[Securities Daily Journalist Kim Yoon-jung] Kiwoom Securities announced on the 23rd that the number of accounts for the ‘Domestic Market Return Account (RIA)’ has surpassed 20,000. This milestone was reached just one month after the account was launched on the 23rd of last month.
The most frequently deposited overseas stock in the RIA account was NVIDIA (NVDA), accounting for more than 20% of the overall RIA account deposits. This was followed by Tesla (TSLA), SOXL (U.S. Semiconductor 3x ETF), Palantir Technologies (PLTR), and Alphabet (GOOGL).
RIA is an account that offers capital gains tax reduction benefits on foreign stocks if the proceeds from selling them are reinvested into domestic stocks for more than a year.
If the foreign stocks held as of the settlement date of December 23 last year are deposited and sold, the capital gains tax can be reduced by up to 100% for sales made from January 1 to May 31 of this year, provided certain conditions are met.
A Kiwoom Securities representative stated, “This is a good opportunity for foreign stock investors to invest in the domestic market using tax benefits,” adding, “We will contribute to the activation of the domestic capital market based on Kiwoom Securities’ broad private investor base.”
Meanwhile, Kiwoom Securities is offering free currency exchange fees for customers opening an RIA, as well as discounts on fees for selling foreign stocks and trading domestic stocks until the end of this year. However, trading-related SEC fees and domestic stock-related institutional fees are the responsibility of the customer.
Additionally, they are running separate events such as providing domestic stock purchase coupons upon opening an RIA and offering cash benefits when foreign stocks are deposited and subsequently sold.
Further details about the event can be found on the Kiwoom Securities website and the mobile app ‘Hero S’.