Hanwha Life to acquire majority stake in U.S.-based Velocity Clearing
Hanwha Life enters the U.S. financial sector with a strategic acquisition, paving the way for global growth and innovation
Hanwha Life and Velocity Clearing LLC logos side by side
Hanwha Life announced that it has agreed to acquire a 75% stake in the parent company of Velocity Clearing, a U.S.-based global financial services firm, on November 18. The Velocity Clearing management team will retain the remaining minority stake. This acquisition provides Hanwha Life with a strategic foothold in the U.S. financial sector, creating opportunities to maximize returns on investment.
Hanwha Life has been at the forefront of advancing both the insurance industry and South Korea’s economic growth for 78 years. As part of that growth, the financial group has expanded into several overseas markets, including Vietnam and Indonesia, with its latest market being the U.S.
“As we look to expand into the U.S. market, we wanted to partner with a firm that has a strong footprint in financial services — and that is Velocity Clearing,” said Seung Joo Yeo, CEO of Hanwha Life. “Establishing opportunities for diversified growth that transcend borders and industries in the U.S. market is of immense significance to us. With Velocity Clearing’s robust platform and expertise, this acquisition will serve as a springboard for enhancing the global capabilities of South Korea's leading insurance company. Together with the Velocity Clearing management team, we are well positioned to make a strong impact in the U.S. and lay the foundation for sustainable, long-term growth.”
Velocity Clearing, which offers a unique combination of people, processes, and technology that enables clients to trade, borrow, and invest with confidence, will join Hanwha Life following a year of record growth. Since 2023, Velocity Clearing has achieved a 300% increase in assets under custody, more than doubled its correspondent clearing business, expanded its U.S. and offshore technology teams by 50%, and entered into Latin American and Asian markets. The acquisition of Velocity Clearing by Hanwha Life will allow the New York brokerage and global financial technologies company to continue its expansion into the Asian market.
“For Velocity Clearing, forming this partnership was made from a position of strength that speaks to the broad marketplace appeal of our offerings,” said Michael Logan, CEO of Velocity Clearing. “Velocity Clearing is seeing record growth across multiple success metrics, and clients are embracing our full suite of trading solutions and services that empower them to reach their goals and objectives. We look forward to Hanwha Life’s support in accelerating our growth even further, particularly across Asia.”
Hanwha Life is committed to retaining Velocity Clearing’s existing staff and fostering collaboration to create synergies for the future. The professional expertise of Velocity Clearing’s employees will be an asset to Hanwha Life’s continued growth. The transaction is subject to customary closing conditions, including regulatory approvals in the U.S. and South Korea.
Hanwha Life
Established in 1946, Hanwha Life is not only a leading South Korean life insurance company but also the first and oldest in the nation. For the past 78 years, Hanwha Life has played a critical role in developing the industry and expanding the country’s economic growth. In 2023, Hanwha Life reported total assets of USD 113.77 billion, demonstrating its sound structure and firm commitment to adding innovative products and services that meet a wide range of customer needs.
For more information, visit: www.hanwhalife.com/en
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