Chairman Hyun-joo Park: "If Only Dividends Had Increased, There Would Be No Samsung or SK hynix"…Emphasizes Investment First

"Companies Should Grow Boldly by Accumulating Capital...
The Possibility of High Tariffs on Semiconductors Is Low"
Skeptical About the Future of Won-based Stablecoins

Hyun-joo Park, Chairman and Global Strategist (GSO) of Mirae Asset Group, dismissed calls for expanded shareholder returns from Samsung Electronics and SK hynix as "nonsense." He suggested that, rather than focusing on increasing dividends, companies should accumulate capital and invest in future growth.

Hyun-joo Park, Chairman of Mirae Asset Group and Global Strategist (GSO). Photo by Yonhap News Agency

On August 26, at the Four Seasons Hotel in Jongno-gu, Seoul, Park met with employees of DigitalX and stated, "Is Samsung Electronics' stock price declining because it cannot provide shareholder returns? That kind of nonsense makes no sense," adding, "Shareholder returns are only around 5~7%, so it would be better to buy U.S. Treasury bonds instead."

He continued, "If Samsung Electronics and SK hynix had paid high dividends, would these companies even exist today?" and emphasized, "Not paying dividends is what makes a company stronger. We need to aggressively scale up through capital accumulation."

He also commented that there is no need for excessive concern regarding U.S. tariff policies toward Korea. Park said, "It will be difficult for the U.S. to impose heavy tariffs on Korea," explaining, "Without semiconductors, neither Nvidia nor major U.S. big tech companies could function. There's simply no way the U.S. would impose a 50% tariff on Korea."

Regarding real estate, he observed, "I believe the real estate tax regime is quite severe," and evaluated that "it is possible for the current housing problem to be resolved." He further added, "The era of making easy money through real estate must end for everyone's sake," noting that only then will younger generations be able to feel the benefits of social welfare.

Meanwhile, Park expressed skepticism about the growth potential of the won-based stablecoin. He remarked, "You might hold a dollar-based stablecoin because of the global demand for US dollars, but I doubt the won-based stablecoin will do exceptionally well." Park predicted that global big tech firms like Google may enter the blockchain payment market and that securities firms will also provide automated asset management services using artificial intelligence (AI) in the future.

He also advised caution regarding virtual asset investments. Park commented, "Very few people have made money with Bitcoin; most have suffered serious losses," warning that investing with borrowed money is highly risky. He went on to say, "For clients who like cryptocurrencies, I recommend investing only about one-tenth of their assets, and I aim to show them that there are other ways to generate returns through different types of investments."

This content was produced with the assistance of AI translation services.