial planners, we focused on building a digital platform that links the sales systems of several life and non–life insurers. We expect to facilitate more efficient sales activities by avoiding the need for planners to use each independent system when handling a variety of products. Using these digital platforms, we will create and analyze our own database to further enhance sales competitiveness. We will also continue to develop a customer–centric digital platform to help financial planners and our customers build and maintain friendly relationships.

Hanwha Life Financial Service will increase its financial planners and build new sales channels through the M&A of small– and medium–sized corporate insurance agents. We will continue efforts for qualitative growth by strengthening our hands–on integrated consulting capabilities, expanding our network of experts and providing education programs to meet the changing financial environment. As we maximize corporate value and further hone our competitiveness by raising capital through an IPO, while expanding our business areas, we will become an insurance sales specialist that provides solutions for all the life needs of our customers.

Carrot began by addressing the automotive insurance sector with a strictly usage–based insurance (UBI) strategy. Paying via online or mobile phone only for the number of miles driven at the end of each month was a novel concept for Korean consumers. A huge hit, the pay–per–mile program has now attracted more than 700,000 customers in our third year since launch. Ease of accessibility, fee transparency based on usage, AI–driven auto claims and accident detection and automated FNOL intake (first notification of loss) all support strong customer adoption, enabled by Carrot’s proprietary technology and data science.

Carrot’s innovation continues with focused R&D efforts into additional insurance carrier technology, including a recently introduced safe driving incentive algorithm. Using proprietary data analytics, Carrot monitors driving performance and provides driver customers with personalized scores based on key risk indicators. The algorithm’s integrated in–app challenge rewards safe driving with cash points that has proven effective in reducing losses.

Carrot’s wholly new insurance concept translates to non–auto insurance products as well. For instance, the SMART–ON series enables customers to instantly purchase plans without any charge until needed and then can be turned on with a click of a button. Carrot’s options, tailored to various online platforms and ecosystems, also include coverage for SMEs, leisure/sport, pets, travel and ecommerce transactions and returns.

Traditional insurance companies have not always been transparent when pricing coverage. Likewise, fairness at the individual policy level has often been overlooked. Carrot is challenging the industry by building a company that recognizes that every individual is unique. We put customers in control and reward them for their actions. We believe Carrot represents the future of insurance and we envision a paradigm shift in the legacy industry. While our opportunities are expansive and our ambitions are global, our purpose–driven journey has only just begun. We will keep moving forward to create financially sound and beneficial inspirational products for our customers and society.