Brokerage accounts for South Korean infants under one year old at Mirae Asset Securities surged to about 15,000 by June 2026, nearly tripling from the previous year, the largest brokerage by market capitalization in the country reported [1, 2, 3]. At the same time, new investment account openings for children under nine years old rose nearly 60% to approximately 185,000 as of June 2026, excluding duplicates [1, 2, 3].
This increase in infant investment accounts is driven by South Korea's recent AI-powered stock market rally and a growing parental trend to build generational wealth early by investing in equities [1, 2, 3]. Many parents say they prefer investing for their children over traditional savings because they believe the compounding effect over time matters more than the amount invested. Lee Hye-won said, "We felt that, when it comes to managing our children's accounts, the length of time invested matters more than the investment amount, so we opened an account for our first child at age 4, and for our second child right after birth" [1]. Lee Jun-hyeok echoed this, adding, "I wanted to give my child the gift of time and the power of compounding during those years — that's why I opened the account right after her birth" [1].
South Korean parents typically invest between 300,000 and 400,000 won monthly in U.S. exchange-traded funds tracking the S&P 500, as well as South Korean semiconductor and AI-related stocks [1, 2, 3]. This interest marks a shift from the traditional South Korean household wealth distribution where around 75% was held in real estate and the remainder in financial assets, signaling a move toward equities [1, 2, 3]. High capital gains tax rates of up to 70% on real estate owned less than two years and exemption from capital gains tax for most retail equity investors also encourage stock investment [2, 3].
Since 2023, the government has allowed guardians to open securities accounts for children remotely via mobile phone, lowering bureaucratic barriers [2, 3]. Brokerage firms like KakaoPay are offering incentives such as gifting stocks valued at 100,000 won to babies born in 2027 to attract new customers [2, 3].
Market experts expect this trend to continue because equity investing remains a trusted method for long-term wealth creation. Jae-joon Woo said, "Parents will continue to open investment accounts for their children even if markets become more volatile. This phenomenon is here to stay as long as equity investing is viewed as a reliable way to build long-term wealth" [1].
KakaoPay’s planned stock gift program for newborns will begin in 2027 [2, 3].
