Hanwha Life announced on July 31 that it has successfully completed the acquisition of a 75% stake in Velocity Clearing, LLC (“Velocity”), a U.S.-based securities company, on July 30 (local time). This move marks a strategic shift for Hanwha Life from a predominantly insurance-focused portfolio to actively expanding into the North American capital markets.
This acquisition is a first for a domestic insurer entering the U.S. securities market, which is considered a core part of the global capital ecosystem. Through this platform, Hanwha Life aims to boost profitability by leveraging local financial companies and to offer high-quality, global financial products to international clients.
Founded and headquartered in New York, Velocity is a specialized securities firm with the capacity to directly handle the settlement and clearing processes involved in financial transactions. As of the end of 2024, Velocity manages approximately $1.2 billion (around KRW 1.67 trillion) in total assets and has shown a remarkable growth trajectory, with an average annual growth rate (CAGR) of 25% over the past three years (2022-2024). Its net income has also displayed steady increases, and continued profitability growth is expected following the acquisition.
Hanwha Life plans to collaborate with the existing management team of Velocity to accelerate operational stabilization and, simultaneously, to foster synergies by working closely with Hanwha Asset Management’s US branch and Hanwha AI Center (HAC), integrating financial services with advanced technology.
A Hanwha Life spokesperson stated, “Securing a foothold in the U.S. market, the core of global finance, is a significant milestone for Hanwha Life as a Korean financial firm. We will strengthen our business capabilities by leveraging digital financial technology and our global network, fostering regional connections to ensure sustainable growth.”
Michael Logan, CEO of Velocity Clearing, commented, “With Hanwha Life’s global vision and extensive network, we expect Velocity’s growth to accelerate further. We aim to maximize synergies between both companies in the future.”
Meanwhile, Hanwha Life continues to expand its global financial ecosystem through region-specific strategies. It is enhancing retail finance competitiveness in Southeast Asia, refining platform-based investment capabilities in North America, and focusing on strategic hubs for broader global business development. Moving forward, Hanwha plans to integrate digital technologies and global partnerships to become a comprehensive financial solutions provider for customers worldwide.
