Hanwha Life Expands into U.S. Securities Market with Velocity Clearing Acquisition
Korean insurance company Hanwha Life successfully acquires U.S.-based Velocity Clearing, marking the first step in a significant expansion of their operations within North American capital markets.
Hanwha Life Insurance, the oldest life insurance company in South Korea, has made a significant move into the U.S. securities market. In 2025, the company acquired a 75% stake in Velocity Clearing, a U.S. brokerage firm, marking a strategic expansion for Hanwha Life.
Based in New York, Velocity Clearing provides technology-driven self-clearing broker/dealer services, including execution, clearing, and custody. The firm supports retail traders and institutional clients in the United States and across the globe.
The acquisition positions Hanwha Life to expand beyond traditional insurance offerings into North American capital markets, potentially increasing profitability and allowing it to offer premium global financial products to clients worldwide. Velocity Clearing managed approximately USD 1.2 billion in total assets as of the end of 2024.
Velocity Clearing has shown steady growth, with a compound annual growth rate (CAGR) of 25% in revenue over the last three years (2022~2024). The firm's net income is also increasing steadily, with continued profitability expected after the acquisition.
The collaboration between Hanwha Life, its U.S. asset management affiliate Hanwha Asset Management (USA) Ltd., and the Hanwha AI Center (HAC), aims to combine financial expertise with advanced AI capabilities. This partnership is expected to strengthen Hanwha Life's competitive edge in the U.S. market.
Hanwha Life's representative expressed optimism about the acquisition, stating it would help establish a presence in the U.S. capital markets and ensure sustainable, long-term growth. The company, with over 78 years of experience in the life insurance sector, aims to enhance its profitability through Velocity Clearing and provide high-quality global financial products to global clients.
Velocity Clearing prides itself on offering seamless and reliable service to clients, focusing on world-class customer service. As a registered firm with the Securities and Exchange Commission (SEC) and a member of the Financial Industry Regulatory Authority (FINRA) and the Securities Investor Protection Corporation (SIPC), it operates with a strong commitment to regulatory compliance and client protection.
The acquisition of Velocity Clearing marks Hanwha Life's entry into the U.S. securities industry, making it the first Korean insurance company to own a U.S. securities firm. This move reflects Hanwha Life's strategic effort to diversify income sources and enhance its asset management capabilities amid low-growth conditions in its domestic market and demographic challenges.
Hanwha Life is transforming into a global financial group, pursuing strategic overseas expansion. Beyond this acquisition, the company emphasizes bold innovation and sustainability, pursuing transformative solutions tailored for various life stages and expanding its global footprint with more than 700 locations worldwide across key regions including North America, Europe, and Asia Pacific.
In summary, Hanwha Life's acquisition of Velocity Clearing represents a significant step in the company's global expansion strategy. The partnership aims to combine financial expertise with advanced AI capabilities, strengthening Hanwha Life's competitive edge in the U.S. market and positioning it to offer premium global financial products to clients worldwide.
Read also:
- 1. Key Points for August 14: Gathering in Alaska, Immigration Enforcement (ICE), Financial service Zelle, Infowars, and Air Canada Airline Incidents
- Automobile manufacturer IM Motors reveals an extended-range powertrain akin to installing an internal combustion engine in a Tesla Model Y.
- Conflict Erupts Between Musk and Apple Over Apple Store's Neglect of Grok
- Partnership between MTN South Africa and SANTACO aims to advanced transportation systems and stimulate economic opportunities for the masses in South Africa.
