Daishin Securities (003540) will become South Korea’s first domestic brokerage to pay annual interest on customer funds deposited for initial public offering (IPO) subscriptions. It will offer 1% on amounts up to 1 million won and 0.6% on amounts above that level, covering companies that filed securities registration statements on or after Sept. 21. The first qualifying subscriptions are expected from October after institutional book-building and retail applications. The policy addresses criticism that brokerages earned income by placing subscription deposits with institutions while investors received no return before refunds. The Financial Services Commission is also reviewing a framework to return net investment income from such deposits to investors.