Hana Securities is starting a bill issuance business and moving to shift toward productive finance by expanding the supply of venture capital and supporting Korea's industrial ecosystem.

Hana Securities said on Jan. 9 it launched its first bill issuance note product, Hana THE Bill Issuance Note. The product is a note issued directly by Hana Securities with a maturity of less than 1 year, paying principal and interest according to an agreed rate of return.

Hana THE Bill Issuance Note consists of 2 types: on-demand and fixed-term. For individual customers, the on-demand type applies an annual interest rate of 2.4 percent before tax. The minimum subscription amount is 1 million won.

It will also sell a limited-time special fixed-term product. The special product is for net new customers and individual customers who have not traded for at least 6 months, and applies an annual interest rate of 3.4 to 3.6 percent depending on the term. The issuance limit is 120 billion won, and sales will end early once the limit is reached.

Ham Young-joo, chairman of Hana Financial Group, said in congratulatory remarks that Hana Securities' bill issuance note will create a virtuous cycle in finance and become a foundation for South Korea's economic rebound.

Hana Securities plans to actively invest the funds raised through the bill issuance notes into venture capital. It will support small and medium-sized companies in a growth phase mainly through equity investments, and provide tailored funding for mid-sized companies entering a stable phase through various forms of financial support such as corporate bond underwriting and credit facilities.

It also plans to link the group's network and financial capabilities to discover promising companies and expand investment in innovative industries such as future growth industries.

Kang Sung-mook, CEO of Hana Securities, said the bill issuance business is a key foundation for Hana Securities to carry out the group's venture capital supply strategy in practical terms. He said the company will continue to expand its role in productive finance, supporting corporate growth and strengthening industrial competitiveness based on stable funding and accumulated investment and screening capabilities.