SFG Consolidated FY23

SHINHAN FINANCIAL GROUP CO., LTD.
AND SUBSIDIARIES
Consolidated Financial Statements

December 31, 2023 and 2022
(With Independent Auditor’s Report Thereon)

Contents
Page
Independent Auditors’ Report 1
Consolidated Statements of Financial Position 6
Consolidated Statements of Comprehensive Income 8
Consolidated Statements of Changes in Equity 10
Consolidated Statements of Cash Flows 12
Notes to the Consolidated Financial Statements 15
Independent Auditors’ Report on Internal Control over Financial Reporting

for Consolidation Purposes 319
ICFR Operating Status Report for Consolidation Purposes by CEO and IAM 321
152, Teheran-ro, Gangnam-gu, Seoul 06236
(Yeoksam-dong, Gangnam Finance Center 27th Floor)
Republic of Korea
Independent Auditors’ Report

Based on a report originally issued in Korean
The Board of Directors and Stockholders

Shinhan Financial Group Co., Ltd.
Opinion
We have audited the consolidated financial statements of Shinhan Financial Group Co., Ltd. and its
subsidiaries (“the Group”), which comprise the consolidated statement of financial position as of December
31, 2023, the consolidated statements of comprehensive income, changes in equity and cash flows for the
year then ended, and notes, comprising material accounting policies and other explanatory information.
In our opinion, the accompanying consolidated financial statements present fairly, in all material respects,
the consolidated financial position of the Group as of December 31, 2023, and its consolidated financial
performance and its consolidated cash flows for the year then ended in accordance with Korean
International Financial Reporting Standards (“K-IFRS”).
We have also audited, in accordance with Korean Standards on Auditing (KSAs), the Group’s Internal
Control over Financial Reporting (“ICFR”) as of December 31, 2023 based on the criteria established in
Conceptual Framework for Designing and Operating Internal Control over Financial Reporting issued by
the Operating Committee of Internal Control over Financial Reporting in the Republic of Korea, and our
report dated March 4, 2024 expressed an unmodified opinion on the effectiveness of the Group’s internal
control over financial reporting.
Basis for Opinion

We conducted our audit in accordance with KSAs. Our responsibilities under those standards are further
described in the Auditors’ Responsibilities for the Audit of the Consolidated Financial Statements section
of our report. We are independent of the Group in accordance with the ethical requirements that are relevant
to our audit of the consolidated financial statements in the Republic of Korea, and we have fulfilled our
other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we
have obtained is sufficient and appropriate to provide a basis for our opinion.
Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our
audit of the consolidated financial statement as of and for the year ended December 31, 2023. These matters
were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion
thereon, and we do not provide a separate opinion on these matters.
(1) Assessment of allowance for credit losses for loans

As discussed in Notes 3.(h), 5.(b), and 13 to the consolidated financial statements, the Group recognized
an allowance for credit losses using the Expected Credit Loss (ECL) impairment model for loans at
amortized cost amounting to KRW 4,330,470 million as of December 31, 2023. A lifetime ECL is
recognized for those loans that have experienced a Significant Increase in Credit Risk (SICR) since initial
recognition or are credit impaired, otherwise a 12-month ECL is recognized. The Group measures ECL
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allowances on an individual basis for individually significant corporate loans which are credit impaired and
for those which have experienced a SICR and demonstrate certain other high risk indicators (for example,
debt restructuring).
The individual assessment involves judgment by the Group in estimating the future cash flows expected
from collateral. The allowance for credit losses for other loans are measured on a collective basis. For these
loans, the Group measures ECL based on its estimates of the Probability of Default (PD), the Loss Given
Default (LGD) and the Exposure at Default (EAD) as well as the impact of Forward-Looking Information
(FLI). When measuring allowance for credit losses, PD estimated considering various factors such as
collateral, product and borrower type, credit rating, loan size, recovering period, etc. and LGD per recovery
type are applied. For corporate loans measured on a collective basis, one of the relevant inputs for
determining PD is the internal credit risk rating of the borrower. The internal credit risk rating of the
borrower is defined by the Group using quantitative and qualitative factors. The evaluation of the qualitative
factors involves a high level of judgment by the Group.
We identified the following risks in accordance with the assessment of the allowance for credit losses for
loans as a key audit matter, considering likelihood of error, management judgement, and risk of material
misstatement;
 Risks that (i) the analysis of the qualitative factors in determining the internal credit risk ratings
of the corporate loans to be collectively assessed for ELC is inappropriate; (ii) the calculation of
12 month and lifetime PD, the calculation of LGD, and the evaluation if FLI incorporated in the
measurement of collective ECL is inappropriate due to fraud or error
The following are the primary audit procedures we performed to address this key audit matter.
 We evaluated the design and tested the operating effectiveness of certain internal controls related
to: (i) the validation of the models used to determine the inputs to the collective ECL calculation
and the impact of FLI; (ii) the assessment of qualitative factors in the process of determining the
internal credit risk rating of the loans; (iii) the completeness and accuracy of quantitative data used
in the credit risk ratings.
 We involved credit risk professionals with specialized skills, industry knowledge and relevant
experience who assisted in: (i) evaluating the methodology and key judgments used in determining
the PD and LGD parameters; (ii) evaluating how FLI was incorporated in the collective ECL
model; and (iii) recalculating forward-looking PD and LGD on a sample basis.
 We evaluated on a sample basis whether, for the corporate loans with ECL measured on a
collective basis, Group policy was applied in the internal credit risk rating process.
(2) Internally measured fair value of level 3 derivatives, and level 3 derivative-linked securities
As discussed in Notes 5.(e) to the consolidated financial statements, the Group classifies financial
instruments measured at fair value using valuation techniques where one or more significant inputs are not
based on observable market data as level 3 in the fair value hierarchy.
Those financial instruments measured at fair value classified as level 3 include derivatives and derivative-
linked securities both held and issued by Shinhan Securities Co., Ltd. (a subsidiary of the Group), of which
fair value is measured by the internally developed valuation models. The fair value of such derivative assets
and liabilities as of December 31, 2023 was KRW 629,223 million and KRW 785,312 million, respectively.
Also, the fair value of such derivative-linked securities held (presented as ‘financial assets at fair value
through profit or loss – debt securities’) and issued (presented as ‘financial liabilities designated at fair
value through profit or loss’) as of December 31, 2023 was KRW 66,866 million and KRW 6,725,252
million, respectively. In order to measure the fair value of these financial instruments, the Group uses
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valuation models such as discounted cash flow models and option models. These models use various inputs
and assumptions, depending on the nature of the financial instruments.
We identified the following risk in accordance with the measurement of fair value of the derivatives and
derivative-linked securities as a key audit matter considering the level of judgement;
 Risk that the models’ significant inputs which are not directly observable in financial markets and
related assumptions (such as volatility of underlying assets, correlations, regression coefficients,
discount rates, etc.) are inappropriate
 We evaluated the design and tested the operating effectiveness of certain internal controls related
to the measurement of fair value of the derivatives and derivative-linked securities. This included
controls related to the development and application of the significant unobservable inputs and
assumptions used in the measurement of fair values.
 We involved valuation professionals with specialized skills and knowledge, who assisted in (i)
evaluating unobservable inputs on a selection of the derivatives and derivative-linked securities;
and (ii) developing unobservable inputs independently for a selection of the derivatives and
derivative-linked securities and comparing the resulting fair value estimates to the Group’s fair
value measurements.
(3) Measurement of Insurance Liabilities’ Current Fulfilment Value

As discussed in Note 28 to the consolidated financial statements, the Group measures insurance contracts
at the current fulfilment value and recognizes them as insurance contract liabilities amounting to KRW
48,334,232 million. These insurance contract liabilities are measured at the current fulfilment value by
estimating all cash flows expected to occur within the boundaries of the insurance contract and using the
current discount rate that reflects the assumptions and risks at the time of reporting.
We identified the following risk in accordance with the measurement of insurance liabilities’ current
fulfilment value as a key audit matter, considering likelihood of error, management judgement, and risk of
material misstatement;
 Risk that the measurement of insurance contract liabilities may be misstated from calculating loss
rate assumptions due to error
 We tested the operating effectiveness of management's controls over loss rate assumption
calculation. These controls include review and approval of the calculation methodology applied
to calculate loss rate assumptions, review of consistency of basic data, review and approval of
correction and extrapolation methods, review and approval of appropriateness of calculated
assumptions, and review control by an independent appointed actuary.
 By utilizing actuarial experts with professional skills and knowledge, we reviewed the calculation
methodology applied to calculate the loss rate assumptions, the appropriateness of the correction
and extrapolation method; additionally, we calculated the loss rate assumptions independently,
compared with the applied loss rate assumptions, and verified whether the loss rate assumptions
were applied when calculating fulfilment cash flows of insurance contracts.
Other matters
The procedures and practices utilized in the Republic of Korea to audit such consolidated financial
statements may differ from those generally accepted and applied in other countries.
The consolidated statement of financial position of the Group as of December 31, 2022 and January 1, 2022,
and the related consolidated statements of comprehensive income, changes in equity and cash flows for the
year ended December 31, 2022 were audited by another auditor in accordance with KSAs, and their report
thereon, dated March 6, 2023, expressed an unqualified opinion. The financial statements that another
auditor audited are those before reflecting the adjustments due to the adoption of K-IFRS 1117 Insurance
Contracts described in Note 52. The accompanying consolidated statements of financial position of the
Group as of December 31, 2022 and January 1, 2022 presented for comparative purposes, are those after
reflecting such adjustments.
As part of our audit on the consolidated financial statements for the year ended December 31, 2023, we
have audited the adjustments to the accompanying consolidated financial statements presented for
comparative purposes. In our opinion, the adjustments to the accompanying consolidated financial
statements present fairly, in all material respects, in accordance with K-IFRS. We were not engaged to audit,
review, or apply any other procedures to the accompanying consolidated financial statements presented for
comparative purposes, other than with respect to the adjustments, and accordingly, we do not express an
audit opinion or any other form of assurance on the accompanying consolidated financial statements
presented for comparative purposes taken as a whole.
Responsibilities of Management and Those Charged with Governance for the Consolidated Financial
Statements
Management is responsible for the preparation and fair presentation of the consolidated financial statements
in accordance with K-IFRS, and for such internal control as management determines is necessary to enable
the preparation of consolidated financial statements that are free from material misstatement, whether due
to fraud or error.
In preparing the consolidated financial statements, management is responsible for assessing the Group’s
ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using
the going concern basis of accounting unless management either intends to liquidate the Group or to cease
operations, or has no realistic alternative but to do so.
Those charged with governance are responsible for overseeing the Group’s financial reporting process.
Auditors’ Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a
whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report
that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an
audit conducted in accordance with KSAs will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate,
they could reasonably be expected to influence the economic decisions of users taken on the basis of these
consolidated financial statements.
As part of an audit in accordance with KSAs, we exercise professional judgment and maintain professional
skepticism throughout the audit. We also:
 Identify and assess the risks of material misstatement of the consolidated financial statements,
whether due to fraud or error, design and perform audit procedures responsive to those risks, and
4
obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk
of not detecting a material misstatement resulting from fraud is higher than for
 Evaluate the overall presentation, structure and content of the consolidated financial statements,
including the disclosures, and whether the consolidated financial statements represent the
underlying transactions and events in a manner that achieves fair presentation.
 Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group to express an opinion on the consolidated financial statements.
We are responsible for the direction, supervision and performance of the group audit. We remain
solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope
and timing of the audit and significant audit findings, including any significant deficiencies in the internal
controls that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant
ethical requirements regarding independence, and communicate with them all relationships and other
matters that may reasonably be thought to bear on our independence, and where applicable, related
safeguards.
From the matters communicated with those charged with governance, we determine those matters that were
of most significance in the audit of the consolidated financial statements of the current period and are
therefore the key audit matters. We describe these matters in our auditors’ report unless law or regulation
precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a
matter should not be communicated in our report because the adverse consequences of doing so would
reasonably be expected to outweigh the public interest benefits of such communication.
The engagement partner on the audit resulting in this independent auditors’ report is Min-Seon Chae.
KPMG Samjong Accounting Corp.

Seoul, Korea
March 4, 2024
This report is effective as of March 4, 2024, the audit report date. Certain subsequent events or
circumstances, which may occur between the audit report date and the time of reading this report, could
have a material impact on the accompanying consolidated financial statements and notes thereto.
Accordingly, the readers of the audit report should understand that the above audit report has not been
updated to reflect the impact of such subsequent events or circumstances, if any.
5
SHINHAN FINANCIAL GROUP CO., LTD. AND SUBSIDIARIES
Consolidated Statements of Financial Position
As of December 31, 2023, December 31, 2022 and January 1, 2022
(In millions of won) December 31, December 31, January 1,

Note 2023 2022 2022
Assets
Cash and due from banks at
amortized cost 5, 9, 13, 20 W 34,629,251 30,050,840 29,049,341
Financial assets at fair value
through profit or loss 5, 10, 20 71,216,564 61,508,281 68,161,348
Derivative assets 5, 11 4,711,421 6,460,652 3,800,158
Securities at fair value through
other comprehensive income 5, 12, 20 90,311,979 85,469,161 90,893,467
Securities at amortized cost 5, 12, 20 35,686,487 33,371,198 26,164,942
Loans at amortized cost 5, 13, 20 411,739,562 407,898,972 384,810,774
Property and equipment, net 14, 19, 20 3,972,304 4,011,097 4,046,164
Intangible assets 15 6,217,946 5,807,836 5,644,782
Investments in associates 16 2,692,031 2,904,474 2,913,745
Current tax receivable 30,590 26,307 15,159
Deferred tax assets 44 153,719 915,369 131,257
Investment property 17 257,806 363,108 675,391
Net defined benefit assets 26 114,378 456,838 33,429
Insurance contract assets 28 10,654 - -
Reinsurance contract assets 28 88,353 88,772 -
Other assets 5, 13, 18 29,925,844 25,071,114 25,480,156
Assets held for sale 36,444 29,211 44,409
Total assets W 691,795,333 664,433,230 641,864,522
6
Consolidated Statements of Financial Position (Continued)
As of December 31, 2023, December 31, 2022 and January 1, 2022
(In millions of won) December 31, December 31, January 1,

Note 2023 2022 2022
Liabilities
Deposits 5, 21 W 381,512,664 382,988,294 364,874,652
Financial liabilities at fair value
through profit or loss 5, 22 1,868,977 1,146,110 1,369,225
Financial liabilities designated
at fair value through profit or
loss 5, 23 7,796,727 8,367,368 8,023,870
Derivative liabilities 5, 11 5,038,416 7,708,615 3,588,165
Borrowings 5, 24 56,901,352 49,279,175 43,167,065
Debt securities issued 5, 25 81,561,725 77,288,783 80,149,363
Net defined benefit liabilities 26 67,620 14,664 131,494
Provisions 27 1,369,666 1,266,314 1,166,883
Current tax payable 92,253 702,143 702,608
Deferred tax liabilities 44 542,595 810,569 420,677
Insurance contract liabilities 28 48,333,208 45,904,773 53,774,915
Reinsurance contract liabilities 28 93,240 62,803 281,763
Investment contract liabilities 5, 30 1,572,685 2,133,586 2,953,698
Other liabilities 5, 31 48,722,340 33,336,475 31,044,194
Total liabilities 635,473,468 611,009,672 591,648,572
Equity 32
Capital stock 2,969,641 2,969,641 2,969,641
Hybrid bonds 4,001,731 4,196,968 3,334,531
Capital surplus 12,094,968 12,095,043 12,095,043
Capital adjustments (658,664) (582,859) (664,429)
Accumulated other
comprehensive loss (1,074,453) (1,910,750) (905,223)
Retained earnings 36,387,314 33,963,799 31,139,115
Total equity attributable to
equity holders of
Shinhan Financial Group Co.,
Ltd. 53,720,537 50,731,842 47,968,678
Non-controlling interests 2,601,328 2,691,716 2,247,272
Total equity 56,321,865 53,423,558 50,215,950
Total liabilities and equity W 691,795,333 664,433,230 641,864,522
Since K-IFRS 1117 “Insurance contracts” was first applied from January 1, 2023, the Group restated the
consolidated statements of financial position as of December 31, 2022 and January 1, 2022 in accordance with K-
IFRS 1001 “Financial statement presentation”. See accompanying notes to the consolidated financial statements.
7
Consolidated Statements of Comprehensive Income
For the years ended December 31, 2023 and 2022
(In millions of won) Note 2023 2022
Interest income W 27,579,211 20,092,325

Interest expense (16,761,289) (9,495,472)
Net interest income 34 10,817,922 10,596,853
Fees and commission income 4,175,243 3,884,346

Fees and commission expense (1,528,037) (1,470,804)
Net fees and commission income 35 2,647,206 2,413,542
Insurance income 2,899,599 2,741,730

Reinsurance income 44,985 36,274
Insurance service expenses (1,748,779) (1,667,870)
Reinsurance service expenses (82,190) (63,910)
Net insurance income 28 1,113,615 1,046,224
Insurance finance income 143,064 850,940

Insurance finance expenses (659,161) (42,976)
Net insurance finance income (expenses) 29 (516,097) 807,964
Dividend income 36 181,486 177,569

Net gain (loss) on financial instruments at fair
value through profit or loss 37 2,493,626 (1,160,833)
Net gain (loss) on financial instruments designated
at fair value through profit or loss 38 (437,780) 576,942
Net gain on foreign currency transaction 256,766 245,079
Net gain (loss) on disposal of securities at fair
value through other comprehensive income 12 (129,575) (161,423)
Net gain (loss) on disposal of securities at
amortized cost 12 251 (60)
Provision for allowance for credit loss 39 (2,244,503) (1,291,813)
General and administrative expenses 40 (5,895,337) (5,644,160)
Other operating expenses, net 42 (2,186,730) (1,700,320)
Operating income 6,100,850 5,905,564
Equity method income 16 125,088 121,697

Other non-operating income (expense), net 43 (260,978) 339,365
Profit before income taxes 5,964,960 6,366,626
Income tax expense 44 1,486,960 1,611,112

Profit for the year W 4,478,000 4,755,514
8
Consolidated Statements of Comprehensive Income (Continued)
(In millions of won, except earnings per share data) Note 2023 2022
Other comprehensive income for the year, net of

income tax 32
Items that are or may be reclassified to profit or loss:
Gain (loss) on securities at fair value through other
comprehensive income W 3,162,544 (5,928,937)
Equity in other comprehensive income (loss) of
associates 7,156 (15,758)
Foreign currency translation adjustments for foreign
operations (6,245) 14,732
Net change in unrealized fair value of cash flow
hedges 61,280 (70,264)
Net finance income on insurance contract assets
(liabilities) (2,172,458) 4,705,903
Net finance income (expense) on reinsurance contract
assets (liabilities) (20,772) 34,045
1,031,505 (1,260,279)
Items that will not be reclassified to profit or loss:
Remeasurements of the net defined benefit
liabilities (assets) (200,857) 251,991
Equity in other comprehensive loss of associates - (5)
Valuation gain on securities at fair value through
other comprehensive income 8,174 5,133
Gain (loss) on disposal of securities at fair value
through other comprehensive income (3,056) 2,134
Changes in own credit risk on financial liabilities
designated at fair value through profit of loss 8,623 (4,749)
(187,116) 254,504
Total other comprehensive income (loss), net of
income tax 844,389 (1,005,775)
Total comprehensive income for the year W 5,322,389 3,749,739
Profit attributable to:

Equity holders of Shinhan Financial Group Co., Ltd. 32, 45 W 4,368,035 4,665,643
Non-controlling interests 109,965 89,871
W 4,478,000 4,755,514
Total comprehensive income attributable to:
Equity holders of Shinhan Financial Group Co., Ltd. W 5,208,629 3,660,798
Non-controlling interests 113,760 88,941
W 5,322,389 3,749,739
Earnings per share: 32, 45

Basic and diluted earnings per share in won W 8,048 8,498
Since K-IFRS 1117 “Insurance contracts” was first applied from January 1, 2023, the Group restated the
consolidated statements of comprehensive income for the year ended December 31, 2022 in accordance with K-IFRS
1001 “Financial statement presentation”. See accompanying notes to the consolidated financial statements.
9
Consolidated Statements of Changes in Equity
For the years ended December 31, 2022
(In millions of won) Equity attributable to equity holders of Shinhan Financial Group Co., Ltd.
Accumulated
other compre- Non-
Capital Hybrid Capital Capital hensive income Retained controlling
stock bonds surplus adjustments (loss) earnings Sub-total interests Total
Balance at January 1, 2022 W 2,969,641 3,334,531 12,095,043 (664,429) (984,936) 30,541,300 47,291,150 2,247,272 49,538,422
Adjustment on initial application of K-IFRS 1117 (Note 52) - - - - 79,713 597,815 - - 677,528
Balance (restated) at January 1, 2022 2,969,641 3,334,531 12,095,043 (664,429) (905,223) 31,139,115 47,968,678 2,247,272 50,215,950
Profit for the year - - - - - 4,665,643 4,665,643 89,871 4,755,514
Other comprehensive income (loss), net of income tax:
Loss on valuation and disposal of securities at fair value
through other comprehensive income - - - - (5,918,084) - (5,918,084) (3,586) (5,921,670)
Equity in other comprehensive loss of associates - - - - (15,763) - (15,763) - (15,763)
operations - - - - 12,936 - 12,936 1,796 14,732
Net change in unrealized fair value of cash flow hedges - - - - (70,264) - (70,264) - (70,264)
Net finance income on insurance contract assets (liabilities) - - - - 4,705,903 - 4,705,903 - 4,705,903
Net finance income on reinsurance contract assets
(liabilities) - - - - 34,045 - 34,045 - 34,045
Remeasurements of the net defined benefit liabilities
(assets) - - - - 251,131 - 251,131 860 251,991
designated at fair value through profit or loss - - - - (4,749) - (4,749) - (4,749)
Total other comprehensive loss - - - - (1,004,845) - (1,004,845) (930) (1,005,775)
Total comprehensive income (loss) - - - - (1,004,845) 4,665,643 3,660,798 88,941 3,749,739
Other changes in equity

Dividends - - - - - (747,705) (747,705) - (747,705)
Interim dividends - - - - - (637,598) (637,598) - (637,598)
Dividends to hybrid bonds - - - - - (156,277) (156,277) - (156,277)
Issuance of hybrid bonds (Note 32) - 997,120 - - - - 997,120 - 997,120
Redemption of hybrid bonds (Note 32) - (134,683) - (317) - - (135,000) - (135,000)
Acquisition of treasury stock (Note 32) - - - (300,000) - - (300,000) - (300,000)
Retirement of treasury stock (Note 32) - - - 300,000 - (300,061) (61) - (61)
Change in other capital adjustments - - - (3,904) - - (3,904) - (3,904)
Change in other non-controlling interests - - - 85,791 - - 85,791 355,503 441,294
- 862,437 - 81,570 - (1,841,641) (897,634) 355,503 (542,131)
Reclassification of OCI to retained earnings - - - - (682) 682 - - -
Balance at December 31, 2022 W 2,969,641 4,196,968 12,095,043 (582,859) (1,910,750) 33,963,799 50,731,842 2,691,716 53,423,558
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Consolidated Statements of Changes in Equity (Continued)
For the years ended December 31, 2023
(In millions of won) Equity attributable to equity holders of Shinhan Financial Group Co., Ltd.
Accumulated
other compre- Non-
Capital Hybrid Capital Capital hensive income Retained controlling
stock bonds surplus adjustments (loss) earnings Sub-total interests Total
Balance at January 1, 2023 W 2,969,641 4,196,968 12,095,043 (582,859) (1,910,750) 33,963,799 50,731,842 2,691,716 53,423,558
Profit for the year - - - - - 4,368,035 4,368,035 109,965 4,478,000
Other comprehensive income (loss), net of income tax:
Loss on valuation and disposal of securities at fair value
through other comprehensive income - - - - 3,163,334 - 3,163,334 4,328 3,167,662
Equity in other comprehensive loss of associates - - - - 7,156 - 7,156 - 7,156
operations - - - - (6,234) - (6,234) (11) (6,245)
Net change in unrealized fair value of cash flow hedges - - - - 61,280 - 61,280 - 61,280
Net finance loss on insurance contract assets (liabilities) - - - - (2,172,458) - (2,172,458) - (2,172,458)
Net finance loss on reinsurance contract assets (liabilities) - - - - (20,772) - (20,772) - (20,772)
Remeasurements of the net defined benefit liabilities
(assets) - - - - (200,335) - (200,335) (522) (200,857)
designated at fair value through profit or loss - - - - 8,623 - 8,623 - 8,623
Total other comprehensive income - - - - 840,594 - 840,594 3,795 844,389
Total comprehensive income (loss) - - - - 840,594 4,368,035 5,208,629 113,760 5,322,389
Other changes in equity

Dividends - - - - - (455,215) (455,215) - (455,215)
Interim dividends - - - - - (817,122) (817,122) - (817,122)
Dividends to hybrid bonds - - - - - (189,672) (189,672) - (189,672)
Issuance of hybrid bonds (Note 32) - 897,646 - - - - 897,646 - 897,646
Redemption of hybrid bonds (Note 32) - (1,092,883) - (102,667) - - (1,195,550) - (1,195,550)
Transfer of redemption loss of hybrid bonds to retained
earnings - - - 317 - (317) 0 - -
Acquisition of treasury stock (Note 32) - - - (485,947) - - (485,947) - (485,947)
Retirement of treasury stock (Note 32) - - - 485,947 - (486,028) (81) - (81)
Preferred stock converted to common stock - - (75) - - - (75) - (75)
Change in other capital adjustments - - - 26,703 - (463) 26,240 - 26,240
Change in other non-controlling interests - - - (158) - - (158) (204,148) (204,306)
- (195,237) (75) (75,805) - (1,948,817) (2,219,934) (204,148) (2,424,082)
Reclassification of OCI to retained earnings - - - - (4,297) 4,297 - - -
Balance at December 31, 2023 W 2,969,641 4,001,731 12,094,968 (658,664) (1,074,453) 36,387,314 53,720,537 2,601,328 56,321,865
Since K-IFRS 1117 “Insurance contracts” was first applied from January 1, 2023, the Group restated the consolidated statements of changes in equity for the year ended December
31, 2022 in accordance with K-IFRS 1001 “Financial statement presentation”. See accompanying notes to the consolidated financial statements.
11
Consolidated Statements of Cash Flows
Cash flows from operating activities

Profit for the year W 4,478,000 4,755,514
Adjustments for:
Interest income 34 (27,579,211) (20,092,325)
Interest expense 34 16,761,289 9,495,472
Dividend income 36 (181,486) (177,569)
Income tax expense 44 1,486,960 1,611,112
Net fees and commission expense 35 307,492 126,665
Net insurance loss 28 (1,113,615) (1,046,224)
Net insurance finance expense (income) 29 516,097 (807,964)
Net loss (gain) on financial instruments at fair value through profit or
loss 37 (1,228,900) 1,056,473
Net loss (gain) on derivatives 11 (292,483) 702,735
Net loss (gain) on foreign currency translation 4,396 44,316
Net gain on financial instruments designated at fair value through
profit or loss 38 (54,256) (806,741)
Net loss (gain) on disposal of securities at fair value through other
comprehensive income 12 129,575 161,423
Net loss (gain) on disposal of securities at amortized cost 12 (251) 60
Provision for allowance for credit loss 39 2,244,503 1,291,813
Employee benefit 26 145,874 178,923
Depreciation and other amortization 40 1,185,006 999,682
Other operating expense 42 859,065 2,086,352
Equity method income, net 16 (125,088) (121,697)
Other non-operating expense (income) 43 200,355 (437,202)
(6,734,678) (5,734,696)
Changes in assets and liabilities:

Due from banks at amortized cost 1,325,355 (1,052,471)
Securities at fair value through profit or loss (7,374,788) 5,901,524
Loans at fair value through profit or loss 620,955 (721,736)
Financial instruments designated at fair value through profit or loss (726,476) 1,100,240
Derivative instruments (336,770) 728,222
Loans at amortized cost (5,652,482) (24,043,584)
Insurance contract assets (10,387) 299
Reinsurance contract assets (4,262) (72,331)
Other assets (6,394,740) (2,080,768)
12
Consolidated Statements of Cash Flows (Continued)
Deposits W (1,380,003) 18,309,172

Liabilities for defined benefit obligations 7,263 (341,740)
Provisions (424,494) (72,384)
Insurance contract liabilities (1,247,849) (903,025)
Reinsurance contract liabilities (31,265) (201,490)
Investment contract liabilities (671,181) (907,047)
Other liabilities 13,479,464 1,789,192
(8,821,660) (2,567,927)
Income taxes paid (1,931,943) (1,693,408)

Interest received 26,411,959 19,070,421
Interest paid (13,058,769) (6,770,156)
Dividends received 186,937 128,692
Net cash inflow from operating activities 529,846 7,188,440
Cash flows from investing activities

Decrease in financial instruments at fair value through profit or loss 3,845,778 5,206,643
Increase in financial instruments at fair value through profit or loss (5,355,995) (5,954,987)
Proceeds from disposal of securities at fair value through other
comprehensive income 36,748,023 22,231,923
Acquisition of securities at fair value through other comprehensive
income (36,745,746) (24,545,800)
Proceeds from disposal of securities at amortized cost 4,257,920 5,148,999
Acquisition of securities at amortized cost (6,421,141) (12,302,642)
Proceeds from disposal of property and equipment 14, 43 16,159 93,511
Acquisition of property and equipment 14 (261,444) (326,546)
Proceeds from disposal of intangible assets 15, 43 25,029 23,040
Acquisition of intangible assets 15 (454,794) (616,581)
Proceeds from disposal of investments in associates 16 377,496 516,735
Acquisition of investments in associates 16 (428,423) (657,836)
Proceeds from disposal of investment property 17, 43 166,767 259,453
Acquisition of investment property 17 (5,367) (6,883)
Proceeds from disposal of assets held for sale 3,663 624,837
Change in other assets 1,959 (238,869)
Proceeds from settlement of hedging derivative financial
instruments 29,123 12,585
Payment of settlement of hedging derivative financial instruments (70,720) (135,669)
Net cash flow from business combination - (27,840)
Net cash outflow from investing activities (4,271,713) (10,695,927)
13
Consolidated Statements of Cash Flows (Continued)
Cash flows from financing activities

Issuance of hybrid bonds W 897,646 997,120
Redemption of hybrid bonds (1,195,550) (135,000)
Net increase in borrowings 8,153,087 6,145,271
Proceeds from debt securities issued 47,674,027 39,521,966
Redemption of debt securities issued (43,808,445) (41,777,940)
Increase in financial liabilities designated at fair value through profit
or loss 209,969 49,993
Change in other liabilities 164,567 239,591
Dividends paid (1,461,371) (1,540,871)
Proceeds from settlement of hedging derivative financial instruments 1,538,590 2,391,556
Payment of settlement of hedging derivative financial instruments (1,459,027) (2,319,927)
Acquisition of treasury stock (485,947) (300,000)
Disposition and redemption of treasury stock (81) (60)
Increase (decrease) in non-controlling interests (205,169) 382,929
Redemption of lease liabilities (262,055) (259,913)
Conversion costs for preferred stock to common stock (75) -
Net cash inflow from financing activities 9,760,166 3,394,715
Effect of exchange rate changes on cash and cash equivalents held (15,361) (58,955)
Increase (decrease) in cash and cash equivalents 6,002,938 (171,727)
Cash and cash equivalents at beginning of year 47 24,413,946 24,585,673
Cash and cash equivalents at end of year 47 W 30,416,884 24,413,946
Since K-IFRS 1117 “Insurance contracts” was first applied from January 1, 2023, the Group restated the consolidated
statements of cash flows for the year ended December 31, 2022 and January 1, 2022 in accordance with K-IFRS 1001
“Financial statement presentation”. See accompanying notes to the consolidated financial statements.
14
Notes to the Consolidated Financial Statements
1. Reporting entity
Shinhan Financial Group Co., Ltd., the controlling company, and its subsidiaries included in consolidation
(collectively the “Group”) are summarized as follows:
(a) Controlling company
Shinhan Financial Group Co., Ltd. (the “Shinhan Financial Group” or the “Company”), the controlling company, is
incorporated on September 1, 2001 for the main purposes of controlling, managing and funding Shinhan Bank,
Shinhan Securities Co., Ltd., Shinhan Capital Co., Ltd. and Shinhan BNP Asset Management Co., Ltd. by way of
share transfers. The total capital stock amounted to W1,461,721 million. Also, Shinhan Financial Group’s shares
have been listed on the Korea Exchange since September 10, 2001 and Shinhan Financial Group’s American
Depositary Shares have been registered with the Securities and Exchange Commission (SEC) and listed on the New
York Stock Exchange since September 16, 2003.
(b) Ownership of Shinhan Financial Group and its major consolidated subsidiaries as of December 31, 2023 and
2022 are as follows:
Date of Ownership (%)
financial December December
Investor Investee (*1) Location information 31, 2023 31, 2022
Shinhan Financial
Group Co., Ltd. Shinhan Bank Korea December 31 100.0 100.0
〃 Shinhan Card Co., Ltd. 〃〃 100.0 100.0
〃 Shinhan Securities Co., Ltd. 〃〃 100.0 100.0
〃 Shinhan Life Insurance Co., Ltd. 〃〃 100.0 100.0
〃 Shinhan Capital Co., Ltd. 〃〃 100.0 100.0
〃 Jeju Bank 〃〃 75.3 75.3
〃 Shinhan Asset Management Co., Ltd. 〃〃 100.0 100.0
〃 SHC Management Co., Ltd. 〃〃 100.0 100.0
〃 Shinhan DS 〃〃 100.0 100.0
〃 Shinhan Savings Bank 〃〃 100.0 100.0
〃 Shinhan Asset Trust Co., Ltd. 〃〃 100.0 100.0
〃 Shinhan Fund Partners Co., Ltd. (*2) 〃〃 99.8 99.8
〃 Shinhan REITs Management Co., Ltd. 〃〃 100.0 100.0
〃 Shinhan AI Co., Ltd. (*3) 〃〃 100.0 100.0
〃 Shinhan Venture Investment Co., Ltd. 〃〃 100.0 100.0
Shinhan EZ General Insurance Co.,
〃〃〃
Ltd. 85.1 85.1
Shinhan Bank Shinhan Bank America USA 〃 100.0 100.0
〃 Shinhan Bank Europe GmbH Germany 〃 100.0 100.0
〃 Shinhan Bank Cambodia Cambodia 〃 97.5 97.5
〃 Shinhan Bank Kazakhstan Limited Kazakhstan 〃 100.0 100.0
〃 Shinhan Bank Canada Canada 〃 100.0 100.0
〃 Shinhan Bank (China) Limited China 〃 100.0 100.0
〃 Shinhan Bank Japan Japan 〃 100.0 100.0
〃 Shinhan Bank Vietnam Ltd. Vietnam 〃 100.0 100.0
〃 Banco Shinhan de Mexico Mexico 〃 99.9 99.9
〃 PT Bank Shinhan Indonesia Indonesia 〃 99.0 99.0
Shinhan Bank Japan SBJDNX Japan 〃 100.0 100.0
15
1. Reporting entity (continued)
(b) Ownership of Shinhan Financial Group and its major consolidated subsidiaries as of December 31, 2023 and
2022 are as follows (continued):
Date of Ownership (%)

financial December December
Investor Investee (*1) Location information 31, 2023 31, 2022
Shinhan Card Co., Ltd. Shinhan Credit Information Co., Ltd. Korea December 31 100.0 100.0
〃 LLP MFO Shinhan Finance Kazakhstan 〃 100.0 100.0
〃 PT. Shinhan Indo Finance Indonesia 〃 76.3 76.3
〃 Shinhan Microfinance Co., Ltd. Myanmar 〃 100.0 100.0
〃 Shinhan Vietnam Finance Co., Ltd. Vietnam 〃 100.0 100.0
Shinhan Securities Co.,
Ltd. Shinhan Securities America Inc. USA 〃 100.0 100.0
〃 Shinhan Securities Asia Ltd. Hong Kong 〃 100.0 100.0
SHINHAN SECURITIES VIETNAM
〃
CO., LTD. Vietnam 〃 100.0 100.0
〃 PT. Shinhan Sekuritas Indonesia Indonesia 〃 99.0 99.0
PT Shinhan Sekuritas PT. Shinhan Asset Management
Indonesia Indonesia Indonesia 〃 75.0 75.0
Shinhan Life Insurance
Co., Ltd. Shinhan Financial Plus Co., Ltd Korea 〃 100.0 100.0
〃 Shinhan LifeCare Co., Ltd.(*4) 〃〃 100.0 100.0
Shinhan Life Insurance Vietnam Co.,
〃 Ltd. Vietnam 〃 100.0 100.0
Shinhan Asset
Management Co., SHINHAN ASSET MGT HK,
Ltd. LIMITED Hong Kong 〃 100.0 100.0
Shinhan DS SHINHAN DS VIETNAM CO., LTD. Vietnam 〃 100.0 100.0
(*1) Subsidiaries such as trust, beneficiary certificate, special purpose company, partnerships and private equity fund
which are not actually operating their own business are excluded.
(*2) Shinhan AITAS Co., Ltd. has changed its name to Shinhan Fund Partners on April 3, 2023.
(*3) The major assets were sold to Shinhan Bank, a subsidiary company, in January 2024, and the liquidation process
is in progress.
(*4) Shinhan CubeOn Co., Ltd. has changed its name to Shinhan LifeCare Co., Ltd. on December 29, 2023.
16
1. Reporting entity (continued)
(c) Consolidated structured entities
Consolidated structured entities are as follows:
Consolidated
Category structured entities Description
Trust Shinhan Bank (including A trust is consolidated when the Group as a trustee is exposed to
development trust) and significant variable returns, if principle or interest amounts of the
17 others entrusted properties falls below guaranteed amount, the Group
should compensate it, and the Group has the ability to affect those
returns.
Asset-Backed Tiger Eyes 3 Co., Ltd. An entity for asset backed securitization is consolidated when the
Securitization and 224 others Group has sole decision-making authority to dispose assets or
change the conditions of the assets, and the Group is substantially
exposed to, or has rights to significant variable returns by
providing credit enhancement and purchases of subordinated
securities.
Structured SHPE Holdings One Co., An entity established for structured financing relating to real
Financing Ltd. estate, shipping, or mergers and acquisitions is consolidated,
when the Group has the greatest credit to the entity, has sole
decision-making authority of these Entities due to the entities
default, and is substantially exposed to, or has rights to significant
variable returns.
Investment Fund One Shinhan Future's An investment fund is consolidated, when the Group manages or
Fund and 165 others invests assets of the investment funds on behalf of other investors
as a collective investor or a business executive, or has the ability
to dismiss the manager of the investment funds, and is
substantially exposed to, or has rights to, the significant variable
returns.
(*) The Group provides ABCP purchase agreements and others of W8,616,163 million for the purpose of credit
enhancement of structured companies.
17
2. Basis of preparation
(a) Statement of compliance
The Group maintains its accounting records in Korean won and prepares statutory financial statements in the Korean
language (Hangul) in accordance with International Financial Reporting Standards as adopted by the Republic of
Korea (K-IFRS). The accompanying consolidated financial statements have been condensed, restructured and
translated into English from the Korean language financial statements.
Certain information attached to the Korean language financial statements, but not required for a fair presentation of
the Group's financial position, financial performance or cash flows, is not presented in the accompanying consolidated
financial statements.
The consolidated financial statements of the Group were authorized for issue by the Board of Directors on February
8, 2024. and the consolidated financial statements will be submitted for approval to the stockholders’ meeting to be
held on March 26, 2024.
(b) Basis of measurement
The consolidated financial statements have been prepared on the historical cost basis, except for the following material
items in the consolidated statement of financial position:
- derivative financial instruments measured at fair value

- financial instruments at fair value through profit or loss measured at fair value
- financial instruments at fair value through other comprehensive income measured at fair value
- liabilities for cash-settled share-based payment arrangements measured at fair value
- financial assets and liabilities designated as hedged items in a fair value hedge accounting of which changes in fair
value attributable to the hedged risk recognized in profit or loss
- liabilities for defined benefit plans recognized at the net of the total present value of defined benefit obligations
less the fair value of plan assets
(c) Functional and presentation currency
The respective financial statements of the Group entities are prepared in the functional currency of the economic
environment in which each individual company of group entities operate. These consolidated financial statements are
presented and reported in Korean won, which is the controlling company’s functional and presentation currency.
(d) Use of estimates and judgments
The preparation of the consolidated financial statements in conformity with K-IFRS requires management to make
judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of
assets, liabilities, income and expenses. If the estimates and assumptions based on management's best judgment as of
December 31, 2023 are different from the actual environment, these estimates and actual results may be different.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are
recognized in the period in which the estimates are revised and in any future periods affected.
Information about critical judgments in applying accounting policies that have a significant effect on the amounts
recognized in the consolidated financial statements and information about assumptions and estimation uncertainties
that might have a significant risk of resulting in a material adjustment within the next financial year are described in
Note 4.
In preparing these consolidated financial statements, the significant judgments made by management in applying the
Group’s accounting policies and the key sources of estimation uncertainties are the same as those that applied to the
consolidated financial statements as of and for the year ended December 31, 2022 except as explained below.
18
2. Basis of preparation (continued)
(e) Standards and amendments adopted by the Group
The Group has newly applied the following accounting policies upon preparation of the annual consolidated financial
statements from the beginning on January 1, 2023.
i) Amendments to K-IFRS 1117 ‘Insurance Contracts’
The main characteristics of K-IFRS 1117 are recognition of insurance revenue on an accrual basis, measurement of
insurance contract liabilities based on fulfilment cash flows, and presentation of insurance contracts income or
expenses, separately from investment income or expenses.
① Measurement of insurance contract liabilities based on fulfilment cash flows

The Group identifies a portfolio of insurance contracts consisting of contracts that are exposed to similar risks and are
managed together, and then separates the group of insurance contracts into similar profitable contracts within the
portfolio. It then estimates cash flows expected to occur within the boundaries of the insurance contract for each group
of insurance contracts and measures the insurance liability at current estimates of future cash flows expected to occur
in the fulfilment of the contract, reflecting the assumptions and risks on the reporting date.
As a result, insurance liabilities for each group of insurance contracts on the reporting date are measured as an estimate
of future cash flows (reflecting policy loans, cash flows related to options and guarantees, the time value of money,
etc.), risk adjustment and insurance margin.
The contractual service margin represents unrealized gains that will be recognized in the future as insurance services
are provided, and the negative (-) insurance margin is not to be recognized, but rather it is classified as onerous group
of insurance contracts and recognized in loss immediately. For contracts without direct participation features, the
Group adjusts the contractual service margin for the changes in fulfilment cash flows relating to future service,
measured at the discount rates determined on initial recognition, but does not adjust the contractual service margin for
effects of the time value of money, financial risk, and changes therein.
On the other hand, reinsurance contracts refer to insurance contracts issued by reinsurance companies to compensate
for claims arising from the underlying insurance contracts issued by other insurance companies. A group of
reinsurance contracts also applies a consistent assumption with the group of underlying insurance contracts when
estimating the present value of future cash flows for the group of underlying insurance contracts.
② Recognition of insurance revenue on an accrual basis
For insurance revenue, it is recognized during the accounting year on an accrual basis, with measurement of insurance
contracts with recognition of profit over the period that services are provided. Insurance revenue recognized for the
current period is an estimated amount at the beginning of the period, including premiums and expenses, changes in
risk adjustment, contractual service margin for services provided to the policyholder. Insurance revenue related to
insurance acquisition cash flows recognized as a systematic allocation of the premium portion related to the collection
of insurance acquisition cash flows. Any investment component (the amount an insurance contract requires the entity
to repay to a policyholder in all circumstances, regardless of whether an insured event occurs) is excluded from
insurance revenue.
③ Presentation of insurance income or expense
The Group chose an accounting policy that separates insurance revenue and insurance income or expense including
insurance service expense for presentation. Insurance finance income or expense, includes the time value of money,
financial risks, and the change effects thereof related from a group of insurance contracts, is recognized either profit
or loss or other comprehensive income during the period.
19
(e) Standards and amendments adopted by the Group (continued)
④ Accounting policy for transition and the transition effects

Based on the transition provisions of K-IFRS 1117, each group of insurance contracts shall be identified, recognized,
and measured (fully retrospective approach) as if this Standard had been applied. If the fully retrospective approach
is impractical, the Group can apply either the modified retrospective approach or the fair value approach to contracts.
The effects on the date of transition and the date of the initial application of the key changes in the Group’s financial
statements resulting from its adoption of K-IFRS 1117 are disclosed in Note 52.
ii) Amendments to K-IFRS 1001 'Presentation of Financial Statements' – Disclosure of Accounting Policies
The amendments define material accounting policy information and require disclosure of material accounting policy
information. The amendments do not have a significant impact on the consolidated financial statements.
iii) Amendments to K-IFRS 1001 'Presentation of Financial Statements'– Disclosure of gains or losses on valuation
of financial liabilities with variable exercise price
The amendments require disclosure of the carrying amount of financial liabilities and the related gain or loss, if all
or part of financial instruments with exercise price that is adjusted depending on the issuer’s share price change is
classified as financial liabilities. The amendments do not have a significant impact on the consolidated financial
statements.
iv) Amendments to K-IFRS 1008 ‘Accounting Policies, Changes in Accounting Estimates and Errors’– Definition of
Accounting Estimates
The amendments define accounting estimates and clarify the way to distinguish changes in accounting policies from
changes in accounting estimates. The amendments do not have a significant impact on the consolidated financial
statements.
20
(e) Standards and amendments adopted by the Group (continued)
v) Amendments to K-IFRS 1012 ‘Income Taxes’- Global minimum corporate tax
Under the Global Minimum Corporate Tax Act, effective from 2024, the Group may be required to pay additional
taxes on the difference between the effective tax rate and the minimum tax rate of 15% for each unit of jurisdiction in
which each constituent company belongs. The Group believes that it will be subject to the Global Minimum Corporate
Tax Act, but it does not affect current income tax costs as of the end of the reporting period because Korea's global
minimum tax-related tax law will take effect on January 1, 2024. The Group also applies the temporary exception to
deferred tax in K-IFRS No. 1012, which does not recognize deferred tax assets and liabilities related to the Global
Minimum Corporate Tax Act and does not disclose information related to deferred tax.
vi) Amendments to K-IFRS 1012 ‘Income Taxes’- Deferred Tax related to Assets and Liabilities arising from a Single
Transaction
The amendments add a requirement to the initial recognition exemption by requiring entities to recognize the deferred
tax on transactions that give rise to equal amounts of taxable and deductible temporary differences. The amendments
will not have a significant impact on the consolidated financial statements.
21
3. Material accounting policies
Material accounting policies applied by the Group upon the preparation of consolidated financial statements under
K-IFRS are described below, and consolidated financial statements for the year ended December 31, 2023 and
comparative periods were prepared using the same accounting policy, except for changes in accounting policy
described in the Note 2.
(a) Operating segments
The Group has divided the segments based on internal reports reviewed periodically by the top sales decision maker
to make decisions about the resources allocated to the segments and evaluate their performance. There are six
reporting segments as described in Note 8. The reporting segments are operated separately according to the nature
of the goods and services provided and the organizational structure of the Group.
The segment reported to the Chief Executive Officer (“CEO”) includes items directly attributable to a segment as
well as those that can be allocated on a reasonable basis.
It is the CEO’s responsibility to evaluate the resources to be distributed to the business and the performance of the
business, and to make strategic decisions.
(b) Basis of consolidation
i) Subsidiaries
If an entity of the Group uses accounting policies other than those adopted in the consolidated financial statements
for the same transactions and events in similar circumstances, appropriate adjustments are made to its financial
statements in preparing the consolidated financial statements.
ii) Structured entity
The Group establishes or invests in various structured entities. Considering the terms and conditions of the
arrangement in which the structured entity was established, the entity is included in the consolidated entities if it is
determined that the Group obtains gains and losses from the operations thereof, and the Group has the ability to direct
the activities of the entity that can most significantly affect these gains and losses. The Group does not recognize any
non-controlling interests as equity in relation to structured entities in the consolidated statements of financial position
since the non-controlling interests in these entities are recognized as liabilities of the Group.
iii) Intra-group transactions eliminated on consolidation
Intra-group balances, transactions, and any unrealized income and expenses arising from intra-group transactions are
eliminated in preparing the consolidated financial statements. Unrealized intra-group losses are recognized as
expense if intra-group losses indicate an impairment that requires recognition in the consolidated financial statements.
iv) Non-controlling interests
Non-controlling interests in a subsidiary are accounted for separately from the parent’s ownership interests in a
subsidiary. Each component of net profit or loss and other comprehensive income is attributed to the owners of the
parent and non-controlling interest holders, even when the non-controlling interests balance is reduced to below zero.
22
3. Material accounting policies (continued)
(c) Business combinations
i) Business combinations
A business combination is accounted for by applying the acquisition method, unless it is a combination involving
entities or businesses under common control.
Each identifiable asset or liability is measured at its acquisition-date fair value except for below:
- Leases are required to be classified based on the contractual terms and other factors
- Only those contingent liabilities assumed in a business combination that are a present obligation and can be
measured reliably are recognized
- Deferred tax assets or liabilities are recognized and measured in accordance with K-IFRS No.1012, ‘Income Taxes’
- Employee benefit arrangements are recognized and measured in accordance with K-IFRS No.1019, ‘Employee
Benefits’
- Compensation assets are recognized and measured on the same basis as the items subject to compensation
- Reacquired rights are measured in accordance with special provisions
- Liabilities or equity instruments related to share-based payment transactions are measured in accordance with the
method in K-IFRS No.1102, ‘Share-based Payment’
- Non-current assets held for sale are measured at fair value less costs to sell in accordance with K-IFRS No.1105,
‘Non-current Assets Held for Sale and Discontinued Operations’
As of the acquisition date, non-controlling interests in the acquired are measured as the non-controlling interests'
proportionate share of the acquirer’s identifiable net assets.
23
(d) Investments in associates and joint ventures
An associate is an entity in which the Group has significant influence, but not control, over the entity’s financial and
operating policies. Significant influence is presumed to exist when the Group holds between 20 and 50 percent of
the voting power of another entity.
A joint venture is a joint arrangement whereby the parties that have joint control of the arrangement have rights to
the net assets of the arrangement. Joint control is the contractually agreed sharing of control of an arrangement, which
exists only when decisions about the relevant activities require the unanimous consent of the parties sharing control.
The investment in an associate and a joint venture is initially recognized at cost, and the carrying amount is increased
or decreased to recognize the Group’s share of the profit or loss and changes in the investments of the associate and
the joint venture after the date of acquisition. Intra-group balances and transactions, and any unrealized income and
expenses arising from intra-group transactions, are eliminated the Group's stake in preparing the consolidated
financial statements. Unrealized losses are also being derecognized unless the transaction provides evidence of an
impairment of the transferred assets.
If an associate or a joint venture uses accounting policies different from those of the Group for transactions and
events in similar circumstances, appropriate adjustments are made to its financial statements in applying the equity
method.
When the carrying amount of that interest, including any long-term investments, is reduced to nil, the recognition of
further losses is discontinued except to the extent that the Group has an obligation or has to make payments on behalf
of the investee for further losses.
(e) Cash and cash equivalents
The Group classifies cash balances, call deposits and highly liquid investment assets with original maturities of three
months or less from the acquisition date that are easily converted into a fixed amount of cash, and are subject to an
insignificant risk of changes in their fair value as cash and cash equivalents.
24
(f) Non-derivative financial assets
Financial assets are recognized in the consolidated statement of financial position when the Group becomes a party
to the contract. In addition, a standardized purchase or sale (a purchase or sale of a financial asset under a contract
whose terms require delivery of the asset within the time frame established generally by regulation or convention in
the market concerned) is recognized on the trade date.
i) Financial assets designated at FVTPL
Financial assets can be irrevocably designated as measured at FVTPL despite of classification standards stated below,
if doing so eliminates or significantly reduces an accounting mismatch that would otherwise arise from measuring
assets or liabilities or recognizing the gains or losses on them on different bases. However, once the financial assets
are designated at FVTPL, it is irrevocable.
ii) Equity instruments
For the equity instruments that are not held for short-term trading, at initial recognition, the Group may make an
irrevocable election to present subsequent changes in fair value in other comprehensive income. Equity instruments
that are not classified as financial assets at Fair Value through Other Comprehensive Income (“FVOCI”) are classified
as financial assets at FVTPL.
The Group subsequently measures all equity investments at fair value. Valuation gains or losses of the equity
instruments that are classified as financial assets at FVOCI previously recognized as other comprehensive income is
not reclassified as profit or loss on recognition. The Group recognizes dividends in profit or loss when the Group’s
right to receive payments of the dividend is established.
Valuation gains or losses due to changes in fair value of the financial assets at FVTPL are recognized in the
consolidated statement of comprehensive income gains or losses on financial assets at FVTPL. Impairment loss
(reversal) on equity instruments at FVOCI is not recognized separately.
iii) Debt instruments
Subsequent measurement of debt instruments depends on the Group’s business model in which the asset is managed
and the contractual cash flow characteristics of the asset. Debt instruments are classified as financial assets at
amortized cost, at FVOCI, or at FVTPL. Debt instruments are reclassified only when the Group’s business model
changes.
① Financial assets at amortized cost
Assets that are held within a business model whose objective is to hold assets to collect contractual cash flows where
those cash flows represent solely payments of principal and interest are measured at amortized cost. A gain or loss
on a financial asset measured at amortized cost that is not subject to a hedging relationship is recognized in profit or
loss when the financial asset is derecognized or impaired. Interest income on the effective interest method is included
in the ‘Interest income’ in the consolidated statement of comprehensive income.
25
(f) Non-derivative financial assets (continued)
② Financial assets at FVOCI
Assets that are held within a business model whose objective is achieved by both collecting contractual cash flows
and selling financial assets and, where the assets’ cash flows represent solely payments of principal and interest, are
measured at FVOCI. Other than (reversal of) impairment losses, interest income, foreign exchange differences, gains
or losses of the financial assets at FVOCI are recognized as other comprehensive income in equity. On removal,
gains or losses accumulated in other comprehensive income are reclassified to profit or loss. The interest income on
the effective interest method is included in the ‘Interest income’ in the consolidated statement of comprehensive
income. Foreign exchange differences and impairment losses are included in the ‘Net foreign currency transaction
gain’ and ‘Provision for credit losses allowance’ in the consolidated statement of comprehensive income, respectively.
③ Financial assets at FVTPL
Debt securities other than financial assets at amortized costs or FVOCI are classified at FVTPL. Unless hedge
accounting is applied, gains or losses from financial assets at FVTPL are recognized as profit or loss and are included
in ‘Net gain (loss) on financial assets at fair value through profit or loss’ in the consolidated statement of
comprehensive income.
iv) Embedded derivatives
Financial assets with embedded derivatives are classified regarding the entire hybrid contract, and the embedded
derivatives are not separately recognized. The entire hybrid contract is considered when it is determined whether the
contractual cash flows represent solely payments of principal and interest.
26
(g) Derivative financial instruments
Derivatives are initially recognized at fair value. Subsequent to initial recognition, derivatives are measured at fair
value, and changes therein are accounted for as described below.
i) Hedge accounting
The Group holds forward exchange contracts, interest rate swaps, currency swaps and other derivative contracts to
manage interest rate risk and foreign exchange risk. The Group designated derivatives as hedging instruments to
hedge the risk of changes in the fair value of assets, liabilities or firm commitments (a fair value hedge) and foreign
currency risk of highly probable forecasted transactions or firm commitments (a cash flow hedge).
On initial designation of the hedge, the Group formally documents the relationship between the hedging instrument(s)
and hedged item(s), including the risk management objectives and strategy in undertaking the hedge transaction. In
addition, this document describes the hedging instrument, hedged item, and the method of evaluating the effect of
the hedging instrument offsetting changes in the fair value or cash flow of the hedged item due to the hedged risk at
the initiation of the hedging relationship and in subsequent periods.
① Fair value hedge
Changes in the fair value of a derivative hedging instrument designated as a fair value hedge are recognized in profit
or loss. The gain or loss from remeasuring the hedging instrument at fair value for a derivative hedging instrument
and the gain or loss on the hedged item attributable to the hedged risk are recognized in profit or loss in the same line
item of the separate statement of comprehensive income.
The Group discontinues fair value hedge accounting if the hedging instrument expires or is sold, terminated or
exercised, or if the hedge no longer meets the criteria. Any adjustment arising from G/L on the hedged item attributable
to the hedged risk is amortized to profit or loss from the date the hedge accounting is discontinued.
② Cash flow hedge
When a derivative is designated to hedge the variability in cash flows attributable to a particular risk associated with
a recognized asset or liability or a highly probable forecasted transaction that could affect profit or loss, the effective
portion of changes in the fair value of the derivative is recognized in other comprehensive income, net of tax, and
presented in the hedging reserve in equity. Any ineffective portion of changes in the fair value of the derivative is
recognized immediately in profit or loss.
If the hedging instrument no longer meets the criteria for hedge accounting, expires or is sold, terminated, exercised,
or the designation is revoked, then hedge accounting is discontinued prospectively. The cumulative gain or loss on
the hedging instrument that has been recognized in other comprehensive income is reclassified to profit or loss in the
periods during which the forecasted transaction occurs. If the forecasted transaction is no longer expected to occur,
then the balance in other comprehensive income is recognized immediately in profit or loss.
③ Net investment hedge
The portion of the change in fair value of a financial instrument designated as a hedging instrument that meets the
requirements for hedge accounting for a net investment in a foreign operation is recognized in other comprehensive
income and the ineffective portion of the hedge is recognized in profit or loss. The portion recognized as other
comprehensive income that is effective as a hedge is recognized in the statement of comprehensive income as a result
of reclassification adjustments in accordance with K-IFRS No. 1021, "Effect of Changes in Foreign Exchange Rates"
at the time of disposing of its overseas operations or disposing of a portion of its overseas operations to profit or loss.
27
(g) Derivative financial instruments (continued)
ii) Other derivative financial instruments
All derivatives except those designated as hedging instruments and are effective in hedging are measured at fair value.
Changes in the fair value of other derivative financial instrument not designated as a hedging instrument are
recognized immediately in profit or loss.
iii) Gains and losses on initial recognition
Any difference between the fair value of over the counter derivatives at initial recognition and the amount that would
be determined at that date using a valuation technique in a situation in which the valuation is dependent on
unobservable parameters is not recognized in profit or loss but is deferred, and the deferred gains and losses on initial
transaction are depreciated on a straight-line basis over the life of the instrument or the remainder is recognized in
profit or loss immediately when the fair value becomes observable.
(h) Expected credit losses of financial assets
Except for financial assets measured at fair value through profit or loss, financial assets measured at amortized cost
and financial assets measured at fair value through other comprehensive income are assessed for expected credit
losses at the end of each reporting period and recognized as loss allowance. Financial assets migrate through the
following three stages based on the change in credit risk since initial recognition and allowance for credit loss for
the financial assets are measured at the 12-month expected credit losses (“ECL”) or the lifetime ECL, depending on
the stage.
Category Allowance for credit loss

STAGE 1 When credit risk has not increased 12-months ECL: the ECL associated with the probability of
significantly since the initial default events occurring within the next 12 months
recognition
STAGE 2 When credit risk has increased Lifetime ECL: a lifetime ECL associated with the probability
significantly since the initial of default events occurring over the remaining lifetime
recognition
STAGE 3 When assets are impaired Same as above
The Group, meanwhile, only recognizes the cumulative changes in lifetime expected credit losses since the initial
recognition as an allowance for credit loss for purchased or originated credit-impaired financial assets.
The total period refers to the expected life span of the financial instrument up to the contract expiration date.
28
(h) Expected credit losses of financial assets (continued)
i) Reflection of forward-looking information
The Group reflects forward-looking information when measuring expected credit losses. Assuming that the
measurement factor of expected credit losses has a certain correlation with economic fluctuations, the expected credit
losses are calculated by reflecting forward-looking information through modeling between macroeconomic variables
and measurement factors.
ii) Measurement of expected credit loss of financial assets at amortized cost
The expected credit loss of amortized financial assets is measured as the difference between the present value of the
cash flows expected to be received and the cash flow to be received in accordance with loan agreements. For this
purpose, the Group calculates expected cash flows for individually significant financial assets. For financial assets
that are not individually significant, the Group collectively measures the expected credit losses thereof with similar
credit risk characteristics.
Expected credit losses are deducted from financial assets at amortized cost using ACL, which are written off along
with the assets if the assets are not recoverable. The allowance for credit loss is increased when the written-off loan
receivables are subsequently collected, and the changes in the allowance for credit loss are recognized in profit or loss.
iii) Measurement of estimated credit loss of financial assets at FVOCI
The calculation of expected credit loss of financial assets at FVOCI is the same as for financial assets measured at
amortized cost, but changes in allowance for credit loss are recognized in other comprehensive income. In the case of
disposal and redemption of financial assets at FVOCI, the allowance for credit loss is reclassified from other
comprehensive income to profit or loss and recognized in profit or loss.
(i) Property and equipment
Land is not depreciated. Other property and equipment are depreciated on a straight-line basis over the estimated
useful lives for the acquisition cost after deduction of the residual value. The estimated useful lives for the current and
comparative periods are as follows:
Descriptions Useful lives

Buildings 40~50 years
Other properties 4~5 years
29
(j) Intangible assets
Intangible assets are measured initially at cost and, subsequently, are carried at cost less accumulated amortization
and accumulated impairment losses.
Amortization of intangible assets except for goodwill is calculated on a straight-line basis over the estimated useful
lives of intangible assets as shown below, from the date that they are available for use. The residual value of intangible
assets is zero. However, if there are no foreseeable limits to the periods over which certain intangible assets are
expected to be available for use, they are determined to have indefinite useful lives and are not amortized.
Descriptions Useful lives

Software 5 years
Capitalized development cost 5 years
Other intangible assets 5 years or contract periods
(k) Investment properties
An investment property is initially recognized at cost including any directly attributable expenditure. Subsequent to
initial recognition, the asset is measured at cost less accumulated depreciation and accumulated impairment losses, if
any.
The depreciation method and the estimated useful lives for the current and comparative periods are as follows:
Descriptions Useful lives Depreciation method

Buildings 40 years Straight-line
30
(l) Leases
i) Accounting treatment as the lessee
The Group leases various tangible assets, such as real estate and vehicles, and each of the lease contract is negotiated
individually and includes a variety of terms and conditions. There are no other restrictions imposed by the lease
contracts, but the lease assets cannot be provided as collaterals for borrowings.
At the commencement date of the lease, the Group recognizes the right-of-use assets and the lease liabilities. Each
lease payment is allocated to payment for the principal portion of the lease liability and financial costs. The Group
recognizes in profit or loss the amount calculated to produce a constant periodic rate of interest on the lease liability
balance for each period as financial costs. Right-of-use assets are depreciated using a straight-line method from the
commencement date over the lease term.
If internal rate of return from in the lease is readily determined, the lease payments are discounted by the rate; if the
rate is not readily determined, the lessee’s incremental borrowing rate is used.
The cost of the right-of-use assets comprise:
- The amount of the initial measurement of the lease liability

- Any lease payments made at or before the commencement date (less any lease incentives received)
- Any initial direct costs incurred by the lessee
- An estimate of costs to be incurred by the lessee in dismantling and removing the underlying asset, restoring the
site on which it is located or restoring the underlying asset to the condition required by the terms and conditions of
the lease
Lease payments related to short-term leases or low-value assets are recognized as current expenses over the lease term
using the straight-line method. A short-term lease is a lease that has a lease term of 12 months or less, and the low-
value assets lease is a lease of which the underlying asset value is not more than W6 million.
Additional considerations for the Group when accounting for lessees include:
Extension and termination options are included in a number of real estate lease contracts of the Group. In determining
the lease term, management considers all relevant facts and circumstances that create an economic incentive not to
exercise the options. The periods covered by, a) an option to extend the lease if the lessee is reasonably certain to
exercise that option, or b) an option to terminate the lease if the lessee is reasonably certain not to exercise that option,
is included when determining the lease term. The Group reassesses whether the Group is reasonably certain to exercise
the extension option, or not to exercise a termination option, upon the occurrence of either a significant event or a
significant change in circumstances that is within the control of the lessee, and affects whether the lessee is reasonably
certain to exercise an option not previously included in its determination of the lease term, or not to exercise an option
previously included in its determination of the lease term.
31
(l) Leases (continued)
ii) Accounting treatment as the lessor
The Group leases out to lessee various tangible assets, including vehicles under operating and finance lease contracts,
and each of the lease contract is negotiated individually and includes a variety of terms and conditions. The risk
management method for all rights held by the Group in the underlying assets includes repurchase agreements, residual
value guarantees, etc.
① Finance leases
The Group recognizes them as a receivable at an amount equal to the net investment in the lease, and the difference
from the carrying amount of the leasing asset as of the commencement date is recognized as profit or loss from disposal
of the lease asset. In addition, interest income is recognized by applying the effective interest method for the amount
of the Group's net investment in finance leases. Lease-related direct costs are included in the initial recognition of
financial lease receivables and are accounted for in a way that reduces the revenue for the lease term.
② Operating leases
The Group recognizes the lease payments as income on straight-line basis, and adds the lease initial direct costs
incurred during negotiation and contract phase of the operating lease to the carrying amount of the underlying asset.
In addition, the depreciation policy of operating lease assets is consistent with the Group’s depreciation policy of other
similar assets.
32
(m) Impairment of non-financial assets
The carrying amounts of the Group’s non-financial assets, other than assets arising from employee benefits, deferred
tax assets and non-current assets held for sale, are reviewed at the end of the reporting period to determine whether
there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated.
Goodwill and intangible assets that have indefinite useful lives or that are not yet available for use, irrespective of
whether there is any indication of impairment, are tested for impairment annually by comparing their recoverable
amount to their carrying amount.
The Group estimates the recoverable amount of an individual asset, and if it is impossible to measure the individual
recoverable amount of an asset, then the Group estimates the recoverable amount of cash-generating unit (“CGU”).
The recoverable amount of an asset or a CGU is the greater of its value in use and its fair value less costs to sell. The
value in use is estimated by applying a pre-tax discount rate that reflects current market assessments of the time value
of money and the risks specific to the asset or the CGU for which estimated future cash flows have not been adjusted,
to the estimated future cash flows expected to be generated by the asset or the CGU.
An impairment loss is recognized if the carrying amount of an asset or a CGU exceeds its recoverable amount.
Impairment losses are recognized in profit or loss.
Goodwill acquired in a business combination is allocated to each CGU that is expected to benefit from the synergies
arising from the goodwill acquired. Any impairment identified at the CGU level will first reduce the carrying amount
of goodwill and then be used to reduce the carrying amount of the other assets in the CGU on a pro rata basis.
Impairment losses of goodwill cannot be reversed in the subsequent period. For other assets than goodwill, at the
end of each reporting period, the Group reviews whether there is any indication that the impairment loss for those
assets that was previously recognized no longer exists or has decreased, and reverses the impairment loss only if
there is a change in the estimate used to determine the recoverable amount after the recognition of the impairment
loss. The increased carrying amount of an asset attributable to a reversal of an impairment loss shall not exceed the
carrying amount that would have been determined (net of amortisation or depreciation) had no impairment loss been
recognised for the asset in prior years.
(n) Non-derivative financial liabilities
The Group recognizes financial liabilities in the consolidated statement of financial position when the Group becomes
a party to the contractual provisions of the financial liability in accordance with the substance of the contractual
arrangement and the definitions of financial liabilities.
Transaction costs on the financial liabilities at FVTPL are recognized in profit or loss as incurred.
i) Financial liabilities designated at FVTPL
Financial liabilities can be irrevocably designated as measured at FVTPL if doing so eliminates or significantly
reduces an accounting mismatch that would otherwise arise from measuring assets or liabilities or recognizing the
gains and losses on them on different bases, or a group of financial instruments is managed and its performance is
evaluated on a fair value basis, in accordance with a documented risk management or investment strategy. The
amount of change in the fair value of the financial liabilities designated at FVTPL that is attributable to changes in
the credit risk of that liabilities shall be presented in other comprehensive income.
ii) Financial liabilities at FVTPL
Since initial recognition, financial liabilities at FVTPL are measured at fair value, and changes in the fair value are
recognized as profit or loss.
33
(n) Non-derivative financial liabilities (continued)
iii) Other financial liabilities
Non-derivative financial liabilities other than financial liabilities at fair value through profit or loss are classified as
other financial liabilities, and other financial liabilities include deposits, borrowings, debt securities and etc. At the
date of initial recognition, other financial liabilities are measured at fair value minus transaction costs that are directly
attributable to the acquisition. Subsequent to initial recognition, other financial liabilities are measured at amortized
cost using the effective interest method.
The Group derecognizes a financial liability from the consolidated statement of financial position when it is
extinguished (i.e. when the obligation specified in the contract is discharged, cancelled or expires).
(o) Foreign currency
The assets and liabilities of foreign operations, whose functional currency is not the currency of a hyperinflationary
economy, are translated to presentation currency at exchange rates at the reporting date. The income and expenses of
foreign operations are translated to functional currency at exchange rates at the dates of the transactions. Foreign
currency differences are recognized in other comprehensive income.
(p) Equity capital
i) Hybrid bonds
The Group classifies an issued financial instrument, or its component parts, as a financial liability or an equity
instrument depending on the substance of the contractual arrangement of such financial instrument. Hybrid bonds
where the Group has an unconditional right to avoid delivering cash or another financial asset to settle a contractual
obligation are classified as an equity instrument and presented in equity. Hybrid bonds issued by subsidiaries of the
Group are classified as non-controlling interests according to this classification criteria. In addition, distributions paid
are treated as net income attributable to non-controlling interests in the consolidated statement of comprehensive
income.
ii) Capital adjustment
The effect of changes in ownership interests in subsidiaries that do not lose control over the equity attributable to
owners of the parent is included in capital adjustments.
34
(q) Employee benefits
i) Short-term employee benefits
Short-term employee benefits are employee benefits that are due to be settled within 12 months after the end of the
period in which the employees render the related service. When an employee has rendered service to the Group during
an accounting period, the Group recognizes the undiscounted amount of short-term employee benefits expected to be
paid in exchange for that service.
ii) Other long-term employee benefits
The Group’s net obligation in respect of other long-term employee benefits that are not expected to be settled wholly
before 12 months after the end of the annual reporting period in which the employees render the related service, is the
amount of future benefit that employees have earned in return for their service in the current and prior periods. That
benefit is discounted to determine its present value. Remeasurements are recognized in profit or loss in the period in
which they arise.
iii) Retirement benefits: defined benefit plans
For the year ended December 31, 2023, defined benefit liabilities related to the defined benefit plan are recognized by
deducting the fair value of external reserve from the present value of the defined benefit plan debt.
Defined benefit liabilities are calculated annually by independent actuaries using the predicted unit credit method. If
the net present value of the defined benefit obligation less the fair value of the plan assets is an asset then the present
value of the economic benefits available to the entity in the form of a refund from the plan or a reduction in future
contributions to the plan.
(r) Provisions
Provisions are recognized when the Group has a present legal or constructive obligation as a result of a past event, it
is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a
reliable estimate can be made of the amount of the obligation.
The risks and uncertainties that inevitably surround many events and circumstances are taken into account in reaching
the best estimate of a provision. Where the effect of the time value of money is material, provisions are determined at
the present value of the expected future cash flows.
Provisions are reviewed at the end of each reporting period and adjusted to reflect the current best estimate. If it is no
longer probable that an outflow of resources embodying economic benefits will be required to settle the obligation,
the provision is reversed.
Provisions shall be used only for expenditures for which the provisions are originally recognized.
35
(s) Financial guarantee contract
A financial guarantee contract is a contract that requires the Group to make specified payments to reimburse the holder
for a loss it incurs because a specified debtor fails to make payment when due in accordance with the original or
modified terms of a debt instrument.
Financial guarantee contracts are recognized initially at their fair value, and the initial fair value is amortized over the
life of the financial guarantee contract.
After initial recognition, financial guarantee contracts are measured at the higher of:
- Loss allowance in accordance with K-IFRS No.1109, ‘Financial Instruments’
- The amount initially recognized less, when appropriate, the cumulative amount of income recognized in
accordance with the principles of K-IFRS No.1115, ‘Revenue from Contracts with Customers’
(t) Insurance contracts
i) Definition and classification of insurance contracts
The Group classifies the insurance contract issued as an insurance contract when assuming significant insurance risk
from the policyholder, regardless of its legal form. It is classified as an insurance contract if, based on present value,
there is a potential loss exposure and if, under any commercially plausible scenario, significant additional payments
(determined on a present value basis) would be required to the policyholder. The assessment of assuming significant
insurance risk is performed for each contract at the time of issuance. For reinsurance contracts, they are classified as
insurance contracts when transferring significant insurance risk to the reinsurer. Additionally, contracts with
discretionary participation features are also classified as insurance contracts.
ii) Recognition and measurement of insurance liabilities (assets) and reinsurance assets (liabilities)
① Accounting unit
The Group identifies insurance contract portfolios by integrating insurance contracts that are exposed to similar risks
and managed together based on coverage, currency, and interest rate types. The Group divides a portfolio of insurance
contracts issued into the following groups of insurance contracts based on similarity of profitability. However, for
insurance contracts applying the premium allocation approach, it assumes that there is onerous insurance contract (or
net loss contract for reinsurance contracts held) at the initial recognition unless evidence suggests otherwise.
A group of insurance contracts issued

- A group of contracts that are onerous at initial recognition.
- A group of contracts that at initial recognition have no significant possibility of becoming onerous subsequently
- A group of the remaining contracts
A group of reinsurance contracts held

- A group of contracts with net profits at initial recognition.
- A group of contracts that at initial recognition have possibility of having net profits subsequently
- A group of the remaining contracts
The Group does not include contracts with a difference in issuance dates exceeding one year in the same group of
insurance contracts issued, and it does not reassess the composition of the group subsequently.
36
(t) Insurance contracts (continued)
ii) Recognition and measurement of insurance liabilities (assets) and reinsurance assets (liabilities)(continued)
② Recognition of a group of insurance contracts issued
The Group shall recognize a group of insurance contracts it issues from the earliest of the following:
- The beginning of the coverage period of the group of contracts;
- The date when the first payment from a policyholder in the group becomes due (If there is no contractual payment
due date, the time the first premium is received is considered that date); and
- For a group of onerous contracts, when the group becomes onerous.
The Group recognizes a group of reinsurance contracts held at the beginning of the coverage period of the group of
insurance contracts held. However, in the case of proportional reinsurance, if the group of underlying contracts is a
group of onerous contract and the group of reinsurance contracts held is concluded at or before the time when the
group of underlying contracts is recognized, the Group recognizes a group of reinsurance contracts held at the earlier
of the beginning of the coverage period of the group of reinsurance contracts held or the recognition time of the group
of underlying insurance contracts which is the onerous contract for the current year. In addition, in the case of
proportional reinsurance, the Group recognizes the group of reinsurance contracts held at the time of initial recognition
of the group of underlying insurance contracts, if the initial recognition time of the group of underlying insurance
contracts is later than the beginning of the coverage period of the group of reinsurance contracts held.
③ Measurement of insurance liabilities (assets) and reinsurance assets (liabilities) under the general model
At the time of initial recognition, the Group measures a group of insurance contracts issued as the sum of fulfillment
cash flows (estimates of future cash flows, adjustments to the time value of money related to financial risks to future
cash flows, and risk adjustments to non-financial risks) and contractual service margin, and subsequently, as the sum
of The liability for remaining coverage or assets (fulfillment cash flow and contractual service margin) and incurred
accident liabilities or assets (fulfillment cash flow). The liability for remaining coverage includes the obligation to
investigate and pay reasonable insurance benefits according to the current insurance contract for insurance events that
have not yet occurred, the obligation to pay amounts related to insurance contract services that have not yet been
provided, the obligation to pay amounts related to insurance contract services that have not yet been provided, and
represents the obligation to pay investment elements and other amounts that have not been transferred to incurred
liability. The liability for incurred claims comprises the obligation to investigate insurance events that have already
occurred and pay reasonable insurance premiums and other incurred insurance costs, the obligation to pay amounts
related to insurance contract services already provided, and obligation to pay investment elements and other amounts
not related to insurance contract services and not included in the liability for remaining coverage.
37
③ Measurement of insurance liabilities (assets) and reinsurance assets (liabilities) under the general model(continued)
- The estimate of future cash flows

The Group estimates future cash flows using a probability-weighted average based on all relevant, reliable, and neutral
information available without undue cost or effort regarding the timing, scope, and uncertainty of future cash flows.
Estimates for market variables are consistent with observable market prices and reflect the perspective of the entity,
while estimates for non-market variables incorporate all reasonable and reliable internal and external evidence
available without undue cost or effort, while ensuring consistency with observable market variables. The Group
segregates the future cash flows of reinsurance contracts held from those of the underlying insurance contracts issued
and measures them separately, using assumptions consistent with the underlying insurance contracts issued but
including the effect of risk of non-performance by the issuer of the reinsurance contract.
- Future cash flows within the boundary of the contract

The Group includes all future cash flows within the boundary of a group of insurance contracts issued when measuring
the group. Cash flows within the boundary of the contract refer to cash flows up to the reporting period in which there
exists a substantive right or obligation to compel the policyholder to pay premiums (or compel the reinsurer to pay
reinsurance premiums for a group of reinsurance contracts held) or to provide substantive services under the insurance
contract (or receive substantive services from the reinsurer for a group of reinsurance contracts held).
Cash flows within the boundary of the contract include premiums from policyholders, claims and benefits payable to
policyholders (including payments linked to underlying items), insurance claim handling expenses, undivided options
and guarantees-related cash flows, insurance acquisition cash flows directly attributable to the contract or its portfolio,
fixed/variable indirect expenses directly attributable to fulfilling the insurance contract, costs related to investment
activities and the provision of investment return services/investment-related services, insurance policy loans, etc; and
excludes investment income or future insurance-related cash flows, product development expenses, and training
expenses not directly attributable to the insurance contract portfolio.
The substantive obligations to provide insurance contract services (or the substantive right to receive insurance
contract services for a group of reinsurance contracts held) ends when there is the practical ability to reassess the risks
of the particular policyholder or the risks of the portfolio of insurance contracts(the risk transferred to reinsurance
company for a group of reinsurance contracts held), and, as a result, to fully reflect such risks in pricing or settlement;
during the reassessment of portfolio pricing, the risks related to periods after the reassessment date is not considered.
The Group reassesses the boundary of the contract at the end of each reporting period to reflect changes in
circumstances affecting substantive rights and obligations.
- Discretionary cash flows
The Group identifies and distinguishes the effects of discretionary cash flow variations, which pertain to amounts or
timing of cash flows subject to discretion, and the effects of changes in assumptions related to financial risks on the
recognition, separately. Any impact of changes in discretion on recognition is adjusted in contractual service margin.
The Group considers any adjustment rate applied to the disclosed benchmark rate as discretionary when applying the
disclosed interest rate to payments to policyholders.
38
- Insurance acquisition cash flows

The Group allocates insurance acquisition cash flows directly attributable to the insurance contract portfolio to the
group of insurance contracts issued in the portfolio and to the group of future insurance contracts that will be
recognized upon renewal of the insurance contracts included in the group in a reasonable and systematic manner.
Insurance acquisition cash flows recognized as assets after distribution are assessed for recoverability at the end of
each reporting period if the fact and circumstances exist that the asset is impaired. If an impairment loss is identified,
it is recognized in profit or loss for the current period and insurance acquisition cash flow assets and adjusted to the
carrying amount of insurance acquisition cash flow assets. Insurance acquisition cash flow assets are derecognized
when the related group of contracts is initially recognized and are included in the fulfilment cash flow measurement
for that group of contracts.
- Discount rate
The Group measures the time value of money using a discount rate that reflects the cash flow and liquidity
characteristics of insurance contracts while being consistent with current observable market prices and then adjusts
future cash flow estimates. To do this, the Group calculates a risk-free interest rate term structure using the Smith-
Wilson interpolation method, incorporating yields on government bonds with maturities observed in the market up
to the longest term available, along with initial convergence periods and long-term forward interest rates. Liquidity
premiums are then added to determine deterministic scenarios. The liquidity premium is derived by multiplying an
adjustment ratio to the difference between the risk spread of the representative insurance industry portfolio and the
credit risk spread. Additionally, the Group generates 1,000 stochastic scenarios based on this deterministic scenario,
reflecting convergence speed parameters and volatility parameters. Deterministic and stochastic scenarios for foreign
currencies are calculated separately from scenarios for Korean Won, taking into account the characteristics of each
currency.
- The adjustment for non-financial risk

The Group explicitly reflects between estimated future cash flows and discount rates, reflecting the compensation of
the uncertainty surrounding the amounts and timing of cash flows arising from non-financial risks through
adjustments for non-financial risk. These adjustments are made in accordance with insurance regulations and are
allocated at the individual contract level through reasonable and systematic methods. For reinsurance contracts held,
adjustments for non-financial risk are calculated to reflect the risk transferred from the holder of the reinsurance
contract to the reinsurer, consistent with the assumptions applied in the underlying insurance contracts issued.
- Contractual service margin

At the time of initial recognition of a group of insurance contracts issued, the Group measures the contractual service
margin, which is unrealized profit that will be recognized as insurance contract services are provided in the future,
as the amount that does not generate revenue or expenses from:
ⅰ) The amount of fulfillment cash flows expected at initial recognition date for the group of insurance contracts issued.
ⅱ) All cash flows already incurred from contracts within the group at the initial recognition date.
ⅲ) The insurance acquisition cash flows allocated to the group at the initial recognition date.
ⅳ) Other assets or liabilities recognized previously for cash flows associated with the group at the initial recognition
date.
39
In the case of a reinsurance contracts held, the net cost or net gain on purchasing a group of the reinsurance contracts
held is recognized as contractual service margin. However, if the net cost of purchasing reinsurance coverage is
related to costs incurred prior to purchasing a group of reinsurance contracts held, it is recognized in profit or loss.
- Changes in fulfilment cash flows and contractual service margin.

The Group re-estimates the future cash flows as of the end of each reporting period at current estimates. Changes in
fulfilment cash flows related to the future are adjusted in the contractual service margin, while the current and past
service-related portions are recognized in profit or loss. The Group also adjusts the contractual service margin for
experience adjustments related to future service-related premiums and related insurance acquisition cash flows, as
well as for differences between expected and actual investment elements. However, changes in the time value of
money and financial risk, changes in estimated fulfilment cash flows for the liabilities for incurred claims (assets),
and other experience adjustments related to current and past services are not adjusted in the contractual service
margin.
The Group adjusts the current contractual service margin at the end of the reporting period by adding the following
amounts to the base amount:
ⅰ) Impact of newly added contracts to the current group of insurance contracts issued.
ⅱ) Accrued interest on the carrying amount of the contractual service margin, measured at the discount rate
determined at initial recognition.
ⅲ) Changes in future service-related fulfilment cash flows (excluding recognition and recovery elements of losses).
ⅳ) Effects of currency exchange differences on the contractual service margin.
ⅴ) Amounts recognized in the current period's profit or loss due to the transfer of insurance contract services during
the period.
- Loss components and loss recovery components

The Group considers an insurance contract as one that incurs a loss if, at the initial recognition date, the total of the
fulfilment cash flows allocated to the insurance contract, previously recognized insurance acquisition cash flows,
and cash flows arising from the contract at that date result in a net outflow. Additionally, the Group categorizes a
group of insurance contracts issued as a group of onerous contract if, at subsequent measurement dates, adverse
fluctuations related to future services allocated to the group of insurance contracts issued exceed the carrying amount
of the contractual service margin.
In a group of onerous contracts, there is no contractual service margin, and the measurement of the group consists
entirely of the fulfilment cash flows. Any portion at the initial recognition date in the group of onerous contract that
is expected to result in a net outflow or exceeds the carrying amount of the contractual service margin subsequently
is considered a loss component of that group and recognized as a loss in the current period. After recognizing the
loss component, the Group systematically allocates subsequent fluctuations in the remaining insurance liability
fulfilment cash flows between the loss component and the liability for remaining coverage, excluding the loss
component, based on established criteria. However, subsequent decreases in cash flows related to future services are
allocated only to the loss component until it is fully exhausted and recognized in the current period. Any excess
beyond the loss component's exhaustion is then recognized as contractual service margin again.
40
In the case of a group of reinsurance contracts held, when a loss component is recognized in the group of the
underlying insurance contracts, the Group calculates the loss recovery component of the group of the reinsurance
contracts held by multiplying the expected recovery ratio for claims under the group of the underlying insurance
contracts by the loss component attributed to those claims. This loss recovery component is then used to adjust assets
for the remaining coverage of the reinsurance group and to adjust the contractual service margin (or directly adjust
the remaining insurance liability if the premium allocation approach is applied) for recognition of the current period's
profit or loss. The loss recovery component is adjusted to reflect fluctuations in the loss component of the group of
the underlying insurance contracts within the range that does not exceed the loss component's carrying amount for
the group of the underlying insurance contracts.
④ Measurement of insurance liabilities (assets) under the variable fee approach
The Group applies the variable fee approach to measure insurance liabilities (assets) for insurance contracts with direct
participation features that meet the following criteria at inception. The Group provides investment-related services at
the commencement of the insurance contract, and the insurance contract has direct participation features. The Group
does not reassess the fulfillment of these criteria unless there is a contract modification. The variable fee approach is
not applied to reinsurance contracts held.
i) the contractual terms specify that the policyholder participates in a share of a clearly identified pool of underlying
items
ii) the entity expects to pay to the policyholder an amount equal to a substantial share of the fair value returns on the
underlying items
iii) the entity expects a substantial proportion of any change in the amounts to be paid to the policyholder to vary
with the change in fair value of the underlying items
In the variable fee approach, it is clear that the obligation to pay an amount equal to the fair value of the underlying
items, deducted by the variable fee, constitutes the liability to the policyholder. The variable fee is the company's
share of the fair value of the underlying items minus fulfillment cash flows, which do not vary depending on the
performance of the underlying items. Fluctuations in the obligation to pay an amount equal to the fair value of the
underlying items are not adjusted in the contractual service margin. However, adjustments are made in the contractual
service margin for the portion of the fair value of the underlying items attributable to the company and the changes
in the fulfilment cash flows not subject to variations based on the performance of the underlying items.
The Group measures the present value of cash flows at the initial recognition date and at the end of the reporting
period using the same general model. The contractual service margin is calculated by adjusting the base amount with
the following amounts.
i) The effect of new contracts added to the current group of insurance contracts issued.
ii) Changes in the portion of the fair value of underlying items attributable to the entity (excluding recognition and
reversal of loss components).
iii) Changes in the fulfilment cash flows related to future services (excluding recognition and reversal of loss
components).
iv) The effect of exchange rate fluctuations on contractual service margins.
v) Amounts recognized in the current period's profit or loss due to the transfer of insurance contract services during
the period.
41
⑤ Insurance liabilities (assets) and reinsurance assets (liabilities) measured under the premium allocation approach.
At the inception of a group of insurance contracts issued, if there is a reasonable expectation that the measurement of
liabilities for remaining coverage under premium allocation approach does not differ materially from the one under
the general model, and if the coverage period for all contracts within the group of insurance contracts issued is one
year or less, the insurance liabilities (assets) are measured using the premium allocation approach, which is a
simplified method compared to the general model.
The Group measures the liabilities (assets) for remaining coverage at the initial recognition by deducting from the
cash received as premiums (or reinsurance premiums paid for reinsurance contracts held), the amount of insurance
acquisition cash flows not immediately recognized as expenses (including amounts removed from assets).
Subsequently, it determines the carrying amount by adding or subtracting the following amounts from the initial
amount:
ⅰ) Premiums received during the reporting period. (reinsurance premiums paid for reinsurance contracts held)
ⅱ) Insurance acquisition cash flows not recognized as expenses and amortization of those insurance acquisition cash
flows
ⅲ) Adjustments related to significant financial components
ⅳ) Amount recognized in profit or loss for the reporting period due to providing insurance contract services.
v) Investment components paid (received for reinsurance contracts held) or transferred to the liability for incurred
claims.
The Group does not adjust the carrying amount of the remaining insurance liabilities at the initial recognition date if
the coverage period of each contract within the group of insurance contracts issued does not exceed one year, in order
to reflect the time value of money and the financial risk effect. Additionally, acquisition cash flows are recognized as
expenses when they occur. However, if circumstances indicate that the group of insurance contracts issued incurs
losses, the Group performs impairment tests. If the fulfilment cash flows exceed the carrying amount of the remaining
insurance liabilities, the difference is recognized as a loss in the current period, is also recognized as increase of the
liabilities for remaining coverage.
⑥ Contractor share adjustment

According to K-IFRS 1117, when measuring the liability for participating insurances, it is required to consider
dividends when measuring cash flows from participating insurances, and use a discount rate that reflects assumptions
and risks.
Unlike the existing accounting practices under K-IFRS 1104, the requirement is not enough to disclose the potential
obligations from participating insurances, which leads to the conflict from ‘objective of financial under ‘conceptual
framework’. Considering the conflict may cause users of financial statements misunderstood, the Group measures the
liability in accordance with the Article 4-1-2 of the Enforcement Rules for Insurance Business Supervision regarding
future potential obligations expected to arise from valuation gains and losses on unrealized assets as of the end of the
reporting period.
42
ⅲ) Recognition of insurance revenue and insurance service expenses
① Recognition of insurance revenue in general model and variable fee approach model
Insurance revenue is measured as the amount expected to be received in exchange for providing insurance contract
services for a group of insurance contracts issued. It consists of the sum of changes in the liabilities for remaining
coverage as following and insurance acquisition cash flows:
ⅰ) Insurance service expenses incurred during the period, measured at the amount estimated at the inception date
(excluding transaction-related taxes collected on behalf of third parties, allocated amounts to loss components,
insurance acquisition costs, investment components repaid to policyholders even if an insured event does not occur,
and the executed loan from insurance contracts).
ⅱ) Changes in the risk adjustment for non-financial risks (excluding allocated amounts to loss components and
changes related to future services).
ⅲ) Contractual service margin recognized in the current period as profit or loss (contractual service margin allocated
to current coverage units among all coverage units calculated considering the quantity of benefits payments and the
expected duration for coverage within the group of insurance contracts issued, and the frequency and severity of
occurrence of insured events.
ⅳ) Other amounts such as experience adjustments on premiums collected for current or past services.
The Group determines insurance revenue related to insurance acquisition cash flows by allocating the portion of the
premiums that related to recovering those cash flows to each reporting period in a systematic way on the basis of the
passage of time; also, recognizes the same amount as insurance service expenses.
② Recognition of insurance revenue under the premium allocation approach.
Under the premium allocation approach, insurance revenue is recognized by allocating the expected premium income
(excluding investment components) for services provided over each period on the basis of the passage of time.
However, if the expected pattern of release of risk during the coverage period differs significantly from the passage
of time, the expected premium income is calculated on the basis of expected timing of incurred insurance service
expenses.
③ Recognition of insurance service expenses
The insurance service expenses incurred as a result of issuing the group of insurance contracts issued consist of the
following.
ⅰ) Increase in the liabilities for incurred claims and changes in the fulfilment cash flows related to premiums and
expenses (excluding repayment of investment components).
ⅱ) Amortization of insurance acquisition cash flows (the same amount is recognized as insurance revenue and
insurance service expenses).
ⅲ) Changes in loss components recognized for the first time in onerous groups of contracts and loss components
related to future services.
43
ⅲ) Recognition of insurance revenue and insurance service expenses(continued)
④ Recognition of reinsurance revenue and reinsurance service expenses for the group of reinsurance contracts held.
The revenue and expenses arising from the group of reinsurance contracts held is recognized by adopting the method
of recognizing insurance service expenses and insurance revenue of the group of underlying insurance contracts,
with adjustments made to reflect the characteristics of reinsurance contracts held (revenue being the amount
recovered from reinsurers and expenses being the allocated portion of premiums paid to reinsurers).
ⅳ) Contract modifications and terminations
The Group derecognises the original contract and recognizes the modified contract as a new contract when the
insurance contract terms are changed and specific criteria are met. If the contract modification does not meet such
criteria, the effect of the contract modification is accounted for as changes in estimated fulfilment cash flows. There
were no instances during the current and prior periods where the original contract was removed and the modified
contract was recognized as a new contract. When an insurance contract is extinguished (due to expiration, fulfilment,
or cancellation of obligations stated in the insurance contract), the Group removes the insurance contract, adjusts the
estimated fulfilment cash flows and contractual service margin related to the removed contract within the group of
insurance contracts issued, and reflects the removed contract in the number of coverage units of the group of
insurance contracts issued.
ⅴ) Change in accounting treatment of accounting estimates measured in the interim financial statements
The Group has adopted an accounting policy of not changing the accounting treatment of accounting estimates
measured in interim financial statements when preparing subsequent interim financial statements and annual
44
ⅵ) Presentation
The Group separately presents the book value of insurance contract portfolio, which is an asset, the book value of
the insurance contract portfolio, which is a liability, the reinsurance contract portfolio held, which is an asset, and
the reinsurance contract portfolio held, which is a liability, respectively, in the consolidated statement of financial
position. Furthermore, it distinguishes between insurance revenue and reinsurance service expenses, as well as
insurance service expenses and reinsurance revenue, without offsetting them against each other in the statement of
comprehensive income.
The Group includes the time value of money and the effects of financial risks, as well as their fluctuations, in
insurance finance income (expenses). The Group has chosen an accounting policy to differentiate between insurance
finance income (expenses) for the period as either recognized in the current income or in other comprehensive income.
For insurance groups where changes in assumptions related to financial risks significantly impact policyholder
benefits, the effective interest rate method is applied. For other insurance groups, the effective interest rate
determined at initial recognition is used to calculate insurance finance income (expenses) recognized in the current
period. In cases where the variable fee approach is applied to insurance groups holding underlying items, the amount
recognized as insurance finance income (expenses) in the current period is determined to eliminate accounting
mismatches with the underlying items and recognized in the current income.
ⅶ) Accounting policies related to transitions
Under K-IFRS 1117, insurance companies are required to identify, recognize, and measure the group of insurance
contracts issued (using the retrospective approach) as if they had always applied K-IFRS 1117 before the transition
date. However, if this method is impractical, they may choose to apply the modified retrospective approach or the
fair value approach. However, for the group of insurance contracts issued with certain direct participation features,
even if they meet the criteria for applying the retrospective approach, the fair value approach may be applied.
The Group has applied the modified retrospective approach to the group of insurance contracts issued within three
years prior to the transition date (January 1, 2022, the beginning of the annual reporting period preceding the initial
application date of K-IFRS 1117 'Insurance Contracts'), covering contracts issued from 2019 to 2021, as well as to
the group of insurance contracts acquired through business combinations (date of business combination: January 1,
2019) applying the general model. For other group of insurance contracts issued and reinsurance contracts held, the
fair value approach has been adopted. Additionally, the Group adjusted the existing carrying amounts based on
historical cost to the current fulfilment value assessment.
The modified retrospective approach aims to achieve results very close to those of fully retrospective application,
utilizing reasonable and supportable information without excessive costs or efforts. The fair value approach involves
evaluating the group of insurance contracts issued using fair value measurements, as per K-IFRS 1113 ‘Fair Value
Measurement’. When applying the fair value approach, items such as contractual service margins for remaining
coverage are determined based on the difference between the fair value of the group of insurance contracts issued at
the transition date and the fulfilment cash flows.
45
(u) Recognition of revenues and expenses
The Group’s revenues are recognized using five-step revenue recognition model as follows:
① ‘Identifying the contract’ → ② ‘Identifying performance obligations’ → ③ ‘Determining the transaction price’ →
④ ‘Allocating the transaction price to performance obligations’ → ⑤ ‘Recognizing the revenue by satisfying
performance obligations’.
i) Interest income and expense
Interest income and expense are recognized in profit or loss using the effective interest method.
ii) Fees and commission income
The recognition of revenue for financial service fees depends on the purposes for which the fees are assessed and the
basis of accounting for any associated financial instrument.
① Fees that are an integral part of the effective interest rate of a financial instrument
Such fees are generally treated as an adjustment to the effective interest rate. Such fees may include compensation for
activities such as evaluating the borrower’s financial condition, evaluating and recording guarantees, collateral and
other security arrangements, preparing and processing documents, closing the transaction and the origination fees
received on issuing financial liabilities. However, when the financial instrument is measured at fair value with the
change in fair value recognized in profit or loss, the fees are recognized as revenue when the instrument is initially
recognized.
② Fees earned as services are provided
Fees and commission income, including investment management fees, sales commission, and account servicing fees,
are recognized as the related services are provided.
③ Fees that are earned on the execution of a significant act
The fees that are earned on the execution of a significant act including commission on the allotment of shares or other
securities to a client, placement fee for arranging a loan between a borrower and an investor and sales commission,
are recognized as revenue when the significant act has been completed.
iii) Dividend income
Dividend income is recognized when the shareholder’s right to receive payment is established. Dividend income is
categorized on the classification of equity instruments.
46
(v) Revenue from Contracts with Customers
The fair value of the consideration received or receivable in exchange for the initial transaction is allocated to the
reward points ("points") and the remainder of the fee income. The Group provides compensation in various forms
such as payment discounts and free gifts. The consideration to be allocated to the points is estimated based on the fair
value of the monetary benefits to be provided in consideration of the expected recovery rate of points awarded in
accordance with the customer loyalty program and the expected time of recovery. The consideration allocated to the
points is recognized as a consideration to be paid to the customer and deducted from Fees and commission income.
(w) Income tax
The Group applies a consolidated tax method based on a consolidated tax base and a domestic corporation (hereinafter
referred to as the "Consolidated Entity Corporation ") that is fully controlled by the consolidated parent company and
the consolidated tax base.
The Group evaluates the feasibility of temporary differences, taking into account the future taxable income of
individual companies and consolidated groups, respectively. The change in deferred tax assets (liabilities) was
recognized as expense (income), except for the amount associated with items directly added to the equity account.
For additional temporary differences in subsidiaries, associates, and joint venture investment interests, the Group
may control the timing of the disappearance of temporary differences. All deferred tax liabilities are recognised
except in cases where temporary differences are unlikely to dissipate in the foreseeable future. Deferred tax assets
arising from deductible temporary differences are likely to be extinguished in the foreseeable future. In addition, it
is recognised when taxable income is likely to be used for temporary differences.
The carrying amount of deferred tax assets is reviewed at the end of each reporting period. The carrying amount of
deferred tax assets is reduced when it is no longer likely that sufficient taxable income will be generated to use
benefits from deferred tax assets.
Tax uncertainties arise from a claim of reassessment or refund of tax that the Group made, or tax investigation etc.,
due to complexity of transactions or the differences between the Group’s tax policy and authority’s interpretation. In
accordance with K-IFRS 2123, the Group recognizes tax assets when anticipating tax refund on the tax paid due to
tax authorities imposing, and tax liabilities when anticipating tax payment due to tax investigations, etc. In addition,
the amount expected to be paid as a result of the tax investigation is recognized as the tax liability.
47
(x) Accounting for trust accounts
The Group accounts for trust accounts separately from its bank accounts under the Financial Investment Services
and Capital Markets Act No. 114 and thus the trust accounts are not included in the accompanying consolidated
financial statements. In this regard, the funds lent to the trust account are counted as trust account loans and loans
borrowed from the trust account as other accounting accounts (non-payment of the trust account). In accordance with
the Financial Investment Business Regulations, trust remuneration is acquired in connection with the operation,
management, and disposal of trust property, and it is counted as the operating profit of trust business.
(y) New standards and amendments not yet adopted by the Group
The following new accounting standards and amendments have been published that are not mandatory for annual
periods beginning after January 1, 2023, and have not been early adopted by the Group. The Group did not early
adopt the following new standards and amendments when preparing consolidated financial statements.
i) K-IFRS No. 1001 ‘Presentation of Financial Statements’ amended - Classification of Liabilities as Current or
Non-current and Borrowing Covenants for Non-current Liabilities
These amendments, issued in 2020 and 2022, clarify the requirements for the classification of liabilities as current or
non-current and require disclosure of information about non-current liabilities that have future borrowing covenants
with which they must comply. These amendments are scheduled to take effect from the first fiscal year beginning
after January 1, 2024, and the Group does not expect these amendments to have a significant impact on the
consolidated financial statements.
ii) K-IFRS No. 1007 ‘Cash Flow Statement’ and K-IFRS No. 1107 ‘Financial Instruments: Disclosures’ Supplier
Finance Agreement
These amendments require disclosure of notes on supplier finance arrangements to help users of consolidated financial
statements understand the impact of supplier finance arrangements on the entity’s debt, cash flow and degree of
exposure to liquidity risk. These amendments will be applied from fiscal years beginning on or after January 1, 2024,
and the Group does not expect this amendment to have a significant impact on the consolidated financial statements.
iii) The following new and amended standards are not expected to have a significant impact on the consolidated entity.
- Lease liabilities arising from sale and leaseback transactions (K-IFRS No. 1116 ‘Lease’)
- Crypto assets disclosure (K-IFRS No. 1001 ‘Financial Statements Presentation’)
48
4. Significant estimates and judgments
The preparation of financial statements requires the Group to make estimates and assumptions concerning the future.
Management also needs to exercise judgment in applying the Group’s accounting policies. Estimates and
assumptions are continually evaluated and are based on historical experience and other factors, including
expectations of future events that are believed to be reasonable under the circumstances. As the resulting accounting
estimates will, by definition, seldom equal the related actual results, it can contain a significant risk of causing a
material adjustment. The estimates and assumptions that have a significant risk of causing a material adjustment to
the carrying amount of assets and liabilities within the next financial year are discussed below.
(a) Estimation of impairment of goodwill
The Group reviews the goodwill annually in accordance with the accounting policy in Note 3. The recoverable
amount of the cash-generating unit (group) is determined based on the value-in-use calculation. These calculations
are based on estimates.
(b) Income taxes
The Group is subject to tax laws from various countries. In the normal course of business, there are various types of
transactions and different accounting methods that may add uncertainties to the decision of the final income taxes.
The Group has recognized current and deferred taxes that reflect tax consequences based on the best estimates in
which the Group expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and
liabilities. However, actual income taxes in the future may not be identical to the recognized deferred tax assets and
liabilities, and this difference can affect current and deferred tax at the period when the final tax effect is determined.
(c) Fair value of financial instruments
The fair values of financial instruments (e.g. over-the-counter derivatives) which are not actively traded in the market
are determined by using valuation techniques. The Group determines valuation techniques and assumptions based on
significant market conditions at the end of each reporting period. Diverse valuation techniques are used to determine
the fair value of financial instruments, from generic valuation techniques to internally developed valuation models
that incorporate various types of assumptions and variables.
(d) Allowance for credit loss, guarantees and unused loan commitments
The Group determines and recognizes allowances for losses on debt securities, loans and other receivables measured
at amortized cost or FVOCI, and recognizes provisions for guarantees and unused loan commitments through
impairment testing. The accuracy of allowances and provisions for credit losses are determined by the estimation of
expected cash flows for individually assessed allowances, and methodology and assumptions used for collectively
assessed allowances and provisions for groups of loans, guarantees and unused loan commitments.
(e) Insurance contract assets (liabilities) and reinsurance contract assets (liabilities)
The Group calculates the present value of the future cash flows of the remaining benefit liabilities and incurred claims
liabilities for measurement purposes. This involves estimating the neutral present value of future cash flows,
considering the time value of money, adjusting for financial risks associated with future cash flows, and making risk
adjustments for non-financial risks. The measurement of the present value of these cash flows is determined by
estimating relevant market variables, assessing uncertainties regarding the amounts and timing of future cash flows,
considering actuarial and economic assumptions, and other risks.
The Group calculates the profit earned during the period from the provision of insurance contract services based on
the number of insurance units of the group of insurance contracts issued. The number of insurance units of the group
of insurance contracts issued are determined by the quantitative units of insurance services provided under individual
contracts and the expected duration.
49
5. Financial risk management
(a) Overview
Shinhan Financial Group Co., Ltd. (collectively the “Group”) manages various risks that may be arisen by each
business sector and the major risks to which the Group is exposed include credit risk, market risk, interest rate risk,
and liquidity risk. These risks are recognized, measured, controlled and reported in accordance with risk
management guidelines established at the controlling company level and at the subsidiary level.
i) Risk management principles
The risk management principles of the Group are as follows:
- All business activities take into account the balance of risks and profits within a predetermined risk trend.
- The controlling company shall present the Group Risk Management Model Standards and supervise their compliance,
and have responsibility and authority for group-level monitoring.
- Operate a risk-related decision-making system that enhances management's involvement.
- Organize and operate risk management organizations independent of the business sector.
- Operate a performance management system that clearly considers risks when making business decisions.
- Aim for preemptive and practical risk management functions.
- Share a cautious view to prepare for possible deterioration of the situation.
ii) Risk management organization
The basic policies and strategies for risk management of the Group are established by the Risk Management
Committee (collectively the "Group Risk Management Committee") within the controlling company's Board of
Directors. The Group's Chief Risk Management Officer (CRO) assists the Group Risk Management Committee and
consults the risk policies and strategies of the group and each subsidiary through the Group Risk Council, which
includes the Chief Risk Management Officer of each subsidiary. The subsidiary implements the risk policies and
strategies of the Group through each company's risk management committee, risk-related committee, and risk
management organization, and consistently establishes and implements the detailed risk policies and strategies of
the subsidiary. The risk management team of the controlling company assists the Group's chief risk management
officer for risk management and supervision.
Shinhan Financial Group has a hierarchical limit system to manage the risks of the Group to an appropriate level.
The Group Risk Management Committee sets the risk limits that can be assumed by the Group and its subsidiaries,
while the Risk Management Committee and the Committee of each subsidiary set and manage detailed risk limits
by risk, department, desk and product types.
50
5. Financial risk management (continued)
(a) Overview (continued)
ii) Risk management organization (continued)
① Group Risk Management Committee
The Group established the risk management system for the Group and each of its subsidiaries, and comprehensively
manages group risk-related matters such as establishing risk policies, limits, and approvals. The Committee consists
of directors of the Group.
The resolution of the Committee is as follows:
- Establish risk management basic policy in line with management strategy

- Determine the level of risk that can be assumed by the Group and each subsidiary
- Approve appropriate investment limit or loss allowance limit
- Enact and amend the Group Risk Management Regulations and the Group Risk Council Regulations
- Matters concerning risk management organization structure and division of duties
- Matters concerning the operation of the risk management system
- Matters concerning the establishment of various limits and approval of limits
- Make decisions on approval of the FSS's internal rating law for non-retail and retail credit rating systems
- Matters concerning risk disclosure policy
- Analysis of crisis situation, related capital management plan and financing plan
- Matters deemed necessary by the board of directors
- Materials required by external regulations such as the Financial Services Commission and other regulations and
guidelines
- Matters deemed necessary by the Chairman
The resolution of the Group Risk Management Committee is reported to the Board of Directors.
② Group Risk Management Council
In order to maintain the Group's risk policy and strategy consistently, the Group decides what is necessary to discuss
the risks of the Group and to carry out the policies set by the Group Risk Management Committee. The members
are chaired by the group's risk management officer and consist of the risk management officers of major subsidiaries.
iii) Group Risk Management System
① Management of the Risk Capital
Risk capital refers to the capital required to compensate for the potential loss (risk) if it is actually realized. Risk cap
ital management refers to the management of the risk assets considering its risk appetite, which is a datum point on t
he level of risk burden compared to available capital, so as to maintain the risk capital at an appropriate level. The G
roup and subsidiaries establish and operate a risk planning process to reflect the risk plan in advance when establishi
ng financial and business plans for risk capital management, and establish a risk limit management system to control
risk to an appropriate level.
51
(a) Overview (continued)
iii) Group Risk Management System (continued)
② Risk Monitoring
In order to proactively manage risks by periodically identifying risk factors that can affect the group's business
environment, the Group has established a multi-dimensional risk monitoring system. Each subsidiary is required to
report to the Group on key issues that affect risk management at the group level. The Group prepares weekly, monthly
and occasional monitoring reports to report to Group management including the CRO.
In addition, the Risk Dashboard is operated to derive abnormal symptoms through three-dimensional monitoring of
major portfolios, increased risks, and external environmental changes of assets for each subsidiary. If necessary, the
Group takes preemptive risk management to establish and implement countermeasures.
③ Risk Reviewing
When conducting new product, new business and major policy changes, risk factors are reviewed by using a pre-
defined checklist to prevent indiscriminate promotion of business that is not easy to judge risk and to support rational
decision making. The subsidiary's risk management department conducts a preliminary review and post-monitoring
process on products, services, and projects to be pursued in the business division. In case of matters that are linked
or jointly promoted with other subsidiaries, the risk reviews are carried out after prior-consultation with the risk
management department of the Group.
④ Risk Management
The Group maintains a group wide risk management system to detect the signals of any risk crisis preemptively and,
in the event of a crisis actually happening, to respond on a timely, efficient and flexible basis so as to ensure the
Group’s survival as a going concern. Each subsidiary maintains crisis planning for four levels of contingencies, namely,
‘cautious’, ‘alert’, ‘imminent crisis’ and ‘crisis’ determination of which is made based on quantitative and qualitative
monitoring and consequence analysis, and upon the happening of any such contingency, is required to respond
according to a prescribed contingency plan. At the controlling company level, the Group maintains and installs crisis
detection and response system which is applied consistently group-wide, and upon the happening of any contingency
at two or more subsidiary level, the Group directly takes charge of the situation so that the Group manages it on a
concerted group wide basis.
52
(b) Credit risk
Credit risk is the risk of potential economic loss that may be caused if a customer or counterparty to a financial
instrument fails to meet its contractual obligations, and is the largest risk which the Group is facing. The Group’s
credit risk management encompasses all areas of credit that may result in potential economic loss, including not just
transactions that are recorded on balance sheets, but also off-balance-sheet transactions such as guarantees, loan
commitments and derivative transactions.
Shinhan Bank's basic policy on credit risk management is determined by the Risk Policy Committee. The Risk Policy
Committee consists of the chairman of the Chief Risk Officer (CRO), the Chief Credit Officer (CCO), the head of the
business group, and the head of the risk management department, and decides the credit risk management plan and
the direction of the loan policy for the entire bank. Apart from the Risk Policy Committee, the Credit Review
Committee is established to separate credit monitoring, such as large loans and limit approval, and is composed of
chairman, the CCO, CRO and the head of the group in charge of the credit-related business group, the head of the
credit planning department, and the senior examination team to enhance the credit quality of the loan and profitability
of operation.
Shinhan Bank's credit risk management includes processes such as credit evaluation, credit monitoring, and credit
supervision, and credit risk measurement of counterparties and limit management processes and credit risk
measurements for portfolios. All loan customers of Shinhan Bank are evaluated and managed with credit ratings.
Retail customers are evaluated by summing up the information of personal information Shinhan Bank's internal
information and external credit information, and the corporate customers are evaluated by considering financial and
non-financial items such as industrial risk, operating risk, and management risk. The evaluated credit rating is used
for credit approval, limit management, pricing, credit loss provisioning, etc., and is the basis for credit risk
management. The credit evaluation system is divided into an evaluation system for retail customers, a SOHO
evaluation system, and an evaluation system for corporate customers. It is subdivided and refined by each model to
reflect the Basel III requirements. The corporate credit decision is based on a collective decision-making system,
making objective and prudent decisions. In the case of a general credit of loans, the credit is approved based on the
consultation between branch's RM (Relationship Manager) and loan officers of each business division's headquarters.
In the case of a large or important credit, the credit is approved by the review council. In particular, the Credit
Deliberation Committee, the highest decision-making body of the loan, reviews for important loans such as large
loans. Credits for retail customers are monitored by an automated credit scoring systems (CSS) based on objective
statistical methods and bank credit policies.
Shinhan Bank operates a regular monitoring system for the regular management of individual loans. The loan officers
and RM evaluate the adequacy of the result of the loan review by automatically searching for anticipated insolvent
companies among business loan partners, and if necessary, the credit rating of the corporate is requested of an
adjustment. In accordance with these procedures, the corporate customers are classified as an early warning company,
an observation company, and a normal company, and then are managed differently according to the management
guidelines for each risk stage, thereby preventing the insolvency of the loan at an early stage. The financial analysis
support system affiliated with a professional credit rating agency supports credit screening and management, and the
credit planning department calculates and manages industrial grades, and analyzes and provides industry trends and
company information. In order to control the credit risk for the credit portfolio to an appropriate level, credit VaR
limits are set and managed for each business and business sector, and to prepare for the credit risk caused by biased
exposure to specific sectors, the Group sets and manages exposure limits for each sector by the party, industry,
country, etc.
53
(b) Credit risk (continued)
Shinhan Card's basic policy on credit risk is determined by the Risk Management Committee. The Risk Management
Committee consists of the Risk Management Officer (CRO) as the chairperson, and is composed of the heads of
each business division and supporting division, and the heads of related departments. Apart from the RMC, a credit
committee in charge of monitoring corporate credits and other important credits over a certain amount has been
established to separate credit policy decisions from credit monitoring.
Shinhan Card’s credit rating system is divided into ASS (Application Scoring System) and BSS (Behavior Scoring
System). Unless a customer fall under “rejections due to policy” (such circumstances include delinquency of other
credit card companies) and his/her credit rating is above a certain rate, an application of AS is approved. There is a
separate screening criterion for credit card customers, who has maintained its relationship with Shinhan Financial
Group for a long-term and has a good credit history. In addition, the elements of credit ratings are used as the basis
for setting limits when issuing cards. The BSS, which is recalculated monthly, predicts the delinquency probability of
cardholders, and utilizes it to monitor members and monitor portfolio risk.
i) Techniques, assumptions and input variables used to measure impairment
i-1) Determining significant increases in credit risk since initial recognition
At the end of each reporting period, the Group assesses whether the credit risk on a financial instrument has increased
significantly since initial recognition. When making the assessment, the Group uses the change in the risk of a default
occurring over the expected life of the financial instrument instead of the change in the amount of expected credit
losses.
To make the assessment, the Group compares the risk of a default occurring on the financial instrument as at the
reporting date with the risk of a default occurring on the financial instrument as at the date of initial recognition and
considers reasonable and supportable information, that is available without undue cost or effort, and is indicative of
significant increases in credit risk since initial recognition. Information includes the default experience data held by
the Group and analysis by an internal credit rating expert.
i-1-1) Measuring the risk of default
The Group assigns an internal credit risk rating to each individual exposure based on observable data and historical
experiences that have been found to have a reasonable correlation with the risk of default. The internal credit risk
rating is determined by considering both qualitative and quantitative factors that indicate the risk of default, which
may vary depending on the nature of the exposure and the type of borrower.
i-1-2) Measuring term structure of probability of default
Internal credit risk rating is the main variable inputs to determine the duration structure for the risk of default. The
Group accumulates information after analyzing the information regarding exposure to credit risk and default
information by the type of product and borrower and results of internal credit risk assessment. For some portfolios,
the Group uses information obtained from external credit rating agencies when performing these analyses.
The Group applies statistical techniques to estimate the probability of default for the remaining life of the exposure
from the accumulated data and to estimate changes in the estimated probability of default over time.
54
i) Techniques, assumptions and input variables used to measure impairment (continued)
i-1-3) Significant increases in credit risk
The Group uses the indicators defined as per portfolio to determine the significant increase in credit risk and such
indicators generally consist of changes in the risk of default estimated from changes in the internal credit risk rating,
qualitative factors, days of delinquency, and others. The method used to determine whether credit risk of financial
instruments has significantly increased after the initial recognitions is summarized as follows:
Corporate exposures Retail exposures Card exposures
Significant change in credit ratings Significant change in credit ratings Significant change in credit ratings
Continued past due more than 30 Continued past due more than 30 Continued past due more than 7
days days days (personal card)
Loan classification of Loan classification of Loan classification of
precautionary or below precautionary or below precautionary or below
Borrower with early warning Borrower with early warning Specific delinquent pool segment
signals signals
Negative net assets Specific pool segment
Adverse audit opinion or Collective loans for housing for
disclaimer of opinion which the constructors are
insolvent
Interest coverage ratio below 1 for Loans with identified indicators for
a consecutive period of three significant increases in other
years or negative cash flows credit risk
from operating activities for a
consecutive period of two years
Loans with identified indicators for
significant increases in other
credit risk
The Group assumes that the credit risk of the financial instrument has been increased significantly since initial
recognition if a specific exposure is past due more than 30 days (except, for a specific portfolio if it is past due more
than 7 days). The Group counts the number of days past due from the earliest date on which the Group fails to fully
receive the contractual payments from the borrower, and does not take into account the grace period granted to the
borrower.
The Group regularly reviews the criteria for determining if there have been significant increases in credit risk from
the following perspective:
- A significant increase in credit risk shall be identified prior to the occurrence of default.
- The criteria established to judge the significant increase in credit risk shall have a more predictive power than the
criteria for days of delinquency.
- As a result of applying the judgment criteria, there should be no excessively frequent movement between the 12-
month expected credit loss accumulation target and the entire period expected credit loss accumulation target.
55
i-2) Modified financial assets
If the contractual cash flows on a financial asset have been modified through renegotiation and the financial asset is
not derecognized, the Group assesses whether there has been a significant increase in the credit risk of the financial
instrument by comparing the risk of a default occurring at initial recognition based on the original, unmodified
contractual terms and the risk of a default occurring at the reporting date based on the modified contractual terms.
The Group may adjust the contractual cash flows of loans to customers who are in financial difficulties in order to
manage the risk of default and enhance the collectability (hereinafter referred to as ‘debt restructuring’). These
adjustments generally involve extension of maturity, changes in interest payment schedule, and changes in other
contractual terms.
Debt restructuring is a qualitative indicator of a significant increase in credit risk and the Group recognizes lifetime
expected credit losses for the exposure expected to be the subject of such adjustments. If a borrower faithfully makes
payments of contractual cash flows that are modified in accordance with the debt restructuring or if the borrower's
internal credit rating has recovered to the level prior to the recognition of the lifetime expected credit losses, the
Group recognizes the 12-month expected credit losses for that exposure again.
i-3) Risk of default
The Group considers a financial asset to be in default if it meets one or more of the following conditions:
- If a borrower is overdue 90 days or more from the contractual payment date,

- If the Group judges that it is not possible to recover principal and interest without enforcing the collateral on a
financial asset
The Group uses the following indicators when determining whether a borrower is in default:
- Qualitative factors (e.g. breach of contractual terms),

- Quantitative factors (e.g. if the same borrower does not perform more than one payment obligations to the Group,
the number of days past due per payment obligation. However, in the case of a specific portfolio, the Group uses
the number of days past due for each financial instrument),
- Internal observation data and external data
The definition of default applied by the Group generally conforms to the definition of default defined for regulatory
capital management purposes; however, depending on the situations, the information used to determine whether a
default has occurred and the extent thereof may vary.
56
i-4) Reflection of forward-looking information
The Group reflects future forward-looking information presented by a group of internal experts based on various
information when measuring expected credit losses. The Group utilizes economic forecasts disclosed by domestic
and foreign research institutes, governments, and public institutions to predict forward-looking information.
The Group reflects future macroeconomic conditions anticipated from a neutral standpoint that is free from bias in
measuring expected credit losses. Expected credit losses in this respect reflect conditions that are most likely to
occur and are based on the same assumptions that the Group used in its business plan and management strategy.
The Group analyzed the data experienced in the past, derived correlations between major macroeconomic variables
and credit risks required for predicting credit risk and credit loss for each portfolio, and then reflected future forecast
information through regression estimation. To reflect the economic uncertainty of domestic and international
situation, the Group has reviewed the 3 scenarios of upside, central and downside to reflect the final forward-looking
information. For the years ended December 31, 2023 and 2022, macroeconomic variables used by the Group are as
follows for each scenario.
<December 31, 2023>

① Upside scenario
Correlation 2024 (*2),(*3)
between 2023.4Q
Major variables (*1) credit risks (*2),(*3) 1Q 2Q 3Q 4Q
GDP growth rate
(YoY %) (-) 2.1 2.2 2.1 2.2 2.1
Private consumption
index (YoY %) (-) 1.8 1.7 2.3 2.5 2.4
Facility investment
growth rate (YoY %) (-) (6.4) (0.6) (0.2) 4.0 5.0
Consumer price index
growth rate (%) (+) 3.2 2.6 2.4 2.1 1.8
Balance on current
account (100 million
dollars) (-) 140.0 80.0 90.0 130.0 150.0
Government bond 3y
yields (%) - 3.7 3.6 3.6 3.3 3.1
② Central scenario
between 2023.4Q
GDP growth rate
(YoY %) (-) 1.5 1.6 1.4 1.5 1.8
Private consumption
index (YoY %) (-) 0.9 0.7 1.2 1.4 2.0
Facility investment
growth rate (YoY %) (-) (7.5) (2.0) (1.7) 2.4 3.9
growth rate (%) (+) 3.4 2.8 2.8 2.5 2.1
Balance on current
dollars) (-) 130.0 70.0 80.0 110.0 140.0
Government bond 3y
yields (%) - 3.7 3.6 3.6 3.5 3.3
57
i-4) Reflection of forward-looking information (continued)
③ Downside scenario

between 2023.4Q
GDP growth rate
(YoY %) (-) 1.1 1.1 0.8 0.9 1.2
Private consumption
index (YoY %) (-) 0.4 0.0 0.3 0.6 1.0
Facility investment
growth rate (YoY %) (-) (8.3) (3.8) (4.0) 0.2 1.4
growth rate (%) (+) 3.6 3.2 3.2 3.0 2.7
Balance on current
dollars) (-) 120.0 60.0 70.0 100.0 120.0
Government bond 3y
yields (%) - 3.7 3.7 3.6 3.6 3.6
④ Worst scenario
Correlation
Major variables (*1) between credit risks Economic Crisis for 1 year (*4)
GDP growth rate (YoY %) (-) (5.1)
Private consumption index (YoY %) (-) (11.9)
Facility investment growth rate (YoY %) (-) (38.6)
Consumer price index growth rate (%) (+) 7.5
Balance on current account (100 million
dollars) (-) 401.1
Government bond 3y yields (%) - 6.7
(*1) As a result of examining the correlation between each variable, Shinhan Bank applied the GDP growth rate and
private consumption index increase rate, etc. as the major variables to reflect the final forward-looking information,
while, Shinhan Card applied the private consumption rate and CPI increase rate, etc. as the major variables. In addition
to the table above, the Group has selected unemployment rate and KOSPI forecasts.
(*2) Considering the default forecast period, the Group reflected the future economic outlook.
(*3) The macroeconomic outlook figures are estimated by the Group for the purpose of calculating expected credit
losses based on information from domestic and foreign research institutes. Therefore, it could be different from other
institutions' estimates.
(*4) Shinhan Bank and Jeju Bank reviewed and reflected the Worst scenario (during the foreign exchange crisis) in
addition to the three scenarios of Upside, Central and Downside.
58
<December 31, 2022>
① Upside scenario

between 2022.4Q
GDP growth rate
(YoY %) (-) 1.4 1.6 1.7 2.5 3.9
Private consumption
index (YoY %) (-) 3.6 4.9 2.8 2.1 3.6
Facility investment
growth rate (YoY %) (-) 6.6 1.5 2.0 (4.2) 5.3
growth rate (%) (+) 5.3 5.0 4.0 3.4 3.0
Balance on current
dollars) (-) 15.0 30.0 40.0 80.0 100.0
Government bond 3y
yields (%) - 3.9 3.7 4.0 4.0 4.0
② Central scenario

between 2022.4Q
GDP growth rate
(YoY %) (-) 1.4 0.4 0.5 1.2 3.7
Private consumption
index (YoY %) (-) 3.6 3.8 1.5 0.6 2.8
Facility investment
growth rate (YoY %) (-) 6.6 0.8 1.0 (5.3) 4.6
growth rate (%) (+) 5.3 5.3 4.4 3.8 3.4
Balance on current
dollars) (-) 15.0 20.0 30.0 60.0 80.0
Government bond 3y
yields (%) - 3.9 4.0 4.2 4.2 4.2
59
③ Downside scenario

between 2022.4Q
GDP growth rate
(YoY %) (-) 1.4 (0.4) (0.5) (0.1) 2.9
Private consumption
index (YoY %) (-) 3.6 2.9 0.3 (0.8) 1.9
Facility investment
growth rate (YoY %) (-) 6.6 0.2 0.3 (6.4) 3.4
growth rate (%) (+) 5.3 5.7 4.8 4.4 3.8
Balance on current
dollars) (-) 15.0 10.0 20.0 40.0 60.0
Government bond 3y
yields (%) - 3.9 4.3 4.6 4.6 4.6
④ Worst scenario
Correlation
Major variables (*1) between credit risks Economic Crisis for 1 year (*4)
GDP growth rate (YoY %) (-) (5.1)
Private consumption index (YoY %) (-) (11.9)
Facility investment growth rate (YoY %) (-) (38.6)
Consumer price index growth rate (%) (+) 7.5
Balance on current account (100 million
dollars) (-) 401.1
Government bond 3y yields (%) - 4.4
(*1) As a result of examining the correlation between each variable, Shinhan Bank applied the GDP growth rate and
private consumption index increase rate, etc. as the major variables to reflect the final forward-looking information,
while, Shinhan Card applied the GDP growth rate, facility investment change rate, and current account balance, etc.
as the major variables. In addition to the table above, the Group has selected unemployment rate and KOSPI forecasts.
(*2) Considering the default forecast period, the Group reflected the future economic outlook.
(*3) The macroeconomic outlook figures are estimated by the Group for the purpose of calculating expected credit
losses based on information from domestic and foreign research institutes. Therefore, it could be different from other
institutions' estimates.
(*4) Shinhan Bank and Jeju Bank reviewed and reflected the Worst scenario (during the foreign exchange crisis) in
addition to the three scenarios of Upside, Central and Downside.
60
The predicted correlations between the macroeconomic variables and the risk of default, used by the Group, are
derived based on long-term data over the past ten years.
The recent historical default rate is an important reference when estimating the default rate in consideration of the
future economic outlook. Despite the economic contraction caused by the COVID-19 since 2020, the historical
default rate of the Group's has remained stable because of various government support in response to the COVID-
19. The Group manages the credit risk through classifying borrowers in moratorium of interest payments and
moratorium of repayment that is one of the financial relief programs into Stage2 to reflect the impact of potential
insolvency. In addition, credit risk is managed through additional expected loss assessments for non-retail and retail
SOHO loans of borrowers holding the relevant loans, extended maturity loans and estimated loss loans from financial
support programs.
The Group has considered multiple economic scenarios in applying forward-looking information to measure the
expected credit losses. Assuming a 100% weighting of Upside, Central, Downside and Worst scenarios, the
sensitivity to the Group's provision for expected credit loss is not significant.
61
i-5) Measurement of expected credit losses
Key variables used in measuring expected credit losses are as follows:
- Probability of default (“PD”)

- Loss given default (“LGD”)
- Exposure at default (“EAD”)
These variables have been estimated from historical experience data by using the statistical techniques developed
internally by the Group and have been adjusted to reflect forward-looking information.
Estimates of PD over a specified period are estimated by reflecting characteristics of counterparties and their
exposure, based on a statistical model at a specific point of time. The Group uses its own information to develop a
statistical credit assessment model used for the estimation, and additional information observed in the market is
considered for some portfolios such as a group of large corporates. When a counterparty or exposure is concentrated
in specific grades, the method of measuring PD for those grades would be adjusted, and the PD by grade is estimated
by considering contract expiration of the exposure.
LGD refers to the expected loss if a borrower defaults. The Group calculates LGD based on the experience recovery
rate measured from past default exposures. The model for measuring LGD is developed to reflect type of collateral,
seniority of collateral, type of borrower, and cost of recovery. In particular, LGD for retail loan products uses loan
to value (LTV) as a key variable. The recovery rate reflected in the LGD calculation is based on the present value of
recovery amount, discounted at the effective interest rate.
EAD refers to the expected exposure at the time of default. The Group derives EAD reflecting a rate at which the
current exposure is expected to be used additionally up to the point of default within the contractual limit. EAD of
financial assets is equal to the total carrying amount of the asset, and EAD of loan commitments or financial
guarantee contracts is calculated as the sum of the amount expected to be used in the future.
In measuring expected credit losses on financial assets, the Group uses the contractual maturity as the period subject
to expected credit loss measurement. The contractual maturity is computed taking into account the extension right
held by the borrower.
Risk factors of PD, LGD and EAD are collectively estimated according to the following criteria:
- Type of products
- Internal credit risk rating
- Type of collateral
- Loan to value (“LTV”)
- Industry that the borrower belongs to
- Location of the borrower or collateral
- Days of delinquency
The criteria classifying groups is periodically reviewed to maintain homogeneity of the group and adjusted if
necessary. The Group uses external benchmark information to supplement internal information for a particular
portfolio that did not have sufficient internal data accumulated from the past experience.
62
(In millions of won)
i-6) Write-off of financial assets
The Group writes off a portion of or entire loan or debt security that is not expected to receive its principal and
interest. In general, the Group conducts write-off when it is deemed that the borrower has no sufficient resources or
income to repay the principal and interest. Such determination on write-off is carried out in accordance with the
internal rules of the Group and is carried out with the approval of an external institution, if necessary. Apart from
write-off, the Group may continue to exercise its right of collection under its own recovery policy even after the
write-off of financial assets.
ii) Maximum exposure to credit risk
Exposure to credit risk is the exposure related to due from banks, loans, investments in debt securities, derivative
transactions, off-balance sheet accounts such as loan commitment. The exposures of due from banks and loans are
classified into government, bank, corporation or retail based on the exposure classification criteria of BASEL III
credit risk weights, and the net carrying amount, excluding provisions, is presented as the maximum amount that
can be exposed by credit risk.
The Group’s maximum exposure to credit risk without taking into account of any collateral held or other credit
enhancements as of December 31, 2023 and 2022 is as follows:
December 31, December 31,

2023 2022
Due from banks and loans at amortized cost (*1),(*3):
Banks W 15,099,247 20,581,854
Retail 177,454,344 178,488,924
Government/Public sector/Central bank 21,981,065 15,534,834
Corporations 202,763,657 193,664,558
Card receivable 26,896,950 27,375,162
444,195,263 435,645,332
Due from banks and loans at fair value through profit or loss (*3):
Banks 238,740 135,214
Corporations 1,550,565 2,280,081
1,789,305 2,415,295
Securities at fair value through profit or loss 65,575,798 55,235,273

Securities at fair value through other comprehensive income 88,637,000 83,796,575
Securities at amortized cost (*1) 35,686,487 33,371,198
Derivative assets 4,711,421 6,460,652
Other financial assets (*1),(*2) 26,880,554 21,826,601
Guarantee contracts 18,374,287 18,226,546
Loan commitments and other credit liabilities 212,078,870 205,488,825
W 897,928,985 862,466,297
(*1) The maximum exposure amounts for due from banks, loans, securities at amortized cost and other financial
assets at amortized cost are recorded as net of allowances.
(*2) Other financial assets mainly comprise of accounts receivable, accrued income, deposits, domestic exchange
settlement debit and suspense payments.
(*3) Classified as similar credit risk group based on calculation of the BIS ratio under new Basel Capital Accord
(Basel III).
63
iii) The maximum amount of exposure to credit risk by type of collateral as of December 31, 2023 and 2022 is as
follows:
December 31, 2023

12 months Life time expected credit loss
Classification Expected credit loss Not impaired Impaired Total
Guarantee W 57,461,539 10,231,324 479,278 68,172,141
Deposits and
Savings 2,680,530 356,489 7,391 3,044,410
Property and
equipment 1,610,021 470,284 10,269 2,090,574
Real estate 141,472,617 20,751,067 389,560 162,613,244
Securities 2,106,426 286,855 251,272 2,644,553
Others 11,500 - - 11,500
Total W 205,342,633 32,096,019 1,137,770 238,576,422
December 31, 2022

12 months Life time expected credit loss
Classification Expected credit loss Not impaired Impaired Total
Guarantee W 61,643,599 8,583,456 275,460 70,502,515
Deposits and
Savings 2,814,723 287,890 4,348 3,106,961
Property and
equipment 1,546,908 404,440 11,523 1,962,871
Real estate 136,345,418 17,439,371 317,213 154,102,002
Securities 2,325,294 243,734 159,040 2,728,068
Total W 204,675,942 26,958,891 767,584 232,402,417
64
iv) Impairment information by credit risk of financial assets
Details of impaired financial assets due to credit risk as of December 31, 2023 and 2022 are as follows:
December 31, 2023

12-month expected credit loss Life time expected credit loss Mitigation of credit
risk
Grade 1 Grade 2 Grade 1 Grade 2 Impaired Total Allowances Net due to collateral
Due from banks and loans at
amortized cost:
Banks W 12,465,770 2,260,226 392,061 80 - 15,118,137 (18,890) 15,099,247 39,768
Retail 158,067,855 6,429,281 8,934,566 3,839,919 1,054,827 178,326,448 (872,104) 177,454,344 122,490,514
Government/Public sector/
Central bank 20,226,305 1,680,151 82,000 2,952 - 21,991,408 (10,343) 21,981,065 2,500
Corporations 118,154,965 46,714,178 16,503,560 22,375,111 1,312,424 205,060,238 (2,296,581) 202,763,657 113,085,005
Card receivable 20,593,023 2,701,607 1,507,605 2,602,802 645,604 28,050,641 (1,153,691) 26,896,950 14,382
329,507,918 59,785,443 27,419,792 28,820,864 3,012,855 448,546,872 (4,351,609) 444,195,263 235,632,169
other comprehensive income (*) 78,098,959 10,446,092 - 91,949 - 88,637,000 - 88,637,000 -
Securities at amortized cost 33,585,503 2,104,884 - 7,523 - 35,697,910 (11,423) 35,686,487 -
W 441,192,380 72,336,419 27,419,792 28,920,336 3,012,855 572,881,782 (4,363,032) 568,518,750 235,632,169
(*) Credit loss allowance recognized as other comprehensive income of securities at fair value through other comprehensive income amounted to W 42,477 million as of December
31, 2023.
65
iv)Impairment information by credit risk of financial assets (continued)
Details of impaired financial assets due to credit risk as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

12-month expected credit loss Life time expected credit loss Mitigation of credit
risk
Grade 1 Grade 2 Grade 1 Grade 2 Impaired Total Allowances Net due to collateral
Due from banks and loans at
amortized cost:
Banks W 16,363,281 4,130,712 111,593 177 - 20,605,763 (23,909) 20,581,854 42,418
Retail 160,840,816 6,846,625 8,544,051 2,340,393 704,302 179,276,187 (787,263) 178,488,924 124,227,988
Government/Public sector/
Central bank 14,454,878 1,071,236 15,755 557 - 15,542,426 (7,592) 15,534,834 9,000
Corporations 116,945,328 47,287,352 12,582,994 17,780,729 880,845 195,477,248 (1,812,690) 193,664,558 104,986,693
Card receivable 20,858,888 2,727,744 1,671,259 2,662,353 493,480 28,413,724 (1,038,562) 27,375,162 12,589
329,463,191 62,063,669 22,925,652 22,784,209 2,078,627 439,315,348 (3,670,016) 435,645,332 229,278,688
other comprehensive income (*) 74,623,066 9,106,311 - 67,198 - 83,796,575 - 83,796,575 -
Securities at amortized cost 31,727,910 1,643,689 - 10,515 - 33,382,114 (10,916) 33,371,198 -
W 435,814,167 72,813,669 22,925,652 22,861,922 2,078,627 556,494,037 (3,680,932) 552,813,105 229,278,688
(*) Credit loss allowance recognized as other comprehensive income of securities at fair value through other comprehensive income amounted to W 40,614 million as of December
31, 2022.
66
v) Credit risk exposures per credit grade of off-balance items
Credit risk exposures per credit grade of off-balance items as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Grade 1 Grade 2 Impaired Total
Guarantee contracts:
12-month expected credit loss W 15,112,974 2,578,086 - 17,691,060
Life time expected credit loss 513,229 168,287 - 681,516
Impaired - - 1,711 1,711
15,626,203 2,746,373 1,711 18,374,287
Loan commitment and
other credit line
12-month expected credit loss 181,662,271 19,763,504 - 201,425,775
Life time expected credit loss 7,510,601 3,138,342 - 10,648,943
Impaired - - 4,152 4,152
189,172,872 22,901,846 4,152 212,078,870
W 204,799,075 25,648,219 5,863 230,453,157
December 31, 2022

Grade 1 Grade 2 Impaired Total
Guarantee contracts:
12-month expected credit loss W 14,262,990 3,314,584 - 17,577,574
Life time expected credit loss 386,159 164,400 - 550,559
Impaired - - 98,413 98,413
14,649,149 3,478,984 98,413 18,226,546
Loan commitment and
other credit line
12-month expected credit loss 178,765,686 17,418,916 - 196,184,602
Life time expected credit loss 6,287,658 3,011,715 - 9,299,373
Impaired - - 4,850 4,850
185,053,344 20,430,631 4,850 205,488,825
W 199,702,493 23,909,615 103,263 223,715,371
vi) Credit qualities are classified based on the internal credit rating as follows:
Type of Borrower Grade 1 Grade 2

Individuals Probability of default below 2.25% for Probability of default 2.25% or above
each pool for each pool
Government/Public OECD sovereign credit rating of 6 or OECD sovereign credit rating of below
agency/Central bank above 6
Banks and Corporations Internal credit rating of BBB+ or Internal credit rating of below BBB+
(Including credit card bond) above
Card receivables Behavior scoring system of 7 grade or Behavior scoring system of below 7
(Individuals) above grade
67
vii) Credit risk exposures per credit quality of derivative assets
Credit risk exposures per credit quality of derivative assets as of December 31, 2023 and 2022 are as follows:
December 31, 2023 December 31, 2022

Grade 1 W 4,264,499 5,941,421
Grade 2 446,922 519,231
W 4,711,421 6,460,652
(*) Credit risk per credit quality of derivative assets is classified based on the internal credit ratings.
68
viii) Concentration by geographic location

An analysis of concentration by geographic location for financial instrument, net of allowance, as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Classification (*) Korea USA UK Japan Germany Vietnam China Other Total
Due from banks and loans at amortized
cost
Banks W 5,077,652 3,063,531 307,509 371,901 946,100 1,577,823 1,610,517 2,144,214 15,099,247
Retail 164,718,020 414,632 7,927 4,682,914 2,189 3,629,576 1,883,206 2,115,880 177,454,344
Government/Public
sector/Central bank 17,922,312 455,682 2 1,360,853 222,960 304,743 341,837 1,372,676 21,981,065
Corporations 178,948,161 4,042,958 545,109 5,899,157 159,768 3,663,408 2,497,698 7,007,398 202,763,657
Card receivable 26,546,617 11,339 468 2,302 283 275,022 39,135 21,784 26,896,950
393,212,762 7,988,142 861,015 12,317,127 1,331,300 9,450,572 6,372,393 12,661,952 444,195,263
Deposits and loans at FVTPL

Banks 207,997 30,743 - - - - - - 238,740
Corporations 1,050,333 254,682 - 15,439 32,370 - - 197,741 1,550,565
1,258,330 285,425 - 15,439 32,370 - - 197,741 1,789,305
Securities measured at FVTPL 61,136,722 2,439,313 379,357 100,113 29,247 11,066 25,267 1,454,713 65,575,798
Securities at FVOCI 79,391,621 4,699,809 280,127 445,201 38,468 51,473 707,921 3,022,380 88,637,000
Securities at amortized cost 33,542,302 203,265 - 565,286 - 654,073 110,463 611,098 35,686,487
568,541,737 15,615,954 1,520,499 13,443,166 1,431,385 10,167,184 7,216,044 17,947,884 635,883,853
Off-balance accounts
Guarantees 16,993,719 155,883 7,607 55,086 15,639 197,031 595,236 354,086 18,374,287
Loan commitments and
other liabilities related to credit 200,907,271 1,465,839 226,423 461,892 93,295 1,972,723 2,315,614 4,635,813 212,078,870
W 217,900,990 1,621,722 234,030 516,978 108,934 2,169,754 2,910,850 4,989,899 230,453,157
(*) The following accounts are the net carrying amount less provision for doubtful accounts.
69
viii) Concentration by geographic location (continued)

An analysis of concentration by geographic location for financial instrument, net of allowance, as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Classification (*) Korea USA UK Japan Germany Vietnam China Other Total
Due from banks and loans at amortized
cost
Banks W 6,367,727 2,290,765 765,152 879,022 675,370 1,793,330 3,861,678 3,948,810 20,581,854
Retail 166,730,407 403,445 8,199 4,357,325 3,716 3,183,424 2,030,305 1,772,103 178,488,924
Government/Public
sector/Central bank 11,305,005 915,306 - 1,404,163 426,747 345,843 441,551 696,219 15,534,834
Corporations 171,628,946 3,695,275 451,261 5,153,523 105,205 3,228,817 2,694,661 6,706,870 193,664,558
Card receivable 27,065,988 11,017 428 2,291 286 236,095 38,416 20,641 27,375,162
383,098,073 7,315,808 1,225,040 11,796,324 1,211,324 8,787,509 9,066,611 13,144,643 435,645,332
Deposits and loans at FVTPL

Banks 109,098 26,116 - - - - - - 135,214
Corporations 1,510,976 285,107 82,172 17,829 - - - 383,997 2,280,081
1,620,074 311,223 82,172 17,829 - - - 383,997 2,415,295
Securities measured at FVTPL 51,579,115 2,017,278 252,390 58,344 23,610 31,952 16,469 1,256,115 55,235,273
Securities at FVOCI 76,225,925 3,832,670 193,598 348,240 34,065 92,940 710,375 2,358,762 83,796,575
Securities at amortized cost 31,678,234 200,475 - 214,653 - 726,476 110,884 440,476 33,371,198
544,201,421 13,677,454 1,753,200 12,435,390 1,268,999 9,638,877 9,904,339 17,583,993 610,463,673
Guarantees 16,426,498 118,951 23,481 47,805 44,203 329,904 1,015,543 220,161 18,226,546
other liabilities related to credit 194,470,275 1,312,830 317,335 550,116 42,230 1,816,773 2,548,483 4,430,783 205,488,825
W 210,896,773 1,431,781 340,816 597,921 86,433 2,146,677 3,564,026 4,650,944 223,715,371
(*) The following accounts are the net carrying amount less provision for doubtful accounts.
70
ix) Concentration by industry sector
An analysis of concentration by industry sector of financial instrument, net of allowance, as of and December 31, 2023 and 2022 is as follows:
December 31, 2023

Finance and Manu Retail and Real estate Construction Lodging and Retail
Classification (*)
insurance -facturing wholesale and business service Restaurant Other customers Total
Due from banks and loans
at amortized cost:
Banks W 14,677,168 - - - - - 422,079 - 15,099,247
Retail - - - - - - - 177,454,344 177,454,344
Government/Public
sector/Central bank 21,767,450 - - - - - 213,615 - 21,981,065
Corporations 17,974,146 58,338,956 23,517,815 47,301,730 4,823,554 6,730,886 44,076,570 - 202,763,657
Card receivable 56,507 276,256 284,905 71,169 45,769 19,810 948,359 25,194,175 26,896,950
54,475,271 58,615,212 23,802,720 47,372,899 4,869,323 6,750,696 45,660,623 202,648,519 444,195,263
at FVTPL
Banks 30,743 - - 49,526 99,043 - 59,428 - 238,740
Corporations 1,037,896 235,232 105,890 70,716 - 1,000 99,831 - 1,550,565
1,068,639 235,232 105,890 120,242 99,043 1,000 159,259 - 1,789,305
Securities measured at
FVTPL 35,228,859 3,211,188 1,175,495 1,308,223 98,864 68,630 24,484,539 - 65,575,798
Securities at FVOCI 30,283,670 2,934,740 734,170 1,698,290 1,774,505 31,055 51,180,570 - 88,637,000
Securities at amortized
cost 11,514,420 9,961 - 354,906 284,080 - 23,523,120 - 35,686,487
132,570,859 65,006,333 25,818,275 50,854,560 7,125,815 6,851,381 145,008,111 202,648,519 635,883,853
Guarantees 2,518,182 9,139,168 3,504,409 119,573 152,112 60,077 2,601,841 278,925 18,374,287
other liabilities related
to credit 17,773,113 32,356,393 10,328,099 4,715,541 2,471,645 428,695 17,788,097 126,217,287 212,078,870
W 20,291,295 41,495,561 13,832,508 4,835,114 2,623,757 488,772 20,389,938 126,496,212 230,453,157
(*) The composition details by industry are net book value less allowances.
71
ix) Concentration by industry sector (continued)
An analysis of concentration by industry sector of financial instrument, net of allowance, as of and December 31, 2023 and 2022 is as follows:
December 31, 2022

Finance and Manu Retail and Real estate Construction Lodging and Retail
Classification (*)
insurance -facturing wholesale and business service Restaurant Other customers Total
at amortized cost:
Banks W 19,930,200 - - - 29,979 - 621,675 - 20,581,854
Retail - - - - - - - 178,488,924 178,488,924
Government/Public
sector/Central bank 15,422,401 - - 1,296 - - 111,137 - 15,534,834
Corporations 16,736,386 57,871,357 22,984,739 45,509,574 4,595,604 6,619,476 39,347,422 - 193,664,558
Card receivable 47,835 276,473 266,220 49,060 51,113 31,333 1,084,143 25,568,985 27,375,162
52,136,822 58,147,830 23,250,959 45,559,930 4,676,696 6,650,809 41,164,377 204,057,909 435,645,332
at FVTPL
Banks 26,115 - - 69,533 - - 39,566 - 135,214
Corporations 1,287,647 615,693 94,393 154,329 68,460 - 59,559 - 2,280,081
1,313,762 615,693 94,393 223,862 68,460 - 99,125 - 2,415,295
Securities measured at
FVTPL 29,833,691 2,071,169 1,018,407 1,044,165 264,582 89,394 20,913,865 - 55,235,273
Securities at FVOCI 29,352,584 3,077,810 698,295 1,494,691 1,772,839 38,704 47,361,652 - 83,796,575
cost 10,508,828 9,931 - 278,757 293,930 - 22,279,752 - 33,371,198
123,145,687 63,922,433 25,062,054 48,601,405 7,076,507 6,778,907 131,818,771 204,057,909 610,463,673
Guarantees 2,444,168 8,998,689 3,403,653 115,912 224,439 112,755 2,576,924 350,006 18,226,546
other liabilities related
to credit 17,871,585 28,414,045 10,535,492 4,106,282 2,275,112 462,976 15,682,906 126,140,427 205,488,825
W 20,315,753 37,412,734 13,939,145 4,222,194 2,499,551 575,731 18,259,830 126,490,433 223,715,371
(*) The composition details by industry are net book value less allowances.
72
(c) Market risk
i) Market risk management from trading positions
i-1) Concept of Market risk
Market risk is defined as the risk of loss of trading account position of financial institutions due to changes on market
price, such as interest rates, exchange rates and stock prices, etc. and is divided into general market risks and
individual risks. A general market risk refers to a loss from price variability caused by events affecting the market as
a whole, such as interest rates, exchange rates and stock prices; and an individual risk refers to a loss from price
variability related to individual events of securities issuer, such as bonds and stocks.
i-2) Market Risk Management Method
The basic principle of market risk management in the trading sector is to maintain the maximum possible loss due to
market risk within a certain level. To this end, the Group sets and operates VaR limits, investment limits, position
limits, sensitivity limits, and loss limits from the portfolio to individual desks. These limits are managed daily by the
department in charge of risk management, independent from the operating department.
Trading positions refer to all transactions for holding purposes such as short-term resale, profit seeking through short-
term price fluctuations, risk-free arbitrage, and risk hedging. Trading positions refer to securities, foreign exchange
positions, and derivative financial instruments held for the purpose of obtaining short-term trading gains. As a method
of measuring market risk, VaR (Value at Risk) is typical, and it is a statistical measurement of the potential maximum
loss that can occur due to changes in market conditions. VaR calculates the standard method market risk using the
Group Market Risk Measurement System, and Shinhan Bank calculates the standard method market risk using its
own model market risk calculation system. Shinhan Financial Investment uses its own market risk calculation system
to calculate historical simulation VaR and the group market risk system to calculate standard method market risk.
Stress tests are conducted to supplement risk measurement by statistical methods and to manage losses that may arise
from rapid changes in the economic environment.
Shinhan Bank measures the risk of trading account products by applying market risk standard methods. The trading
account calculates market risk if it is for holding purposes such as short-term resale, profit seeking through short-
term price fluctuations, risk-free arbitrage, and risk hedging. The standard method is a risk calculation method
proposed by Basel Board of Banking Supervisors (BCBS) of Bank for International Settlements (BIS), Korea has
reflected the Basel 3 standards of market risk sector to the detailed regulations on supervision of bank business from
FY23 and followed these regulations. The standard method of the Basel 3 standards is the method to calculate and
add up sensitivity risk, bankruptcy risk, and residual risk. Sensitivity risk measures delta, vega, and coverage of
general interest rates, credit spreads, stocks, general products, and foreign exchange. Delta refers to the change in
product value due to changes in the price of the underlying asset, and vega refers to the change in product value due
to changes in the volatility of the underlying asset. Coverage is defined as a loss that exceeds the delta risk in the
event of an upward or downward shock to the underlying asset. Sensitivity risk is designed to measure both linear
and non-linear risks of factors affecting value fluctuations regardless of the characteristics of the product. Default
risk measures the discrete default risk of the underlying asset that cannot be captured in sensitivity risk. Complete
offsetting between purchase and sale exposures of the same borrower is possible. Residual risk is a concept that
calculates additional risk because sensitivity risk and default risk are not accurately measured when there is a special
profit/loss structure or the underlying asset is special.
Trading position data is automatically interfaced into management system, and the system conducts VaR
measurement and manages the limit. In addition, Shinhan Bank sets loss limit, sensitivity limit, investment limit,
stress limit, etc. for Trading Department and desks, and monitors daily.
73
(c) Market risk (continued)
i) Market risk management from trading positions (continued)
i-2) Market Risk Management Method (continued)
Shinhan Securities measures daily market risk by applying historical simulation VaR method of 99.9% confidence
level-based VaR. It also measures market risk standard methods to ensure consistent market risk management at the
group level. Historical simulation VaR method does not require assumption on a particular distribution since the
method derives scenarios directly from historical market data, and measures non-linear products, such as options, in
details. In addition to the VaR limit, Shinhan Securities sets and manages issuance and transaction limit, and stop-
loss limit for each department.
Until the previous year, market risk was calculated using the standard method of the Basel 2 standards stipulated in
<Appendix 3-2> of the Detailed Regulations on Supervision of Bank Business. However, from the current year, the
detailed regulations on supervision of bank business have been revised and the Group calculated market risk by using
the standard method of the Basel 3 standards.
An analysis of the Group’s requisite capital in light of the market risk for trading positions as of and for the years
ended December 31, 2023 and 2022 based on the standard guidelines for risk management promulgated by the
Financial Supervisory Service, is as follows:
December 31, 2023

Average Maximum Minimum December 31
Sensitivity risk
GIRR (*1) W 269,253 284,978 253,527 276,940
CSR-Non-Securitisations
(*2) 445,372 482,311 408,432 480,494
CSR-Securitisations
(Non-CTP) 70,592 70,685 70,499 70,685
(CTP) 363 376 349 376
Stock 326,821 332,623 321,019 330,212
Foreign 423,765 449,030 398,499 449,030
Commodity 1,646 1,692 1,600 1,600
W 1,537,812 1,621,695 1,453,925 1,609,337
Default risk
Non-Securitisations W 37,808 37,808 37,808 37,808
Securitisations
(Excluding CTP) 162,599 162,599 162,599 162,599
Securitisations (CTP) 71 71 71 71
W 200,478 200,478 200,478 200,478
Residual risk 7,654 7,654 7,654 7,654
W 1,745,944 1,829,827 1,662,057 1,817,469
(*1) GIRR (General Interest Rate Risk) : General interest rate risk, a concept that measures the risk of loss due to
changes in the risk-free interest rate. In general, if the maturity is long and the value changes fluctuates a lot due to
interest rate changes, the risk value is calculated to be large.
(*2) CSR (Credit Spread Risk) : Credit spread risk, a concept that measures the risk of value fluctuations as credit
spreads fluctuate independently of the risk-free interest rate for products with inherent credit risk.
74
i-2) Market Risk Management Method (continued)
December 31, 2022

Interest rate risk W 485,531 526,936 447,425 447,425
Stock price risk 217,845 242,341 196,879 242,341
Foreign exchange risk 334,543 374,984 293,437 344,415
Commodity risk 11,624 14,309 9,213 9,213
Option volatility risk 64,208 71,811 43,374 70,770
W 1,113,751 1,230,381 990,328 1,114,164
i-3) Shinhan Bank

The details of the minimum, maximum, and average risk amount during the reporting period for trading positions of
Shinhan Bank and the market risk regulatory capital based on the Basel 3 new standard method as of and for the
years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Sensitivity Risk
GIRR (*1) W 116,399 155,797 101,067 107,348
(*2) 154,644 165,117 142,492 153,034
CSR-Securitisations
(Non-CTP) 28,170 34,370 21,625 26,187
Stock 43,875 47,598 30,750 30,750
Foreign 438,405 458,406 423,287 458,406
Commodity 142 292 - 119
W 780,069 820,230 750,291 775,844
Default Risk
Non-Securitisations W 105,604 113,798 88,899 107,695
Securitisations
(Excluding CTP) 59,721 64,795 55,054 59,549
W 165,325 175,923 146,003 167,244
Residual Risk 2,063 2,175 1,719 1,719
W 947,456 992,483 898,320 944,807
(*1) GIRR : General Interest Rate Risk

(*2) CSR : Credit Spread Risk
75
i-3) Shinhan Bank (continued)
December 31, 2022

Stock price risk 20,303 24,879 13,443 21,659
Foreign exchange risk(*) 191,013 262,319 161,760 252,453
Option volatility risk 84 211 25 110
Commodity risk 13 193 - 27
Portfolio diversification
effect (33,760) (77,335) (10,872) (62,957)
W 222,372 274,895 188,678 265,069
(*) The amount includes trading positions and non-trading positions.
76
i-4) Shinhan Card
The analyses of Shinhan Card’s requisite capital in light of the market risk for trading positions as of and for the
years ended December 31, 2023 and 2022, based on the standard guidelines for risk management promulgated by
the Financial Supervisory Service, are as follows:
December 31, 2023

Interest rate risk (*) W 2,476 4,352 800 4,352
December 31, 2022

Interest rate risk (*) W 1,784 2,401 1,650 1,801
(*) Foreign subsidiaries are excluded from the calculation.
i-5) Shinhan Securities
The VaR details for trading positions of Shinhan Securities as of and for the years ended December 31, 2023 and
December 31, 2023

Stock price risk 47,759 71,681 13,483 20,384
effect (81,712)
W 79,449 107,852 31,857 35,426
December 31, 2022

Stock price risk 36,100 63,956 14,507 25,762
effect (74,885)
W 103,192 127,669 76,822 97,037
77
i-6) Shinhan Life Insurance
The VaR details for trading positions of Shinhan Life Insurance as of and for the years ended December 31, 2023
and 2022 are as follows:
December 31, 2023

Stock price risk 8,623 10,798 7,183 7,522
Option volatility risk 955 1,692 420 1,233
W 77,576 98,877 61,094 62,945
(*) The market risk exposure for performance dividend-type assets held is W 5,346,730 million as of December 31,
2023, and the minimum guaranteed risk amount that could result in an impact on the Group calculated using the
internal shock scenario method as of the end of the reporting period is W 228,451 million as of December 31, 2023.
December 31, 2022

Stock price risk 9,441 11,034 6,206 9,505
Option volatility risk 179 494 11 494
W 28,652 46,747 11,940 41,877
(*) The market risk exposure for performance dividend-type assets held is W 5,061,839 million as of December 31,
2022, and the minimum guaranteed risk amount that could result in an impact on the Group calculated using the
internal shock scenario method as of the end of the reporting period is W 366,776 million as of December 31, 2022.
78
ii) Interest rate risk management from non-trading positions
ii-1) Principle
Interest rate risk refers to the possibility of a decrease in net interest income or in net asset value that occurs when
interest rates fluctuate unfavorably from the Group's financial position. The Group manages changes in net interest
income or net asset value that occur due to changes in interest rates by early predicting the factors of interest rate risk
fluctuation related to the Group's net interest income and net asset value through the interest rate risk management.
ii-2) Managements
Shinhan Financial Group's major financial subsidiaries manage interest rate risks independently by the risk
management organization and the treasury department, and have internal regulations on interest rate risk
management strategies, procedures, organization, measurement, and major assumptions.
One of the key indicators of managing interest rate risk is the Earnings at Risk (EaR) from an earning perspective
and the Value at Risk (VaR) from an economic value perspective. Interest rate VaR represents the maximum
anticipated loss in a net present value calculation, whereas interest rate EaR represents the maximum anticipated
loss in a net interest income calculation for the immediately following one-year period, in each case, as a result of
negative movements in interest rates.
The precision of risk management system differs by each subsidiary. Interest rate VaR and interest rate EaR are
measured by internal method or IRRBB (Interest Rate Risk in the Banking Book), and interest rate risk limits are
set and monitored based on the interest rate VaR. In accordance with the amendments in Regulations for Supervision
of Financial Holding Companies, the Group measures the interest rate risk using the Basel III based IRRBB, which
measures the interest rate risk more precisely than the existing BIS standard framework by segmenting maturities of
interest rates, reflecting customer behavior models and diversifying interest rate shocks. The interest rate VaR
scenario based IRRBB measures ① parallel up shock ② parallel down shock ③ steepener shock ④ flattener shock
⑤ short rate up shock ⑥ short rate down shock. By the parallel up shock and parallel down shock, the interest rate
EaR scenario measures the scenario value with the largest loss as interest rate risk. Under the existing BIS standard
framework, ± 200bp parallel shock scenario is applied to all currency. However, as the shock width is set differently
by currency and period, interest rate risk is measured significantly by the IRRBB (e.g. (KRW) Parallel ± 300bp,
Short Term ± 400bp, Long Term ± 200bp, (USD) Parallel ± 200bp, Short Term ± 300bp, Long Term ± 150bp). In
the IRRBB method, the existing interest rate VaR and the interest rate EaR are expressed as △ EVE (Economic
Value of Equity) and △ NII (Net Interest Income), respectively.
Since impacts of each subsidiary on changes of interest rates are differentiated by portfolios, the Group is preparing
to respond proactively while monitoring the financial market and regulatory environment, and making efforts to
hedge or reduce interest rate risk. In addition, the subsidiaries conduct the crisis analysis on changes in market
interest rates and report it to management and the Group.
In particular, through its ALM (Asset and Liability Management) system, Shinhan Bank measures and manages its
interest rate risk based on various analytical measures such as interest rate gap, duration gap and NPV (Net Present
Value) and NII (Net Interest Income) simulations, and monitors on a monthly basis its interest rate VaR limits,
interest rate EaR (Earnings at Risk) limits and interest rate gap ratio limits.
79
ii) Interest rate risk management from non-trading positions (continued):
The details of interest rate VaR and EaR for major subsidiaries for as of December 31, 2023 and 2022 are as follows:
ii-3) Shinhan Bank

△EVE (*1) W 1,185,973 1,046,136
△NII (*2) 394,996 599,941
ii-4) Shinhan Card

△EVE (*1) W 952,836 1,249,597
△NII (*2) 591,935 693,911
ii-5) Shinhan Securities

△EVE (*1) W 249,806 212,135
△NII (*2) 269,678 95,076
ii-6) Shinhan Life Insurance

△EVE (*1) W 4,434,253 2,353,230
△NII (*2) 35,901 62,923
(*1) △EVE is the change in economic value of equity capital that can arise from changes in interest rates that affect
the present value of assets, liabilities and off-balance sheet items by using the Basel III standard based IRRBB method.
(*2) △NII is the change in net interest income that can occur over the next year due to changes in interest rates by
using the Basel III standard based IRRBB method.
80
iii) Foreign exchange risk
Exposure to foreign exchange risk can be defined as the difference (net position) between assets and liabilities
presented in foreign currency, including derivative financial instruments linked to foreign exchange rate. Foreign
exchange risk is a factor that causes market risk of the trading position and is managed by the Group under the market
risk management system.
The management of Shinhan Bank’s foreign exchange position is centralized at the S&T Center. Dealers in the S&T
Center manage Shinhan Bank’s overall position within the set limits through spot trading, forward contracts, currency
options, futures and swaps and foreign exchange swaps. Shinhan Bank sets a limit for net open positions by currency
and the limits for currencies other than the U.S. dollars (USD), Japanese yen (JPY), Euros (EUR) and Chinese yuan
(CNY) are set in order to minimize exposures from the other foreign exchange trading.
Foreign currency denominated assets and liabilities as of December 31, 2023 and 2022 are as follows:
December 31, 2023

USD JPY EUR CNY Other Total
Assets:
amortized cost W 10,473,766 2,318,380 140,319 654,444 3,975,017 17,561,926
Due from banks at FVTPL 30,743 - - - - 30,743
Loans at FVTPL 385,844 - 114,389 - - 500,233
Loan at amortized cost 23,694,171 11,663,301 1,556,746 4,018,660 12,182,861 53,115,739
Securities at FVTPL 5,765,741 8,255 761,046 5,230 545,306 7,085,578
Derivative assets 1,014,150 2,346 27,418 878 105,335 1,150,127
Securities at FVOCI 8,308,952 175,740 544,248 564,791 2,169,907 11,763,638
Securities at amortized cost 263,027 553,509 - 110,532 1,281,941 2,209,009
Other financial assets 5,971,194 637,612 831,019 441,906 979,795 8,861,526
W 55,907,588 15,359,143 3,975,185 5,796,441 21,240,162 102,278,519
Liabilities:
Deposits W 22,790,616 14,562,435 1,535,925 4,152,363 12,428,069 55,469,408
Financial liabilities at
FVTPL 362,642 - - - 422,861 785,503
Derivative liabilities 841,175 2 35,679 591 94,701 972,148
Borrowings 9,670,444 1,392,637 208,335 115,798 1,284,046 12,671,260
Debt securities issued 10,916,488 337,684 713,295 - 1,258,257 13,225,724
Financial liabilities
designated at FVTPL 909,250 3,188 - - - 912,438
Other financial liabilities 6,844,891 183,500 769,928 777,986 805,002 9,381,307
W 52,335,506 16,479,446 3,263,162 5,046,738 16,292,936 93,417,788
Net domestic and foreign

currency exposure W 3,572,082 (1,120,303) 712,023 749,703 4,947,226 8,860,731
Off-balance derivative
exposure 808,139 1,716,328 (340,327) (328,756) (1,898,176) (42,792)
Net foreign currency exposure W 4,380,221 596,025 371,696 420,947 3,049,050 8,817,939
81
iii) Foreign exchange risk (continued)
Foreign currency denominated assets and liabilities as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

USD JPY EUR CNY Other Total
Assets:
amortized cost W 6,944,183 2,071,895 266,891 715,471 4,891,175 14,889,615
Due from banks at FVTPL 26,116 - - - - 26,116
Loans at FVTPL 291,678 - 239,520 - - 531,198
Loan at amortized cost 29,077,790 10,608,558 1,735,218 5,021,722 10,639,672 57,082,960
Securities at FVTPL 5,020,483 5,963 661,762 425 406,292 6,094,925
Derivative assets 1,476,251 2,585 33,613 4,598 33,866 1,550,913
Securities at FVOCI 7,042,145 180,352 438,288 498,367 1,629,606 9,788,758
Securities at amortized cost 272,421 203,102 - 110,997 1,162,523 1,749,043
Other financial assets 3,485,071 597,067 563,313 344,126 1,551,874 6,541,451
W 53,636,138 13,669,522 3,938,605 6,695,706 20,315,008 98,254,979
Liabilities:
Deposits W 25,719,297 11,812,723 1,633,007 5,035,481 11,769,661 55,970,169
Financial liabilities at
FVTPL 10,038 - - - 422,006 432,044
Derivative liabilities 1,345,476 1,899 59,206 3,074 77,662 1,487,317
Borrowings 9,976,462 1,349,529 182,926 85,862 1,226,389 12,821,168
Debt securities issued 10,774,062 352,677 675,600 108,864 1,495,991 13,407,194
designated at FVTPL 1,077,789 - - - - 1,077,789
Other financial liabilities 4,287,930 259,683 621,770 889,138 1,525,377 7,583,898
W 53,191,054 13,776,511 3,172,509 6,122,419 16,517,086 92,779,579
Net domestic and foreign

currency exposure W 445,084 (106,989) 766,096 573,287 3,797,922 5,475,400
Off-balance derivative
exposure 3,801,144 718,660 (451,993) (55,705) (1,671,041) 2,341,065
Net foreign currency exposure W 4,246,228 611,671 314,103 517,582 2,126,881 7,816,465
82
(d) Liquidity risk
Liquidity risk refers to the risk of unexpected losses (such as the disposal of assets abnormal pricing, the procurement
of high interest rates, etc.) or insolvency due to inconsistency in funding periods between assets and liabilities or a
sudden outflow of funds.
Each subsidiary seeks to minimize liquidity risk through early detection of risk factors related to the sourcing and
managing of funding that may cause volatility in liquidity and by ensuring that it maintains an appropriate level of
liquidity through systematic management. At the Group level, the Group manages liquidity risk by conducting
monthly stress tests that compare liquidity requirements under normal situations against those under three types of
stress situations, namely, the group-specific internal crisis, crisis in the external market and a combination of internal
and external crisis. Therefore, the Group is checking the liquidity side for abnormalities in preparation for the usual
crisis.
In particular, after the bankruptcy of Silicon Valley Bank, the Group have been strengthening its ability to respond
to liquidity crises by conducting crisis situation analysis using bank run scenarios for banks and savings bank
subsidiaries and establishing and inspecting emergency procurement plans accordingly.
In addition, in order to pre-emptively and comprehensively manage liquidity risk, the Group measures and monitors
liquidity risk management using various indices, including the ‘limit management index’, ‘early warning index’ and
‘monitoring index’.
Shinhan Bank applies the following basic principles for liquidity risk management:
- Raise funding in sufficient amounts, at the optimal time at reasonable costs;

- Maintain risk at appropriate levels and preemptively manage them through a prescribed risk limit system and an
early warning signal detection system;
- Secure stable sources of revenue and minimize actual losses by implementing an effective asset-liability management
system based on diversified sources of funding with varying maturities;
- Monitor and manage daily and intra-daily liquidity positions and risk exposures for timely payment and settlement
of financial obligations due under both normal and crisis situations;
- Conduct periodic contingency analysis in anticipation of any potential liquidity crisis and establish and implement
emergency plans in case of a crisis actually happening; and
- Consider liquidity-related costs, benefits of and risks in determining the pricing of the Group’s products and services,
employee performance evaluations and approval of launching of new products and services.
Shinhan Card sets and operates a level that can withstand a 3-month credit crunch for end-of-month liquidity. The
Group defines and manages the level of ‘cautious’, ‘alert’, ‘imminent crisis’, and ‘crisis’ and risk for the real liquidity
gap ratio, liquidity buffer ratio, and ABS weight compared to borrowings which are major indicators related to
liquidity risk. A contingency plan has been established to prepare for a crisis.
83
(d) Liquidity risk (continued)
The details of the composition of non-derivative financial instruments and derivative financial instruments by remaining period are as of December 31, 2023 and 2022 are as follows:
December 31, 2023 (*1)
Less than 1~3 3~6 6 months 1~5 More than
1 month months months ~ 1 year years 5 years Total
Non-derivative financial instruments:
Assets:
Cash and due from banks at amortized cost W 31,107,629 734,193 83,972 159,377 189,601 2,560,084 34,834,856
Due from banks at fair value through profit
or loss - - - - - 30,743 30,743
Loans at fair value through profit or loss 308,740 421,193 85,467 9,739 923,364 76,062 1,824,565
Loans at amortized cost 37,692,048 50,813,677 65,503,264 96,981,341 130,306,477 101,012,508 482,309,315
Securities at fair value through profit or
loss 38,919,131 1,642,951 682,000 559,767 7,258,255 20,304,519 69,366,623
Securities at fair value through other
comprehensive income 42,256,944 445,463 539,255 2,336,017 14,033,768 30,785,721 90,397,168
Securities at amortized cost 899,355 3,258,092 1,964,229 4,323,906 21,357,255 7,573,653 39,376,490
Other financial assets 22,148,927 393,344 128,067 324,305 384,541 1,866,191 25,245,375
W 173,332,774 57,708,913 68,986,254 104,694,452 174,453,261 164,209,481 743,385,135
Liabilities:
Deposits (*2) W 204,353,639 49,995,140 43,382,707 65,673,174 24,930,159 2,931,998 391,266,817
Financial liabilities at fair value through
profit or loss 410,381 358 586 1,202 6,816 1,449,634 1,868,977
Borrowings 19,310,777 5,678,981 6,166,750 9,811,684 14,182,221 5,170,111 60,320,524
Debt securities issued 4,496,200 7,218,255 7,931,732 18,000,681 45,961,768 3,734,554 87,343,190
Financial liabilities designated at fair
value through profit or loss 309,713 1,252,877 1,774,016 1,821,666 1,324,185 1,356,579 7,839,036
Investment contract liabilities 245,353 110,050 67,039 423,484 726,759 - 1,572,685
Other financial liabilities 39,957,559 219,656 394,997 252,445 1,637,763 808,731 43,271,151
W 269,083,622 64,475,317 59,717,827 95,984,336 88,769,671 15,451,607 593,482,380
Off balance (*3):
Guarantee contracts W 18,374,287 - - - - - 18,374,287
Other liabilities related to loan
commitments 212,078,870 - - - - - 212,078,870
W 230,453,157 - - - - - 230,453,157
Derivatives W 131,174 (101,655) (335,841) (104,002) (1,657,294) 134,835 (1,932,783)
84
The details of the composition of non-derivative financial instruments and derivative financial instruments by remaining period are as of December 31, 2023 and 2022 are as follows
(continued):
December 31, 2022 (*1)
Less than 1~3 3~6 6 months 1~5 More than 5
1 month months months ~ 1 year years years Total
Non-derivative financial instruments:
Assets:
Cash and due from banks at amortized cost W 25,535,924 1,038,410 530,121 1,812,917 158,893 1,111,663 30,187,928
Due from banks at fair value through profit or
loss - - - - - 26,116 26,116
Loans at fair value through profit or loss 424,585 858,019 58,705 141,706 735,426 329,636 2,548,077
Loans at amortized cost 40,128,332 50,154,981 62,225,328 95,147,376 134,775,595 83,422,609 465,854,221
Securities at fair value through profit or loss 42,309,917 135,169 460,708 522,176 4,242,650 11,413,859 59,084,479
comprehensive income 53,852,989 1,725,111 589,944 1,194,842 9,096,740 19,025,169 85,484,795
Securities at amortized cost 479,464 1,820,022 1,164,164 4,908,796 22,790,254 6,385,745 37,548,445
Other financial assets 17,803,851 85,593 59,249 344,924 338,045 1,796,898 20,428,560
W 180,535,062 55,817,305 65,088,219 104,072,737 172,137,603 123,511,695 701,162,621
Liabilities:
Deposits (*2) W 210,877,656 42,661,824 41,864,404 71,259,303 21,141,919 2,627,394 390,432,500
Financial liabilities at fair value through profit
or loss 1,148,899 - - - - - 1,148,899
Borrowings 11,960,133 4,760,388 4,798,388 7,249,539 12,298,388 9,024,107 50,090,943
Debt securities issued 4,563,916 8,368,614 9,646,088 16,486,221 37,534,713 5,157,377 81,756,929
Financial liabilities designated at fair value
through profit or loss 276,430 725,909 706,117 1,511,517 4,063,511 1,092,827 8,376,311
Investment contract liabilities 58,181 60,526 160,990 1,549,293 304,596 - 2,133,586
Other financial liabilities 27,603,371 104,887 132,284 286,956 1,037,388 113,755 29,278,641
W 256,488,586 56,682,148 57,308,271 98,342,829 76,380,515 18,015,460 563,217,809
Off balance (*3):
Guarantee contracts W 18,226,546 - - - - - 18,226,546
Other liabilities related to loan commitments 205,488,825 - - - - - 205,488,825
W 223,715,371 - - - - - 223,715,371
Derivatives W (385,204) 8,916 (7,058) (220,528) (1,213,983) (24,069) (1,841,926)
85
(*1) These amounts include cash flows of principal and interest on financial assets and financial liabilities.
(*2) Demand deposits amounting to W 151,177,041 million and W157,446,276 million as of December 31, 2023
and 2022 are included in the ‘Less than 1 month’ category, respectively.
(*3) Though guarantees, loan agreements, and other credit offerings provided by the Group exist, if the counterparty
requests a payment, the Group should fulfill the obligation immediately.
(e) Measurement of fair value
The fair values of financial instruments being traded in an active market are determined by the published market
prices of each period end. The published market prices of financial instruments being held by the Group are based
on the trading agencies’ notifications.
If the market for a financial instrument is not active, such as OTC (Over The Counter market) derivatives, fair value
is determined either by using a valuation technique or independent third-party valuation service. The Group uses its
judgment to select a variety of methods and make rational assumptions that are mainly based on market conditions
existing at the end of each reporting period.
The fair value of financial instruments is determined using valuation techniques; a method of using recent transactions
between independent parties with reasonable judgment and willingness to trade, a method of referring to the current
fair value of other financial instruments that are substantially identical, discounted cash flow model and option pricing
models. For example, the fair value of an interest rate swap is calculated as the present value of the expected future
cash flows, and the fair value of foreign exchange forwarding contract is calculated by applying the public forward
exchange rate at the end of the reporting period.
The Group classifies and discloses fair value of financial instruments into the following three-level hierarchy:
 Level 1: Financial instruments measured at quoted prices from active markets are classified as fair value level
1.
 Level 2: Financial instruments measured using valuation techniques where all significant inputs are observable
market data are classified as level 2.
 Level 3: Financial instruments measured using valuation techniques where one or more significant inputs are
not based on observable market data are classified as level 3.
86
(e) Measurement of fair value (continued)
i) Financial instruments measured at fair value
i-1) The fair value hierarchy of financial instruments presented at their fair values in the statements of financial
position as of December 31, 2023 and 2022 are as follows:
December 31, 2023
Level 1 Level 2 Level 3(*3) Total
Financial assets:
Due from banks measured at FVTPL W - 30,743 - 30,743
Loans at FVTPL (*1) - 515,564 1,242,998 1,758,562
Securities at FVTPL:
Debt securities and other securities (*2) 11,248,555 39,736,457 14,487,080 65,472,092
Equity securities 2,253,651 - 1,597,810 3,851,461
Gold/silver deposits 103,706 - - 103,706
13,605,912 39,736,457 16,084,890 69,427,259
Derivative assets:
Trading 117,929 3,709,058 632,213 4,459,200
Hedging - 252,221 - 252,221
117,929 3,961,279 632,213 4,711,421
Securities measured at FVOCI:
Debt securities 39,111,078 49,525,922 - 88,637,000
Equity securities 725,796 - 949,183 1,674,979
39,836,874 49,525,922 949,183 90,311,979
W 53,560,715 93,769,965 18,909,284 166,239,964
Financial liabilities:
Financial liabilities measured at FVTPL:
Securities sold W 1,449,634 - - 1,449,634
1,868,977 - - 1,868,977
through profit or loss:
Derivatives-combined securities (*2) - 816,643 6,725,252 7,541,895
Debt securities issued - 254,832 - 254,832
- 1,071,475 6,725,252 7,796,727
Derivative liabilities:
Trading 46,578 3,369,771 783,587 4,199,936
Hedging - 614,285 224,195 838,480
46,578 3,984,056 1,007,782 5,038,416
W 1,915,555 5,055,531 7,733,034 14,704,120
(*1) Of the Financial assets at FVTPL invested by the Group, P-note’s valuation of amount related to Lime Asset
Management is W 92 billion. As of December 31, 2023, in this regard, international disputes are under way, the Group
has estimated its fair value based on financial information within the recent audit report of underlying assets since it
doesn’t have fair market value observable through active trading markets. Accounting estimates and assumptions used
in preparing consolidated financial statements may lead to adjustment in response to changes in uncertainty, such as
information and market conditions available in the future. In addition, the ultimate impact on the business, financial
condition, performance, and liquidity of the Group is unpredictable.
(*2) Financial instruments (Beneficiary certificates: W 143.5 billion and derivatives-combined securities: W 143.5
billion) related to GEN2 Partners asset management were delayed in repurchase for the year ended December 31,
2020. The Group estimated fair value using the net asset value based on the most recent data available for the
repurchase suspension fund. Since then, it has an uncertainty in measuring fair value due to market conditions.
(*3) Shinhan Securities Co., Ltd.' level 3 over-the-counter derivatives is recognized W 66,866 million in financial
assets measured at fair value through profit or loss, W 6,725,252 million in financial liabilities designated at fair value
through profit or loss, W 629,223 million in derivative assets, and W 785,312 million in derivative liabilities. The fair
value of over-the-counter derivatives classified as level 3 above is measured using Shinhan Securities Co., Ltd.’s
internal valuation model.
87
i) Financial instruments measured at fair value (continued)
i-1) The fair value hierarchy of financial instruments presented at their fair values in the statements of financial
position as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2022
Level 1 Level 2 Level 3(*3) Total
Financial assets:
Due from banks measured at FVTPL W - 26,116 - 26,116
Loans at FVTPL (*1) - 957,543 1,431,637 2,389,180
Securities at FVTPL:
Debt securities and other securities (*2) 8,660,224 34,783,829 11,715,251 55,159,304
Equity securities 1,952,419 5,044 1,900,249 3,857,712
10,688,612 34,788,873 13,615,500 59,092,985
Derivative assets:
Trading 47,687 5,585,517 529,144 6,162,348
Hedging - 298,304 - 298,304
47,687 5,883,821 529,144 6,460,652
Securities measured at FVOCI:
Debt securities 38,446,610 45,349,965 - 83,796,575
Equity securities 691,257 - 981,329 1,672,586
39,137,867 45,349,965 981,329 85,469,161
W 49,874,166 87,006,318 16,557,610 153,438,094
Financial liabilities measured at FVTPL:
Securities sold W 724,104 - - 724,104
1,146,110 - - 1,146,110
through profit or loss:
Derivatives-combined securities (*2) - 389,132 7,930,909 8,320,041
Debt securities issued - 47,327 - 47,327
- 436,459 7,930,909 8,367,368
Derivative liabilities:
Trading 249,669 5,809,597 467,522 6,526,788
Hedging - 838,068 343,759 1,181,827
249,669 6,647,665 811,281 7,708,615
W 1,395,779 7,084,124 8,742,190 17,222,093
(*1) Of the Financial assets at FVTPL invested by the Group, P-note’s valuation of amount related to Lime Asset
Management is W 133.8 billion. As of December 31, 2022, in this regard, international disputes are under way, the
Group has estimated its fair value based on financial information within the recent audit report of underlying assets
since it doesn’t have fair market value observable through active trading markets. Accounting estimates and
assumptions used in preparing consolidated financial statements may lead to adjustment in response to changes in
uncertainty, such as information and market conditions available in the future. In addition, the ultimate impact on the
business, financial condition, performance, and liquidity of the Group is unpredictable.
(*2) Financial instruments (Beneficiary certificates: W 221.7 billion and derivatives-combined securities: W 221.7
billion) related to GEN2 Partners asset management were delayed in repurchase for the year ended December 31,
2022. The Group estimated fair value using the net asset value based on the most recent data available for the
repurchase suspension fund. Since then, it has an uncertainty in measuring fair value due to market conditions.
(*3) Shinhan Securities Co., Ltd.’s level 3 over-the-counter derivatives is recognized W 75,925 million in financial
assets measured at fair value through profit or loss, W 7,930,909 million in financial liabilities designated at fair value
through profit or loss, W 526,868 million in derivative assets, and W 468,028 million in derivative liabilities. The fair
value of over-the-counter derivatives classified as level 3 above is measured using Shinhan Securities Co., Ltd.’s
internal valuation model.
88
i-2) Classification of financial instruments as fair value level 3
The Group uses the evaluation value from evaluators who are qualified and external independent to determine the fair
value for Group's assets at the end of each reporting period. Changes in carrying amounts of financial instruments
classified as Level 3 for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Financial Securities Financial liabilities Derivative assets and
asset at fair value through designated at fair liabilities, net
at fair value other comprehensive value through profit Held for Held for
through profit or loss profit or loss or loss trading hedging
Beginning balance W 15,047,137 981,329 (7,930,909) 61,622 (343,759)
Recognized in total
comprehensive income
for the year:
Recognized in profit
(loss) for the year
(*1) 69,334 - (244,146) (15,540) 119,564
Recognized in other
comprehensive
income (loss) for the
year (532) 12,747 (1,907) - -
68,802 12,747 (246,053) (15,540) 119,564
Purchase 5,987,732 55,078 - 36,786 -
Issue - - (6,343,080) - -
Settlement (4,071,062) (100,000) 7,794,790 (234,242) -
Transfer to level3 (*2) 299,148 29 - - -
Transfer from level3 (*2) (3,869) - - - -
Ending balance W 17,327,888 949,183 (6,725,252) (151,374) (224,195)
89
i-2) Classification of financial instruments as fair value level 3 (continued)
The Group uses the evaluation value from evaluators who are qualified and external independent to determine the fair
value for Group's assets at the end of each reporting period. Changes in carrying amounts of financial instruments
classified as Level 3 for the years ended December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Securities Derivative assets and liabilities, net
Financial at fair value
asset through other Financial liabilities
at fair value comprehensive designated at fair value
through profit or loss profit or loss through profit or loss Held for trading Held for hedging
Beginning balance W 12,934,419 725,232 (7,622,525) 374,686 (182,749)
Recognized in total
comprehensive
income for the
year:
Recognized in
profit (loss) for
the year (*1) (123,983) - 633,415 (484,756) (161,010)
Recognized in
other
comprehensive
income (loss)
for the year (336) (9,629) (5,919) - -
(124,319) (9,629) 627,496 (484,756) (161,010)
Purchase 5,779,999 276,636 - 190,380 -
Issue - - (6,030,787) - -
Settlement (3,486,410) (10,910) 5,094,907 (18,763) -
Transfer to level3
(*2) 173,636 - - - -
Transfer from
level3 (*2) (230,188) - - 75 -
Ending balance W 15,047,137 981,329 (7,930,909) 61,622 (343,759)
(*1) Recognized profit or loss of the changes in carrying amount of financial instruments classified as Level 3 for
the years ended December 31, 2023 and 2022 are included in the accounts of the statements of comprehensive income,
of which the amounts and the related accounts are as follows:
December 31, 2023

Recognized profit or loss
from the financial
Amounts recognized in instruments held as of
profit or loss December 31
Net loss on financial assets at fair value through profit or
loss W 53,794 47,708
Net gain on financial liabilities designated at fair value
through profit or loss (244,146) 96,223
Net other operating expense 119,564 119,564
W (70,788) 263,495
90
i-2) Changes in carrying amounts of financial instruments classified as Level 3 for the years ended December 31,
2023 and 2022 are as follows (continued):
December 31, 2022

Recognized profit or loss
from the financial
Amounts recognized in instruments held as of
profit or loss December 31
Net gain on financial assets at fair value through profit or
loss W (608,739) (607,708)
Net gain (loss) on financial liabilities designated at fair
value through profit or loss 633,415 762,342
Net other operating expense (161,010) (161,010)
W (136,334) (6,376)
(*2) Movements between levels occur as the availability of observable market data for the financial instrument in
question changes. The Group recognizes changes in levels at the end of the reporting period when the event or change
in circumstances that gives rise to the movement between levels occurs.
91
i-3) Valuation techniques and significant inputs not observable in markets
i-3-1) Valuation techniques and inputs used in measuring the fair value of financial instruments classified as level 2
as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Valuation Carrying
Type of financial instrument technique value Significant inputs
Assets
Financial asset at fair value through
profit or loss
DCF, NAV, Discount rate, interest rate, stock price
Debt securities Option model (*) W 40,282,764 and etc.
40,282,764
Derivative assets
Trading Option model (*), 3,709,058
Discount rate, foreign exchange rate,
Implied forward
volatility, stock price and commodity
interest rate,
index, etc.
Hedging DCF 252,221
3,961,279
DCF,
Interest rate, discount rate, etc.
Debt securities Option model (*) 49,525,922
W 93,769,965
Liabilities
value through profit or loss
Debt securities issued Option model (*), 254,832 Discount rate, volatility
Compound financial instruments NAV W 816,643 Underlying asset price
1,071,475
Derivative liabilities
Forward interest
rate,
index, etc.
Hedging DCF 614,285
3,984,056
W 5,055,531
(*) Option models applied to measure fair value include the Black-Scholes model and Hull-White model, and
methods such as Monte Carlo simulation are applied to some products depending on the product type.
92
i-3) Valuation techniques and significant inputs not observable in markets (continued)
i-3-1) Valuation techniques and inputs used in measuring the fair value of financial instruments classified as level 2
as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Valuation Carrying
Type of financial instrument technique value Significant inputs
Assets
Financial asset at fair value through
profit or loss
DCF, NAV, Discount rate, interest rate, stock price
Debt securities Option model (*) W 35,767,488 and etc.
Price of underlying assets such as
NAV
Equity securities 5,044 stocks, bonds, etc.
35,772,532
Derivative assets
Implied forward
interest rate,
index, etc.
Hedging DCF 298,304
5,883,821
DCF,
Interest rate, discount rate, etc.
Debt securities Option model (*) 45,349,965
W 87,006,318
Liabilities
value through profit or loss
Debt securities issued Option model, 47,327 Discount rate, volatility
Compound financial instruments NAV (*) W 389,132 Price of underlying assets
436,459
Implied forward
interest rate
index, etc.
Hedging DCF 838,068
6,647,665
W 7,084,124
(*) Option models applied to measure fair value include the Black-Scholes model and Hull-White model, and
methods such as Monte Carlo simulation are applied to some products depending on the product type.
93
i-3-2) Valuation techniques and significant inputs, but not observable, used in measuring the fair value of financial
instruments classified as level 3 as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Type of financial Valuation Carrying
instrument technique Value (*2) Significant unobservable inputs Range
Financial assets
Financial asset at fair value
through profit or loss
The volatility of the underlying
DCF, NAV, asset, 1.00~76.22%
Option Discount rate, 2.44~30.33%
model (*1), Correlations -11.62~65.74%
Income Growth rate, 0.00%
Debt securities approach W 15,730,078 and Liquidation Value 0.00%
DCF, NAV,
Option
model (*1),
Comparable
company The volatility of the underlying
analysis, asset, 0.51~51.57%
Transaction Discount rate, 2.61~31.73%
case price, Growth rate 0.00%
Equity securities Cost method 1,597,810 And Interest rate volatility 0.51~74.30%
17,327,888
Derivative assets
Equity and foreign asset and 8.08~63.37%
exchange related 97,403 Correlations -1.74~69.79%
Option The volatility of the underlying
model (*1) asset and 0.19~0.68%
Interest rates related 60,919 Correlations 75.14~77.30%
The volatility of the underlying 34.52~41.77%
Credit and commodity asset, Correlations 99.83~99.95%
related 473,891 and Hazard Rate 0.08~3.60%
632,213
Securities at fair value

through other
comprehensive income 949,183
DCF, NAV,
Option
model (*1), The volatility of the underlying 20.60~27.84%
Comparable asset, Discount rate, 5.14~20.90%
company Growth rate and -1.00~1.00%
Equity securities analysis Interest rate volatility 0.55~60.71%
W 18,909,284
94
instruments classified as level 3 as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2023

instrument technique Value (*2) Significant unobservable inputs Range
designated at fair
value through profit or
loss
Option
asset and 0.26~81.98%
model (*1)
Equity related W 6,725,252 Correlations -42.43~84.71%
Equity and foreign asset and 7.58~81.98%
exchange related 468,611 Correlations -42.43~84.71%
Option asset, 0.19~1.06%
model (*1) Regression coefficient and 0.00~2.71%
Interest rates related 445,572 Correlations -38.52~90.34%
The volatility of the underlying 0.26~24.67%
Credit and commodity asset, Correlations -11.62~77.30%
related 93,599 and Hazard Rate 0.08~2.55%
1,007,782
W 7,733,034
(*1) Option model that the Group uses in derivative valuation includes Black-Scholes model, Hull-White model,
Monte Carlo simulation, etc.
(*2) There is no disclosure for valuation techniques and input variables related to items where the carrying amount is
recognized as a reasonable approximation of fair value and the carrying amount is disclosed at fair value.
95
December 31, 2022

instrument technique value (*2) Significant unobservable inputs Range
Financial assets
Financial asset at fair value
DCF, NAV, The volatility of the underlying 0.60%~68.10%
Option asset, 2.92%~38.87%
model (*1), Discount rate, 15.94%~90.00%
Income Correlations, Growth rate, and 0.00%
Debt securities approach W 13,146,888 Liquidation Value 0.00%
DCF, NAV,
Option
model (*1),
Comparable
company
analysis, The volatility of the underlying
Transaction asset, 20.50%~25.30%
case price, Discount rate and 5.59%~15.18%
Equity securities Cost method 1,900,249 Correlations 11.90%~66.00%
15,047,137
Derivative assets
Equity and foreign asset and 4.89%~84.40%
exchange related 54,541 Correlations 7.30%~72.30%
Option model
asset and 0.60%~1.10%
(*1)
Interest rates related 51,025 Correlations 76.60%~78.90%
The volatility of the underlying 42.20%~55.90%
Credit and commodity asset, Correlations 99.9%
related 423,578 and Hazard Rate 1.20%~3.60%
529,144

through other
DCF, NAV,
Option
model (*1), The volatility of the underlying 28.62%
Comparable asset, Discount rate, 9.08%~19.14%
company Growth rate and 0.00%~2.00%
Equity securities analysis 981,329 Interest rate volatility 0.56%~11.42%
W 16,557,610
96
December 31, 2022

instrument technique value (*2) Significant unobservable inputs Range
Financial liabilities at fair
loss
Option
asset and 0.20%~84.40%
model (*1)
Equity related W 7,930,909 Correlations -44.20%~86.30%
Equity and foreign asset and 4.89%~84.40%
exchange related 13,841 Correlations -42.30%~87.60%
Option asset, 0.20%~1.10%
model (*1) Regression coefficient and 0.00%~1.46%
Interest rates related 642,123 Correlations 23.60%~90.34%
The volatility of the underlying 0.20%~45.70%
Credit and commodity asset, Correlations 23.60%~78.90%
related 155,317 and Hazard Rate 1.20%~2.90%
811,281
W 8,742,190
(*1) Option model that the Group uses in derivative valuation includes Black-Scholes model, Hull-White model,
Monte Carlo simulation, etc.
(*2) There is no disclosure for valuation techniques and input variables related to items where the carrying amount is
recognized as a reasonable approximation of fair value and the carrying amount is disclosed at fair value.
97
i-4) Sensitivity for changing in unobservable inputs
For level 3 fair value measurement, changing one or more of the unobservable inputs used to reasonably possible
alternative assumptions would have the following effects on profit or loss, or other comprehensive income as of
December 31, 2023 and 2022.
December 31, 2023

Favorable Unfavorable
changes changes
Financial assets:
Effects on profit or loss for the period (*1),(*2):
Financial asset at fair value through profit or loss W 45,433 (42,214)
Derivative assets 19,994 (20,386)
Securities at fair value through other comprehensive income (*2) 44,286 (33,212)
W 109,713 (95,812)
Effects on profit or loss for the period (*1):
Financial liabilities designated at fair value through profit or loss W 30,543 (29,790)
Derivative liabilities 27,561 (27,525)
W 58,104 (57,315)
December 31, 2022

Favorable Unfavorable
changes changes
Financial assets:
Effects on profit or loss for the period (*1),(*2):
Financial asset at fair value through profit or loss W 57,763 (51,803)
Derivative assets 12,499 (11,465)
Securities at fair value through other comprehensive income (*2) 49,515 (40,860)
W 119,777 (104,128)
Effects on profit or loss for the period (*1):
Financial liabilities designated at fair value through profit or loss W 57,121 (60,525)
Derivative liabilities 16,388 (16,908)
W 73,509 (77,433)
(*1) Fair value changes are calculated by increasing or decreasing the volatility of the underlying asset (-10~10%p)
or correlations (-10~10%p), a significant unobservable input.
(*2) Fair value changes are calculated by increasing or decreasing the growth rate and discount rate, which are a
significant unobservable input, from -1%p to 1%p.
98
ii) Financial instruments measured at amortized cost
ii-1) The method of measuring the fair value of financial instruments measured at amortized cost is as follows:
Type Measurement methods of fair value
Cash and The carrying amount and the fair value for cash are identical and most of deposits are
due from banks floating interest rate deposits or next day deposits of a short-term instrument. For this
reason, the carrying amount approximates fair value.
Loans The fair value of the loans is measured by discounting the expected cash flow at the
market interest rate and credit risk of the borrower.
Securities An external professional evaluation agency is used to calculate the valuation amount
using the market information. The agency calculates the fair value based on active
market prices, and DCF model is used to calculate the fair value if there is no quoted
price.
Deposits and borrowings The carrying amount and the fair value for demand deposits, cash management
account deposits, call money as short-term instrument are identical. The fair value of
others is measured by discounting the contractual cash flow at the market interest rate
that takes into account the residual risk.
Debt securities issued Where available, the fair value of deposits and borrowings is based on the published
price quotations in an active market. In case there is no data for an active market price,
it is measured by discounting the contractual cash flow at the market interest rate that
takes into account the residual risk.
Investment contract liabilities The book value of retirement pension contract reserves as prescribed by the Insurance
Business Act and Insurance Business Supervision Regulations was used as a proxy for
fair value because of the difficulty of calculating reliable expected cash flows.
Other financial assets and The carrying amount is measured at fair value for short-term and suspense accounts,
other financial liabilities such as spot exchange, inter-bank fund transfer, and domestic exchange of payments,
and for the remaining financial instruments, the present value is calculated by
discounting the contractual cash flows at a discount rate which considered residual
risk at the market interest rate.
99
ii) Financial instruments measured at amortized cost (continued)
ii-2) The carrying amount and the fair value of financial instruments measured at amortized cost as of December 31,
2023 and 2022 are as follows:

Carrying Carrying
amount Fair value amount Fair value
Assets:
Deposits measured at amortized cost W 32,455,701 32,338,446 27,746,360 27,660,501
Loans measured at amortized cost 411,739,562 414,024,035 407,898,972 404,855,790
Securities measured at amortized cost:

Government bonds 22,787,609 22,182,130 21,523,230 20,215,099
Financial institution bonds 5,864,626 5,906,724 5,423,771 5,387,207
Corporation bonds 7,034,252 6,879,983 6,424,197 5,971,007
35,686,487 34,968,837 33,371,198 31,573,313
Other financial assets 26,880,554 27,175,002 21,826,601 22,059,918
W 506,762,304 508,506,320 490,843,131 486,149,522
Liabilities:
Deposit liabilities:
Demand deposits W 151,177,041 151,177,041 157,446,276 157,446,276
Time deposits 202,106,686 202,405,752 196,265,911 195,886,583
Certificate of deposit 12,059,730 12,114,566 14,921,375 14,748,736
Issued bill deposit 7,614,701 7,614,012 6,631,858 6,631,276
CMA deposits 4,950,392 4,950,392 4,634,010 4,634,010
Others 3,604,114 3,604,031 3,088,864 3,088,542
381,512,664 381,865,794 382,988,294 382,435,423
Borrowing debts:
Call-money 2,195,849 2,195,849 1,276,301 1,276,301
Bills sold 11,252 11,208 15,057 15,006
Bonds sold under repurchase agreements 17,312,576 17,312,576 9,544,536 9,544,536
Borrowings 37,381,675 37,322,235 38,443,281 37,602,027
56,901,352 56,841,868 49,279,175 48,437,870
Debts:
Borrowings in Korean won 68,382,242 68,189,097 63,927,063 62,059,253
Borrowings in foreign currency 13,179,483 13,143,721 13,361,720 13,051,576
81,561,725 81,332,818 77,288,783 75,110,829
Investment contract liabilities 1,572,685 1,572,685 2,133,586 2,133,586
Other financial liabilities 47,328,051 47,295,828 31,992,438 31,683,186

W 568,876,477 568,908,993 543,682,276 539,800,894
100
ii-3) The fair value hierarchy of financial assets and liabilities which are not measured at their fair values in the
statements of financial position but with their fair value disclosed as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Level 1 Level 2 Level 3 Total
Assets:
Deposits measured at amortized cost W 554,703 31,783,743 - 32,338,446
Loans measured at amortized cost - 1,633,949 412,390,086 414,024,035

Government bonds 10,727,244 11,454,886 - 22,182,130
Financial institution bonds 2,005,877 3,900,847 - 5,906,724
Corporation bonds - 6,879,983 - 6,879,983
12,733,121 22,235,716 - 34,968,837
Other financial assets - 16,393,625 10,781,377 27,175,002

W 13,287,824 72,047,033 423,171,463 508,506,320
Liabilities:
Demand deposits W - 151,177,041 - 151,177,041
Time deposits - - 202,405,752 202,405,752
Certificate of deposit - - 12,114,566 12,114,566
Issued bill deposit - - 7,614,012 7,614,012
CMA deposits - 4,950,392 - 4,950,392
Other - 3,565,491 38,540 3,604,031
- 159,692,924 222,172,870 381,865,794
Borrowing debts:
Call-money - 2,195,849 - 2,195,849
Bills sold - - 11,208 11,208
Bonds sold under repurchase agreements - - 17,312,576 17,312,576
Borrowings - 221,256 37,100,979 37,322,235
- 2,417,105 54,424,763 56,841,868
Debts:
Borrowings in won - 36,388,349 31,800,748 68,189,097
Borrowings in foreign currency - 10,456,332 2,687,389 13,143,721
- 46,844,681 34,488,137 81,332,818
Investment contract liabilities - - 1,572,685 1,572,685
Other financial liabilities - 20,658,155 26,637,673 47,295,828

W - 229,612,865 339,296,128 568,908,993
101
ii-3) The fair value hierarchy of financial assets and liabilities which are not measured at their fair values in the
statements of financial position but with their fair value disclosed as of December 31, 2023 and 2022 are as follows
(continued):
December 31, 2022

Level 1 Level 2 Level 3 Total
Assets:
Deposits measured at amortized cost W 431,650 27,228,851 - 27,660,501
Loans measured at amortized cost - 5,832,484 399,023,306 404,855,790

Government bonds 9,109,801 11,105,298 - 20,215,099
Financial institution bonds 1,898,457 3,488,750 - 5,387,207
Corporation bonds - 5,971,007 - 5,971,007
11,008,258 20,565,055 - 31,573,313
Other financial assets - 12,598,487 9,461,431 22,059,918

W 11,439,908 66,224,877 408,484,737 486,149,522
Liabilities:
Demand deposits W - 157,446,276 - 157,446,276
Time deposits - - 195,886,583 195,886,583
Certificate of deposit - - 14,748,736 14,748,736
Issued bill deposit - - 6,631,276 6,631,276
CMA deposits - 4,634,010 - 4,634,010
Other - 3,035,338 53,204 3,088,542
- 165,115,624 217,319,799 382,435,423
Borrowing debts:
Call-money - 1,276,301 - 1,276,301
Bills sold - - 15,006 15,006
Bonds sold under repurchase agreements - - 9,544,536 9,544,536
Borrowings - 19,922 37,582,105 37,602,027
- 1,296,223 47,141,647 48,437,870
Debts:
Borrowings in won - 31,665,994 30,393,259 62,059,253
Borrowings in foreign currency - 9,625,410 3,426,166 13,051,576
- 41,291,404 33,819,425 75,110,829
Investment contract liabilities - - 2,133,586 2,133,586
Other financial liabilities - 8,921,782 22,761,404 31,683,186

W - 216,625,033 323,175,861 539,800,894
102
ii-4) Valuation techniques and inputs used in the fair value measurements categorized within Level 2 and Level 3 for
fair value disclosures, which are not recognized at fair value, as at December 31, 2023 and 2022, are as follows:
December 31, 2023

Valuation
Fair value (*) technique Inputs
Financial instruments classified as level 2 :
Assets
Due from banks measured at amortized cost W 31,783,743 DCF Discount rate
Discount rate, Credit spread
Loans measured at amortized cost 1,633,949 DCF and Prepayment rate
Securities measured at amortized cost 22,235,716 DCF Discount rate
Other financial assets 16,393,625 DCF Discount rate
Assets
Discount rate, Credit spread and
Loans measured at amortized cost 412,390,086 DCF Prepayment rate
W 495,218,496

Liabilities
Deposits W 159,692,924 DCF Discount rate
Borrowings 2,417,105 DCF Discount rate
Debt securities issued 46,844,681 DCF Discount rate
Other financial liabilities 20,658,155 DCF Discount rate
Liabilities
Deposits 222,172,870 DCF Discount rate
Discount rate,
Regression coefficient
Debt securities issued 34,488,137 DCF and Correlations
Investment contract liabilities 1,572,685 - -
W 568,908,993
(*) Valuation techniques and inputs are not disclosed when the carrying amount is a reasonable approximation of
fair value.
103
ii-4) Valuation techniques and inputs used in the fair value measurements categorized within Level 2 and Level 3 for
fair value disclosures, which are not recognized at fair value, as at December 31, 2023 and 2022, are as follows
(continued) :
December 31, 2022

Valuation
Fair value (*) technique Inputs
Assets
Due from banks measured at amortized cost W 27,228,851 DCF Discount rate
Securities measured at amortized cost 20,565,055 DCF Discount rate
Assets
W 474,709,614

Liabilities
Deposits W 165,115,624 DCF Discount rate
Debt securities issued 41,291,404 DCF Discount rate
Liabilities
Deposits 217,319,799 DCF Discount rate
Discount rate,
Regression coefficient
Debt securities issued 33,819,425 DCF and Correlations
Investment contract liabilities 2,133,586
W 539,800,894
(*) Valuation techniques and inputs are not disclosed when the carrying amount is a reasonable approximation of
fair value.
iii) Changes in gains or losses on valuation at the transaction date for the years ended December 31, 2023 and 2022,
are as follows:

Beginning balance W (143,959) (160,525)
New transactions (48,548) (88,769)
Recognized in profit for the year 110,760 105,335
Ending balance W (81,747) (143,959)
104
(f) Classification by categories of financial instruments
Financial assets and liabilities are measured at fair value or amortized cost. The financial instruments measured at
fair value or amortized costs are measured in accordance with the Group’s valuation methodologies, which are
described in Note 5.(e) Measurement of fair value.
The carrying amounts of each category of financial assets and financial liabilities as of December 31, 2023 and 2022
is as follows:
December 31, 2023
Derivatives held
FVTPL FVOCI Amortized cost for hedging Total
Assets:
Cash and due from
banks at amortized
cost W - - 34,629,251 - 34,629,251
Due from banks at
fair value through
profit or loss 30,743 - - - 30,743
through profit or
loss 69,427,259 - - - 69,427,259
Derivatives assets 4,459,200 - - 252,221 4,711,421
Loans at fair value
through profit or
loss 1,758,562 - - - 1,758,562
Loans at amortized
cost - - 411,739,562 - 411,739,562
through other
comprehensive
income - 90,311,979 - - 90,311,979
Securities at
amortized cost - - 35,686,487 - 35,686,487
Others - - 26,880,554 - 26,880,554
W 75,675,764 90,311,979 508,935,854 252,221 675,175,818
December 31, 2023

Financial
FVTPL liabilities
liabilities measured at Derivatives held
FVTPL designated amortized cost for hedging Total
Liabilities:
Deposits W - - 381,512,664 - 381,512,664
at fair value
through profit or
loss 1,868,977 - - - 1,868,977
designated at
FVTPL - 7,796,727 - - 7,796,727
Derivatives
liabilities 4,199,936 - - 838,480 5,038,416
Borrowings - - 56,901,352 - 56,901,352
Debt securities
issued - - 81,561,725 - 81,561,725
Investment contract
liabilities - - 1,572,685 - 1,572,685
Others - - 47,328,051 - 47,328,051
W 6,068,913 7,796,727 568,876,477 838,480 583,580,597
105
(f) Classification by categories of financial instruments (continued)
The carrying amounts of each category of financial assets and financial liabilities as of December 31, 2023 and 2022
is as follows (continued):
December 31, 2022

Derivatives held
FVTPL FVOCI Amortized cost for hedging Total
Assets:
Cash and due from
banks at amortized
cost W - - 30,050,840 - 30,050,840
Due from banks at
fair value through
profit or loss 26,116 - - - 26,116
through profit or
loss 59,092,985 - - - 59,092,985
Derivatives assets 6,162,348 - - 298,304 6,460,652
Loans at fair value
through profit or
loss 2,389,180 - - - 2,389,180
Loans at amortized
cost - - 407,898,972 - 407,898,972
through other
comprehensive
income - 85,469,161 - - 85,469,161
Securities at
amortized cost - - 33,371,198 - 33,371,198
Others - - 21,826,601 - 21,826,601
W 67,670,629 85,469,161 493,147,611 298,304 646,585,705
December 31, 2022

Financial
FVTPL liabilities
liabilities measured at Derivatives held
FVTPL designated amortized cost for hedging Total
Liabilities:
Deposits W - - 382,988,294 - 382,988,294
at fair value
through profit or
loss 1,146,110 - - - 1,146,110
designated at
FVTPL - 8,367,368 - - 8,367,368
Derivatives
liabilities 6,526,787 - - 1,181,828 7,708,615
Borrowings - - 49,279,175 - 49,279,175
Debt securities
issued - - 77,288,783 - 77,288,783
Investment contract
liabilities - - 2,133,586 - 2,133,586
Others - - 31,992,438 - 31,992,438
W 7,672,897 8,367,368 543,682,276 1,181,828 560,904,369
106
(g) Transfer of financial instruments
i) Transfers that do not qualify for derecognition
① Sale of repurchase bonds
Among the Group’s sale of repurchase bonds, followings are the details of financial instruments that do not qualify
for derecognition because the Group sold under repurchase agreement at a fixed price as of December 31, 2023 and
2022:
Transferred asset:
Securities at FVTPL W 11,042,486 7,461,978
Securities at FVOCI 1,286,990 1,335,548
Securities at amortized cost 3,622,838 258,579
W 15,952,314 9,056,105
Associated liabilities:
Bonds sold under repurchase agreements W 17,312,576 9,544,536
② Securities loaned
If the securities owned by the Group are loaned, the ownership of the securities is transferred, but is required to be
returned at the end of the loan period. Therefore, the Group continues to recognize the entire securities loaned as it
holds most of the risks and compensation of the securities.
Securities loaned as of December 31, 2023 and 2022 are as follows:
December December
Borrowers
31, 2023 31, 2022
Korea Securities Finance Corp.,
Government bonds W 15,340,768 12,876,660 Korea Securities Depository, etc.
Korea Securities Finance Corp.,
Financial institutions bonds 398,252 422,166 Korea Securities Depository, etc.
Corporation bonds 221,435 210,258 BNP Paribas Securities Corp.
Meritz Securities co., Ltd.,
Equity securities 48,004 73,169 HI Investment & Securities co., Ltd., etc.
Beneficiary certificate 40,890 29,850 Korea Securities Depository
W 16,049,349 13,612,103
107
(g) Transfer of financial instruments
i) Transfers that do not qualify for derecognition (continued)
③ Securitization of financial assets
The Group uses the securitization of financial assets as a means of financing and to transfer risk. Generally, these
securitization transactions result in the transfer of contractual cash flows to the debt securities holders issued from the
financial asset portfolio. The Group recognizes debt securities issued without derecognition of assets under individual
agreements, partially recognizes assets to the extent of the Group’s level of involvement in assets, or recognizes rights
and obligations arising from the derecognition and transfer of assets as separate assets and liabilities. The Group
derecognizes the entire asset only if it transfers contractual rights to the cash flows of financial assets or if it holds
contractual rights but bears contractual obligations to pay cash flows to the other party without significant delays or
reinvestment and transfers most of the risks and benefits of ownership (e.g., credit risk, interest rate risk, prepayment
risk, etc.). For the years ended December 31, 2023 and 2022, the carrying amount of financial assets related to
securitization transactions that have neither been transferred nor derecognized are W 10,950,727 million and W
11,429,250 million, respectively; the carrying amounts of related liabilities are W 6,634,887 million and W 6,366,125
million, respectively.
ii) Financial instruments qualified for derecognition and continued involvement
There are no financial instruments which qualify for derecognition and in which the Group has continuing
involvements as of December 31, 2023, and 2022.
108
(h) Offsetting financial assets and financial liabilities
Financial assets and liabilities subject to offsetting, enforceable master netting arrangements and similar agreements as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Gross amounts of Related amounts not set off in the
recognized Net amounts of statement of financial position
financial assets/ financial assets/
Gross amounts of liabilities set off in liabilities presented
recognized financial the statement of in the statement of Financial Cash collateral
assets/ liabilities financial position financial position instruments received Net amount
Assets:
Derivatives (*1) W 4,706,696 - 4,706,696
Other financial instruments (*1) 12,212,371 - 12,212,371 14,428,984 448,025 2,042,058
Securities repurchased under repurchase agreements
and bonds purchased under repurchase agreements
(*2) 19,200,694 - 19,200,694 18,814,022 - 386,672
Securities loaned (*2) 6,284,849 - 6,284,849 6,283,227 - 1,622
Domestic exchange settlement debit (*3) 47,791,602 42,766,815 5,024,787 - - 5,024,787
Receivables from disposal of securities (*4) 7,421,808 3,734,544 3,687,264 3,006,017 - 681,247
W 97,618,020 46,501,359 51,116,661 42,532,250 448,025 8,136,386
Liabilities:
Derivatives (*1),(*5) W 12,637,884 - 12,637,884
Other financial instruments (*1) 11,022,825 - 11,022,825 14,701,829 - 8,958,880
Bonds sold under repurchase agreements (*2) 17,312,576 - 17,312,576 15,450,999 - 1,861,577
Securities borrowed (*2) 1,449,634 - 1,449,634 1,449,634 - -
Domestic exchange settlement pending (*3) 52,004,974 42,766,815 9,238,159 9,151,927 - 86,232
Payable from purchase of securities (*4) 7,466,010 3,734,544 3,731,466 3,006,534 - 724,932
W 101,893,903 46,501,359 55,392,544 43,760,923 - 11,631,621
109
(h) Offsetting financial assets and financial liabilities (continued)
Financial assets and liabilities subject to offsetting, enforceable master netting arrangements and similar agreements as of December 31, 2023 and 2022 are as follows (continued):
(*1) The Group has certain derivative transactions subject to the ISDA (International Derivatives Swaps and Dealers Association) agreement. According to the ISDA agreement, when credit events (e.g.
default) of counterparties occur, all derivative agreements are terminated and set off. At the time of termination, the parties to the transaction will offset the amount of payment or payment to each other,
and one party will pay the other party a single amount will be paid to the other party.
(*2) Resale and repurchase agreement, securities borrowing and lending agreement are also similar to ISDA agreement with respect to enforceable netting agreements.
(*3) The Group has legally enforceable right to set off and settles financial assets and liabilities on a net basis under normal business terms. Therefore, domestic exchanges settlement receivables (payables)
are recorded on a net basis in the consolidated statements of financial position.
(*4) It is an account that deals with bonds and liabilities based on the settlement of listed stocks traded in the market. The Group currently has a legally enforceable right to set off the recognized amounts
and intends to settle on a net basis. Therefore, the net amount is presented in the consolidated statement of financial position. The offset amount of related bonds and liabilities based on the settlement of
over-the-counter derivatives in-house payment by Central Clearing System is included.
(*5) As of December 31, 2023, the total amount of financial liabilities includes W 7,541,895 million of ELS (equity-linked securities) products and of DLS (derivative linked securities) products. In the
course of this transaction, the Group has provided collateral for some transactions. The financial instruments provided as collateral of W 365,074 million are included in the related instruments not offset
in the statement of financial position.
110
Financial assets and liabilities subject to offsetting, enforceable master netting arrangements and similar agreements as of December 31, 2023 and 2022 are as follows: (continued)
December 31, 2022

Gross amounts of Related amounts not set off in the
recognized Net amounts of statement of financial position
financial assets/ financial assets/
Gross amounts of liabilities set off in liabilities presented
recognized financial the statement of in the statement of Financial Cash collateral
assets/ liabilities financial position financial position instruments received Net amount
Assets:
Derivatives (*1) W 6,523,848 - 6,523,848
Securities repurchased under repurchase agreements
and bonds purchased under repurchase agreements
(*2) 13,045,505 - 13,045,505 12,893,643 - 151,862
Securities loaned (*2) 4,584,247 - 4,584,247 4,584,247 - -
Domestic exchange settlement debit (*3) 45,282,683 39,247,867 6,034,816 - - 6,034,816
Receivables from disposal of securities (*4) 4,933,264 2,405,878 2,527,386 1,767,831 - 759,555
W 81,775,202 41,653,745 40,121,457 30,167,922 473,252 9,480,283
Liabilities:
Derivatives (*1),(*5) W 15,801,774 - 15,801,774
Bonds sold under repurchase agreements (*2) 9,544,536 - 9,544,536 8,931,247 - 613,289
Securities borrowed (*2) 724,104 - 724,104 724,104 - -
Domestic exchange settlement pending (*3) 41,556,442 39,247,867 2,308,575 2,231,508 - 77,067
Payable from purchase of securities (*4) 4,854,358 2,405,878 2,448,480 1,768,821 - 679,659
W 78,679,544 41,653,745 37,025,799 24,882,681 1,000 12,142,118
111
Financial assets and liabilities subject to offsetting, enforceable master netting arrangements and similar agreements as of December 31, 2023 and 2022 are as follows (continued):
(*1) The Group has certain derivative transactions subject to the ISDA (International Derivatives Swaps and Dealers Association) agreement. According to the ISDA agreement, when credit events (e.g.
default) of counterparties occur, all derivative agreements are terminated and set off. At the time of termination, the parties to the transaction will offset the amount of payment or payment to each other,
and one party will pay the other party a single amount will be paid to the other party.
(*2) Resale and repurchase agreement, securities borrowing and lending agreement are also similar to ISDA agreement with respect to enforceable netting agreements.
(*3) The Group has legally enforceable right to set off and settles financial assets and liabilities on a net basis under normal business terms. Therefore, domestic exchanges settlement receivables (payables)
are recorded on a net basis in the consolidated statements of financial position.
(*4) It is an account that deals with bonds and liabilities based on the settlement of listed stocks traded in the market. The Group currently has a legally enforceable right to set off the recognized amounts
and intends to settle on a net basis. Therefore, the net amount is presented in the consolidated statement of financial position. The offset amount of related bonds and liabilities based on the settlement of
over-the-counter derivatives in-house payment by Central Clearing System is included.
(*5) As of December 31, 2022, the total amount of financial liabilities includes W 8,320,041 million of ELS (equity-linked securities) products and of DLS (derivative linked securities) products. In the
course of this transaction, the Group has provided collateral for some transactions. The financial instruments provided as collateral of W 432,228 million are included in the related instruments not offset
in the statement of financial position. The total amount of financial liabilities recognized as of December 31, 2022 is W 1,934,547 million for transactions with the other party with collective offset contracts
or similar arrangements.
112
(i) Capital risk management
The criteria for capital adequacy to be complied with by the Group are 8.0%. In addition, the minimum regulatory
BIS capital ratio, which should be maintained additionally to increase the ability to absorb losses, has been raised to
up to 14% as the capital regulation based on the Basel III standard is enforced from 2016. This is based on the addition
of capital conservation capital (2.5%p) and domestic system-critical banks (D-SIB) capital (1.0%p) and economic
response capital (2.5%p) to the existing lowest common equity capital ratio, and economic response capital can be
charged up to 2.5%p during credit expansion period. As of December 31, 2023, the minimum regulatory BIS capital
ratio to be observed is 11.5%, which is the standard for applying capital conservation capital (2.5%p), D-SIB capital
(1.0%p), and economic response capital (0%p).
Basel III capital ratio is the concept of 'International Agreement on the Measurement and Standards of Equity Capital'
of the Basel Bank Supervisory Commission of BIS (International Settlement Bank). It is calculated as '(common
stock capital (after deduction of deductions) + other basic capital + supplementary capital) ÷ risk weighted assets'.
The capital of common stock can be the first to make up for the loss of the financial holding company. The capital
of common stock consists of capital stock, capital reserve, retained earnings and other, which will not be redeemed
until the liquidation and will be redeemed at the last during the liquidation. Other basic capital consists of capital
securities that meet certain requirements as capital of permanent nature. Complementary capital is capital that can
compensate for losses of financial holding companies during liquidation, and consists of capital securities, etc. that
meet certain requirements. The deduction items are those held by the Group as assets or capital items, but do not
contribute to the ability to absorb losses. Unless otherwise noted, it will be deducted from common stock capital.
The capital ratio of the Group based on Basel III is as of December 31, 2023 and 2022 are as follows:

Capital :
Tier I common equity capital W 41,388,070 37,287,768
Additional tier 1 capital 5,118,817 5,979,604
Tier I capital 46,506,887 43,267,372
Tier II capital 3,685,637 3,714,400
Total capital (A) W 50,192,524 46,981,772
Total risk-weighted assets (B) W 314,180,698 291,542,598
Capital adequacy ratio (A/B) 15.98% 16.11%

Tier I capital adequacy ratio 14.80% 14.84%
Common stock ratio 13.17% 12.79%
(*) As of December 31, 2023, the Group maintains an appropriate capital adequacy ratio in accordance with the BIS
capital regulation system. As of December 31, 2023, the capital adequacy ratio is the provisional value.
113
6. Insurance Risk
(a) Overview of the insurance risk – Shinhan Life Insurance Co., Ltd.
i) Overview of the insurance risk
i-1) Insurance risk
Insurance risk is the likelihood that insured events occur and the uncertainty of the total amount and timing of claims
for the insured events occurred. The main risk covered by insurance contracts is the risk that the actual claim or benefit
payment will exceed the accumulated insurance liability. This risk can occur for the following reasons:
① Frequency risk: a possibility that the number of occurrences of the insured event is different from the expected
number
② Severity risk: a possibility that the cost of an incident may be different from the expected cost level
By experience, when there is more similar insurance or they are more diversified, the less likely it is that abnormal
effects from some contracts will occur. Shinhan Life Insurance Co., Ltd. takes this into account when underwriting
contracts and strives to form a sufficiently large and diversified group of contracts.
Insurance risk includes a lack of risk diversification and relates to geographical location and the nature of the
policyholder as well as to the diversification of risk forms or sizes.
If the insurance contract covers death, a catastrophe affects the frequency the most and can affect the frequency of
death earlier than expected due to a wide range of causes such as eating habits, smoking, and exercise habits, etc. And
if the coverage is survival, medical technology and social conditions can increase the survival rate. The frequency
may also be affected by excessive concentration in residential areas of policy holders.
Insurance accidents in life insurance include not only the death of the insured but also survival, disability and
hospitalization.
Shinhan Life Insurance Co., Ltd. basically classifies the Shinhan Life Insurance Co., Ltd 's insurance products into
individual insurance and group insurance according to the policyholder. Group insurance means a contract under
which the insured belongs to a group of a certain size or larger and in which the policyholder is the representative of
the Group or organization. The group insurance can be divided into savings and protections. Protection insurance
means insurance in which the sum of benefits paid for survival at the base age does not exceed the premium already
paid; savings insurance is defined as insurance, except for protection insurance, in which the sum of benefits paid for
survival exceeds the premium already paid. Individual insurance can be classified into death insurance in which the
insured's death is insured, survival insurance in which the life is insured for a certain period of time, and endowment
insurance in which life insurance and survival insurance are mixed.
Life insurance products can also be divided into guaranteed fixed rates, floating rates, interest accreted rate linked ,
and variable types by the applying term structures of interest types.
In the guaranteed fixed interest type, since the expected rate does not change from the time the policyholder enters
into the contract to the end of the insurance period, Shinhan Life Insurance Co., Ltd assumes the interest rate risk if
the asset management return rate or market interest rate is lower than the expected rate. Floating interest rate type
divides the net insurance premium into the guaranteed portion and the reserve portion; the guaranteed portion is
applied with the predetermined expected rate, and the reserve portion changes based on the reserve rate for policy
reserve according to asset management return rate, which makes partial hedge to interest rate risk, but the Group
assumes some interest rate risk from the changes of asset management return rate, etc. since the minimum reserve rate
for policy reserve is predetermined.
Shinhan Life Insurance Co., Ltd uses acquisition strategies and reinsurance strategies to manage insurance risk of
uncertainties of the total amount and timing of insurance claims paid due to insured events.
114
6. Insurance Risk (continued)
(a) Overview of the insurance risk – Shinhan Life Insurance Co., Ltd. (continued)
i) Overview of the insurance risk (continued)
i-1) Insurance risk and reinsurance (continued)
① Acceptance strategy
Acceptance strategy means diversifying the type of risk or the level of claims from that are accepted insurance policies.
For example, Shinhan Life Insurance Co., Ltd can balance mortality and survival risks. In addition, the selection of
policyholders through regular health check-ups is one of the major acceptance strategies.
② Reinsurance strategy
The risk of reinsurance contracts held to Shinhan Life Insurance Co., Ltd is based on the accepted insurance contracts,
which can be the total amount of risk or risk per contract on a per capita basis or per contract basis. In principle, the
reinsurance method provides the risk premium excess reinsurance, but other methods may be used within the scope
of the relevant laws as required. The degree of reinsurance held by Shinhan Life Insurance Co., Ltd shall be determined
by considering the Shinhan Life Insurance Co., Ltd 's assets, contract conditions, risk level, and technology for
selecting the contract.
Insurance risk can also be affected by the policyholder's right to terminate the contract or exercise annuity conversion
rights to reduce or not pay the full premium. As a result, insurance risks may be affected by the policyholder's actions
and decisions. Shinhan Life Insurance Co., Ltd 's insurance risk can be estimated on the assumption that the
policyholder is reasonable. For example, a person who is worse than a person in good health would have less intention
of terminating insurance that covers death. These factors are also reflected in the assumptions about Shinhan Life
Insurance Co., Ltd 's insurance liabilities.
.
115
ii) Insurance risk management policy
ii -1) Measurement of Insurance Risk
Unlike other financial instruments, life insurance companies' insurance policies have the characteristics of long-term
contracts, which can be exposed to insurance risk that may arise due to an increase in actual claim payments than the
risk rate determined at the time of development of the product and interest rate risk that may arise due to differences
in interest rates and maturities between insurance liabilities and asset management.
The purpose of the Shinhan Life Insurance Co., Ltd’s risk management is to generate long-term stable growth and
profits by proactively preventing and systematically managing the various risks that may arise in the course of
management activities, reflecting these uncertain financial environments and the characteristics of life insurance
products with long-term attributes.
Shinhan Life Insurance Co., Ltd divides insurance risks arising from life insurance contracts into six sub-risks: death
risk, longevity risk, disability/disease risk, cancellation risk, operating expense risk, and catastrophe risk. The risk
amount for each sub-risk is measured on assets and liabilities that may directly or indirectly cause loss to Shinhan Life
Insurance Co., Ltd in the event of changes in actuarial assumptions, and is calculated based on the net asset value
through the shock scenario method or risk coefficient method for each sub-risk.
The shock scenario method, one of the insurance risk measurement methods, is a method of calculating the amount
of change in net asset value when applying a scenario in which the basic assumptions used for market valuation of
assets or liabilities change. On the other hand, the risk coefficient method is a method that calculates the amount by
multiplying a specific exposure by a specified risk coefficient, and is suitable for risk amounts that have short maturity
or do not have large changes in net asset value during market valuation. In addition, Shinhan Life Insurance Co., Ltd
calculates the life insurance risk amount considering the diversification effect by adding the risk amount calculated
for each sub-risk, reflecting the correlation coefficient between the sub-risks.
ii -2) Insurance risk management organization and management method
Shinhan Life Insurance Co., Ltd measures the statutory minimum level of capital based on the life insurance risk
amount and manages it within the allowable range. For this purpose, Shinhan Life Insurance Co., Ltd establishes basic
principles of risk management and establishes and implements regulations and management systems to implement
them. In addition, the Group supports decision-making related to various risks through the Risk Management
Committee and risk management organization, and prepare risk management procedures to identify and manage risks
in a timely manner.
In general, risk management procedures are to recognize exposed risks, measure their size, set acceptable limits,
monitor them regularly to report to management, and efficiently control and manage risks in case they exceed their
limits.
Management methods by risk type are as follows:
① Insurance risk management

Shinhan Life Insurance Co., Ltd develops insurance products with proper profitability by setting the profitability
guidelines from the time of product development, establishes and operates the acceptance policy to prevent reverse
selection, running the claim-screening policy to make claim payments.
116
ii) Insurance risk management policy (continued)
② Interest rate risk management

Shinhan Life Insurance Co., Ltd is establishes a guideline and consider the market interest rate and asset management
return rate to determine the published interest rate and expected interest rate within the guidelines. Shinhan Life
Insurance Co., Ltd also establishes the asset management strategy considering the interest rate level and maturity of
liabilities; establishes a long-term target portfolio by comprehensively considering the risk level and rate of return of
operating assets after analyzing the properties of long-term insurance liabilities, and sets a viable portfolio as a
guideline every year to allocate and manage assets.
③ Liquidity risk management

Shinhan Life Insurance Co., Ltd reviews and manages the amount of claims paid insurance and liquid assets
periodically.
iii) Korean Insurance Capital Standard(K-ICS)
K-ICS is an equity capital system that precisely evaluates risk and financial soundness by evaluating the assets and
liabilities of insurance companies to market so that they can be applied under the financial statements prepared in
accordance with K-IFRS 1117 on insurance contracts. To maintain consistency in mark-to-market valuation and ensure
consistency with international capital regulations, the supervisory authorities introduced K-ICS based on mark-to-
market valuation, which improves the quality of insurance companies' capital by calculating available and required
capital in line with economic substance. This is a system designed to encourage improvement and strengthen risk
management.
With the introduction of K-ICS, the supervisory authorities have established standards for preparing a financial
position statement based on soundness supervision standards to separately calculate assets and liabilities that meet the
purpose of supervision and at the same time substantially reflect the risks of insurance companies. In the K-ICS, the
available capital, or solvency amount, is measured based on the basic capital and supplementary capital classified by
the loss absorption capacity of the net asset amount in the statement of financial position based on soundness
supervision standards evaluated at market price, and there are some restrictions on loss compensation. Supplementary
capital, defined as having, can be reflected in the solvency amount up to 50% of the required capital. In addition, the
required capital under the K-ICS, that is, the solvency standard amount, refers to the amount of potential losses that
may occur in the insurance company over the next year. Specifically, the K-ICS divides the risks exposed due to
insurance contract underwriting and asset management into five risks: life and long-term non-life insurance risk,
general non-life insurance risk, market risk, credit risk, and operational risk. Under the 99.5% confidence level, the
solvency standard amount is required to be measured by calculating the maximum loss that can occur over the next
year using the shock scenario method.
Under the K-ICS, the risk-based capital ratio is calculated by dividing the solvency amount by the solvency standard
amount. If the insurance company's solvency ratio is less than 100%, it indicates that the solvency standard amount
measured by the potential loss amount cannot be covered with capital, which means that the insurance company's
capital soundness has become poor, and the supervisory authority must comply with the Insurance Business
Supervision Regulations. Accordingly, insurance companies with a solvency ratio of less than 100% are required to
take timely corrective actions such as management improvement recommendations, management improvement
requests, or management improvement orders. As such, the new solvency system is a system in which the supervisory
authorities seek to protect policyholders by supervising the capital adequacy and risk management capabilities of
insurance companies.
117
iv) Financial risks related to insurance contracts
Investment contracts that include insurance contracts and discretionary participation feature may be exposed to
financial risks although it is an insurance liability, and the form of exposure is as follows:
① Credit risk
Credit risk refers to the risk of loss resulting from the borrower's failure to repay a loan or meet contractual obligations.
Shinhan Life Insurance Co., Ltd.'s reinsurance assets are exposed to credit risk as assets that may incur losses if the
reinsurer defaults at the time of receipt of the claims and receivables.
② Interest rate risk
Interest rate risk means the risk that arises when Shinhan Life Insurance Co., Ltd.'s financial position fluctuates
unfavorably due to the effect of interest rates on assets and liabilities. Shinhan Life Insurance Co., Ltd. manages
matched assets and liabilities for each portfolio to minimize the impact of mismatches between assets and liabilities
caused by interest rate fluctuations, thus reducing the risk.
③ Liquidity risk
Liquidity risk refers to the risk that assets and liabilities are subject to inconsistency or failure to respond to unexpected
cash outflows. Therefore, future cash outflows from investment contracts, including insurance liabilities which
account for most of Shinhan Life Insurance Co., Ltd.'s liabilities and discretionary participation features, are factors
used to determine the level of risk associated with Shinhan Life Insurance Co., Ltd. 's liquidity.
The purpose of Shinhan Life Insurance Co., Ltd. 's management of liquidity risk is to maintain sufficient liquidity to
prepare for repayments arising from insurance contracts under normal circumstances or when market shocks occur.
Shinhan Life Insurance Co., Ltd.'s main liquidity risk management methods are as follows:
- Regularly inspect and manage the amount of insurance payments and liquid assets
- Maintain and manage a portfolio comprised of assets that can be relatively easily liquidated in preparation for
unexpected disruptions in financing.
- Monitoring liquidity ratios by running liquidity stress tests
- Establishment of asset liability management strategy considering insurance contract liability cash flow
④ Market risk
Market risk refers to the risk of loss arising when Shinhan Life Insurance Co., Ltd.'s financial position fluctuates
unfavourably due to adverse price fluctuations such as stock prices and exchange rates. Shinhan Life Insurance Co.,
Ltd. carries out insurance contract transactions denominated in foreign currencies and is therefore exposed to exchange
rate fluctuations. Exposure to exchange rate fluctuations is managed through foreign exchange forward contracts and
interest rate swaps between different currencies.
v) Concentration of Insurance Risk
The concentration of insurance risks by region as of December 31, 2023 and December 31, 2022 are as follow:
December 31, 2023
Insurance Contract Reinsurance Contract Total

Domestic W 38,360,261 161,301 38,521,562
International 5,001 - 5,001
W 38,365,262 161,301 38,526,563
118
v) Concentration of Insurance Risk (continued)
① The concentration of insurance risks by region as of December 31, 2023 and December 31, 2022 are as follow:
December 31, 2022
Insurance Contract Reinsurance Contract Total

Domestic W 36,002,250 181,799 36,184,049
International 1,528 - 1,528
W 36,003,778 181,799 36,185,577
② Market risk arising from insurance contracts
The amount of foreign currency insurance liabilities as of December 31, 2023 and December 31, 2022 are as follow:

Foreign KRW Foreign KRW
currency converted currency converted
amount amount amount amount
Foreign currency insurance contract liabilities:
USD (thousand) 192,052 247,632 211,551 268,099
EUR (thousand) 124 177 105 141
VND (million) 94,010 5,001 28,455 1,528
252,810 269,768
vi) Sensitivity to Insurance Risk
The impact of changes in major assumptions on insurance contract liabilities (assets) as of December 31, 2023 and
December 31, 2022 are as follow:
December 31, 2023

Present value of expected cash flows
Before reflecting After reflecting
Scenario (example) reinsurance effect reinsurance effect
Standard amount W 35,404,236 35,676,176
Mortality rate increased by 3.27% 138,527 135,137
Mortality rate decreased by 4.58% 29,693 27,888
Risk of intestinal diseases
Sensitivity Results (flat compensation) increased by 3.4% 599,816 563,325
(Shock BEL - Base BEL) Cancellation rate increased by 9.16% 767,996 742,853
Operating expense rate increased
by 2.62% and
Inflation rate increased by 0.26%p 162,860 162,860
119
vi) Sensitivity to Insurance Risk (continued)
December 31, 2022

Present value of expected cash flows
Before reflecting After reflecting
Scenario (example) reinsurance effect reinsurance effect
Standard amount W 33,055,694 33,341,709
Mortality rate increased by 3.27% 126,983 123,821
Mortality rate decreased by 4.58% 25,181 25,016
Risk of intestinal diseases
Sensitivity Results (flat compensation) increased by 3.4% 581,288 552,636
(Shock BEL - Base BEL) Cancellation rate increased by 9.16% 801,927 778,017
Operating expense rate increased
by 2.62% and
Inflation rate increased by 0.26%p 155,945 155,945
vii) Credit risk arising from insurance contracts
The amount of the reinsurance contracts held, which is an asset according to risk level, as of December 31, 2023 and
December 31, 2022 are as follow:

Reinsurance residual Reinsurance Reinsurance residual Reinsurance
coverage assets incident assets coverage assets incident assets
AA+ ~ AA- W 38,207 5,204 20,909 5,461
120
viii) Interest rate risk arising from insurance contracts
The impact of exposure to interest rate risk and interest rate changes on profit and loss and capital as of December 31,
2023 and December 31, 2022 are as follow:
① Interest rate risk exposure

Exposure to financial products measured at fair value (*1) W 46,683,984 44,054,707
Insurance contract exposure (*2) 36,763,725 34,441,623
Net exposure (financial products - insurance contracts) W 9,920,259 9,613,084
(*1) It is the total amount of financial assets measured at fair value through profit or loss, financial assets measured at fair value
through other comprehensive income, and derivative assets (liabilities).
(*2) It is the total amount excluding the contractual service margin from the remaining coverage elements of insurance contract
liabilities and reinsurance contract assets (liabilities).
② Interest rate risk sensitivity

Profit and loss Profit and loss
effect Capital effect effect Capital effect
100 bp Increase
Insurance contract (*1) W - 3,412,769 - 2,744,382
Reinsurance contract (*1) - 15,543 - 19,258
Financial assets (*2) (37,574) (4,258,875) (42,894) (3,662,687)
100 bp Decrease
Insurance contract (*1) - (4,382,646) - (3,533,390)
Reinsurance contract (*1) - (17,723) - (22,266)
Financial assets (*2) 37,574 4,258,875 42,894 3,662,687
(*1) This is the impact on capital (before tax) due to changes in expected cash flows of insurance and reinsurance contracts,
excluding variable annuities/savings.
(*2) Calculated for assets related to insurance contracts excluding variable annuities/savings. The profit and loss effect is the change
in financial assets recognized at fair value through profit or loss, and the capital effect is the change in financial assets measured at
fair value through other comprehensive income.
121
ix) Liquidity risk arising from insurance contracts
The maturity amount of undiscounted remaining contractual cash flows as of December 31, 2023 and December 31,
2022 are as follow. This amount does not include matters relating to remaining coverage liabilities (insurance contracts
and reinsurance contracts) measured under the premium allocation approach.
December 31, 2023

Less than or
equal to 1~2 2~3 3~4 4~5 More than
1 year years years years years 5 years Total
Insurance contract
General insurance:
Cash Inflow W 5,120,022 4,408,374 3,892,580 3,500,316 3,073,794 51,775,416 71,770,502
Cash Outflow (5,509,719) (4,969,773) (4,263,071) (4,356,801) (4,235,246) (132,831,760) (156,166,370)
(389,697) (561,399) (370,491) (856,485) (1,161,452) (81,056,344) (84,395,868)
Variable insurance:
Cash Inflow 582,036 485,566 412,870 350,176 297,209 3,160,998 5,288,855
Cash Outflow (943,282) (836,548) (764,049) (711,324) (641,963) (10,096,136) (13,993,302)
(361,246) (350,982) (351,179) (361,148) (344,754) (6,935,138) (8,704,447)
(750,943) (912,381) (721,670) (1,217,633) (1,506,206) (87,991,482) (93,100,315)
Reinsurance contract
Cash Inflow 203,944 204,852 204,904 204,760 205,383 7,421,755 8,445,598
Cash Outflow (225,690) (225,630) (224,694) (222,873) (221,054) (7,686,228) (8,806,169)
(21,746) (20,778) (19,790) (18,113) (15,671) (264,473) (360,571)
Total (including variable
W
insurance) (772,689) (933,159) (741,460) (1,235,746) (1,521,877) (88,255,955) (93,460,886)
Total (excluding variable
insurance) (411,443) (582,177) (390,281) (874,598) (1,177,123) (81,320,817) (84,756,439)
122
ix) Liquidity risk arising from insurance contracts (continued)
December 31, 2022

Less than or
equal to 1~2 2~3 3~4 4~5 More than
1 year years years years years 5 years Total
Insurance contract
General insurance:
Cash Inflow W 5,141,410 4,407,978 3,801,169 3,366,573 3,020,929 43,604,298 63,342,357
Cash Outflow (5,813,798) (4,776,599) (4,596,433) (4,019,170) (4,022,887) (128,609,565) (151,838,452)
(672,388) (368,621) (795,264) (652,597) (1,001,958) (85,005,267) (88,496,095)
Variable insurance:
Cash Inflow 695,405 568,606 474,576 404,462 342,486 2,714,283 5,199,818
Cash Outflow (955,446) (865,504) (787,418) (739,126) (679,610) (10,192,545) (14,219,649)
(260,041) (296,898) (312,842) (334,664) (337,124) (7,478,262) (9,019,831)
(932,429) (665,519) (1,108,106) (987,261) (1,339,082) (92,483,529) (97,515,926)
Cash Inflow 209,601 210,135 211,431 212,533 213,221 7,427,708 8,484,629
Cash Outflow (230,689) (230,889) (231,351) (232,019) (231,403) (7,769,737) (8,926,088)
(21,088) (20,754) (19,920) (19,486) (18,182) (342,029) (441,459)
Total (including variable
W
insurance) (953,517) (686,273) (1,128,026) (1,006,747) (1,357,264) (92,825,558) (97,957,385)
Total (excluding variable
insurance) (693,476) (389,375) (815,184) (672,083) (1,020,140) (85,347,296) (88,937,554)
As of December 31, 2023 and 2022, the amount to be paid upon request by the contractor of insurance contracts issued
by Shinhan Life Insurance Co., Ltd. is W 52,560,005 million and W 52,379,537 million.
123
(b) Overview of the insurance risk – Shinhan EZ General Insurance Co., Ltd.
i) Overview of insurance risks
Insurance risk is defined as the risk that arises in connection with the underwriting of insurance contracts and payment
of claims, which are the unique tasks of an insurance company, and is managed by dividing it into long-term non-life
insurance risk and general non-life insurance risk. Long-term non-life insurance risk refers to the risk of loss due to
risk factors that may arise in a long-term non-life insurance contract and is divided and measured into death risk,
longevity risk, disability/disease risk, property/other risk, operating expense risk, project cost risk, and catastrophe
risk. General non-life insurance risk refers to the risk of loss due to risk factors that may arise in general non-life
insurance contracts, and is measured by dividing it into insurance price risk, reserve risk, and catastrophe risk.
① Long-term non-life insurance risk

Mortality risk and longevity risk refer to the risk of unexpected losses related to the death of the policyholder, and are
measured by the risk of a decrease in net asset value due to changes in the mortality level. Disability/disease risk is
the risk of unexpected losses related to the policyholder's disability or disease, and is measured as the risk of a decrease
in net asset value due to changes in the risk level of disability/disease coverage. Property and other risks are the risk
of unexpected losses related to property, costs, compensation, and other collateral, and are measured as the risk of a
decrease in net asset value due to changes in the risk level of property, costs, compensation, and other collateral.
Cancellation risk refers to the risk of unexpected losses due to the policyholder's exercise of options, such as contract
termination or early withdrawal, and is measured by the risk of a decrease in net asset value due to changes in the
policyholder's option exercise rate or group termination of policyholders. Operating expense risk includes the risk
arising from changes in spending due to inflation and the level of future costs related to insurance contract costs. Costs
related to insurance contracts include all cost items except allowances. Catastrophe risk refers to the risk of potential
loss due to extreme or exceptional risks (e.g. epidemic disease, major accident, etc.) that are not considered in the risk
of death.
② General non-life insurance risk

Insurance price risk refers to the risk resulting from uncertainty related to the timing, frequency, and severity of future
insured events. Reserve risk refers to the risk that the reserve liability accumulated to pay insurance claims for
insurance events that have occurred in the relevant contract will not cover the insurance claims to be paid in the future.
Catastrophe risk refers to the risk of potential loss due to extreme or exceptional risks (natural disasters, major
accidents, major guarantees, etc.) that are not considered in insurance prices and reserve risks.
ii) Measurement and management of insurance risk
① Measurement of insurance risk

Shinhan EZ General Insurance Co., Ltd. measures general and long-term insurance risks through the solvency amount
and the statutory solvency amount calculation criteria of Enforcement Rules of the Insurance Business Supervisory
Regulations and operates related risk management policies.
② Insurance risk management organization and management method

Shinhan EZ General Insurance Co., Ltd. determines an insurance risk permissible limit every year, monitors
compliance with the limit, and executes in accordance with predetermined countermeasures when the insurance risk
exceeds the limit. In addition, underwriting guidelines, retention, and reinsurance strategies are established and
operated so that risks can be retained at an appropriate level for each type of insurance.
124
(b) Overview of the insurance risk – Shinhan EZ General Insurance Co., Ltd. (continued)
ii) Measurement and management of insurance risk (continued)
③ Insurance payment progress

When estimating occurrences of accidents, Shinhan EZ General Insurance Co., Ltd. considers that the probability of
occurrence and scale of occurrence of future experience may be more unfavorable than the assumptions reflected in
risk adjustment. In general, uncertainty related to insurance claims and costs due to an insured event is greatest when
the accident is in its early stages, and as the year of the accident progresses, the uncertainty of the final claims and
costs decreases.
④ Sensitivity to insurance risk

Shinhan EZ General Insurance Co., Ltd. manages insurance risks through sensitivity analysis based on cancellation
rates, loss ratios, and operating expense rates that are judged to have a significant impact on the amount, timing, and
uncertainty of the insurer's future cash flows.
⑤ Liquidity risk arising from insurance contracts

Liquidity risk arising from insurance contracts may result in the inability to respond to payment demands due to
inconsistencies in the operation of funds and the procurement period and amount, or incur losses due to the
procurement of high-interest funds or unfavorable sales of held assets to resolve fund shortages. It means there is a
risk. Shinhan EZ General Insurance Co., Ltd. monitors liquidity ratios to manage liquidity risk.
⑥ Credit risk arising from insurance contracts

Credit risk arising from an insurance contract refers to the possibility of economic loss that may occur if the reinsurer,
the counterparty to the transaction, is unable to fulfil its obligations specified in the contract due to default or
deterioration of credit rating. Shinhan EZ General Insurance Co., Ltd. transacts as a reinsurer with high-quality
insurance companies that have been given a rating of BBB- or higher by S&P or an equivalent rating through strict
internal review.
⑦ Interest rate risk arising from insurance contracts

Interest rate risk exposed to Shinhan EZ General Insurance Co., Ltd. 's insurance contracts is the risk of unexpected
losses arising from changes in net interest income or net asset value depending on changes in interest rates. The
consolidated entity manages this to minimize unexpected losses arising from interest rate changes.
125
7. Investment in subsidiaries
(a) The summarized financial information of the controlling company and the Group’s major subsidiaries as of
December 31, 2023 and 2022 is as follows:
Asset Liability Equity Asset Liability Equity

Investees (*1)(*2) balance balance balance balance balance balance
Shinhan Financial Group
(separate) W 37,289,554 11,190,413 26,099,141 37,456,314 10,779,765 26,676,549
Shinhan Bank 508,497,276 474,966,063 33,531,213 491,981,392 460,814,132 31,167,260
Shinhan Card Co., Ltd. 43,420,162 35,365,175 8,054,987 43,050,321 35,591,567 7,458,754
Shinhan Securities Co., Ltd. 52,497,500 47,131,211 5,366,289 43,821,578 38,479,027 5,342,551
Shinhan Life Insurance Co., Ltd. 58,641,345 50,218,211 8,423,134 56,501,131 48,380,592 8,120,539
Shinhan Capital Co., Ltd. 13,018,880 10,791,281 2,227,599 13,035,892 11,048,996 1,986,896
Jeju Bank 7,162,714 6,626,863 535,851 7,320,304 6,798,450 521,854
Shinhan Asset Management Co.,
Ltd. 409,246 134,030 275,216 319,511 88,519 230,992
SHC Management Co., Ltd. 10,051 - 10,051 9,746 - 9,746
Shinhan DS 137,141 85,417 51,724 107,366 59,833 47,533
Shinhan Savings Bank 3,046,110 2,696,597 349,513 3,043,506 2,723,713 319,793
Shinhan Asset Trust Co., Ltd. 463,445 85,555 377,890 435,815 110,981 324,834
Shinhan Fund Partners Co., Ltd
(*3) 110,849 20,136 90,713 94,725 10,147 84,578
Shinhan REITs Management Co.,
Ltd. 72,018 9,522 62,496 58,610 5,559 53,051
Shinhan AI Co., Ltd. 35,674 940 34,734 41,431 2,264 39,167
Shinhan Venture Investment Co.,
Ltd. 171,783 90,515 81,268 140,310 63,309 77,001
Shinhan EZ General Insurance
Co., Ltd. 261,204 131,875 129,329 220,808 84,190 136,618
(*1) The consolidated financial statements of the consolidated subsidiaries are based on consolidated financial
statements, if applicable.
(*2) Trusts, beneficiary certificates, securitization special limited liability companies, associates and private equity
investment specialists that are not actually operating their own business are excluded.
(*3) Shinhan AITAS Co., Ltd. has changed its name to Shinhan Fund Partners Co., Ltd. on April 3, 2023.
126
7. Investment in subsidiaries (continued)
(b) The summarized income information of the controlling company and the Group’s major subsidiaries for the years ended December 31, 2023 and 2022 is as follows:

Operating Net Comprehensive Operating Net Comprehensive
Investees (*1),(*2) Revenue Income (*3) Income (*3) Revenue Income (*3) Income (*3)
Shinhan Financial Group (separate) W 2,160,092 1,671,011 1,669,579 1,806,604 1,249,251 1,251,294
Shinhan Bank 37,459,678 3,067,991 3,707,829 35,514,460 3,045,732 2,394,238
Shinhan Card Co., Ltd. 5,378,610 621,908 583,014 4,761,181 644,555 671,113
Shinhan Securities Co., Ltd. 9,947,400 100,840 128,378 10,548,842 412,339 427,451
Shinhan Life Insurance Co., Ltd. 6,451,715 472,395 475,656 6,377,305 449,392 (143,049)
Shinhan Capital Co., Ltd. 1,204,941 304,024 298,609 922,592 303,276 307,988
Jeju Bank 371,210 5,101 20,189 275,582 22,820 11,657
Shinhan Credit Information Co., Ltd. (*4) - - - 20,705 1,029 1,450
Shinhan Asset Management Co., Ltd. 171,145 51,272 51,225 174,242 37,064 36,892
SHC Management Co., Ltd. - 305 305 - 110 110
Shinhan DS 322,895 7,954 4,191 279,453 6,835 7,739
Shinhan Savings Bank 273,630 29,943 29,724 241,013 38,384 37,884
Shinhan Asset Trust Co., Ltd. 148,980 53,430 53,055 152,563 73,654 74,236
Shinhan Fund Partners Co., Ltd. (*5) 62,674 12,193 12,193 55,270 9,500 9,500
Shinhan REITs Management Co., Ltd. 21,512 9,485 9,446 11,433 540 609
Shinhan AI Co., Ltd. 8,727 (4,596) (4,432) 10,668 (2,217) (2,301)
Shinhan Venture Investment Co., Ltd. 28,209 4,441 4,266 19,839 1,526 1,418
Shinhan EZ General Insurance Co., Ltd. (*6) 43,747 (7,778) (7,289) 10,228 (5,438) (5,062)
127
(b) The summarized income information of the controlling company and the Group’s major subsidiaries for the years ended December 31, 2023 and 2022 is as follows (continued):
(*1) The consolidated financial statements of the consolidated subsidiaries are based on consolidated financial statements, if applicable.
(*2) Trusts, beneficiary certificates, securitization special limited liability companies, associates and private equity investment specialists that are not actually operating their own
business are excluded.
(*3) This amount includes non-controlling interests.
(*4) On July 28, 2022, the Company disposed 100% of shares to Shinhan Card Co., Ltd. The amount as of December 31, 2022 is revenue, net income (loss) and total comprehensive
income before the disposal of Shinhan Card Co., Ltd.
(*5) Shinhan AITAS Co., Ltd. has changed its name to Shinhan Fund Partners Co., Ltd. on April 3, 2023.
(*6) For the acquired company, the amount is from the consolidated statements of comprehensive income for the period after the acquisition point.
128
(c) Change in the scope of consolidation
Change in consolidated subsidiaries for the year ended December 31, 2022 are as follows:
Company Description
Included Shinhan EZ General Insurance Co., Ltd. Newly acquired subsidiary
Shinhan Alternative Investment Extinguished due to merger with
Excluded
Management Inc. Shinhan Asset Management Co., Ltd.
(*) Subsidiaries such as trust, beneficiary certificate, corporate restructuring fund and private equity fund which are
not actually operating their own business are excluded.
129
8. Operating segments
(a) Segment information
The general descriptions by operating segments as of December 31, 2023 are as follows:
Segment Description
Banking Credit to customers, lending to and receiving deposits from

customers, and its accompanying work
Credit card Sales of credit cards, cash services, card loan services, installment
financing, lease and its accompanying work
Securities Securities trading, consignment trading, underwriting and its
accompanying work
Insurance (*) Life insurance business, Non-Life insurance business and its
accompanying work
Credit Facility rental, new technology business financing, others and its
accompanying work
Others Business segments that do not belong to the above segments, such as
real estate trust, investment advisory services, venture business
investment and other remaining business
(*) Until the previous year, the Group had disclosed related information using the life insurance sales segment as a
reporting segment. However, as the internal reporting method for the chief operating decision maker was changed to
the insurance industry standard, from the current period, the life insurance and non-life insurance sales segment has
been disclosed. The segments are integrated and redefined as the insurance segment and announced. Accordingly, the
reporting segment information for the previous year was restated.
130
8. Operating segments (continued)
(b) The following tables provide information of income and expense for each operating segment for the years ended December 31, 2023 and 2022:
December 31, 2023

Consolidation
Banking Credit card Securities Insurance Credit Others adjustment Total
Net interest income W 8,548,138 1,895,298 443,676 (198,785) 248,804 125,238 (244,447) 10,817,922
Net fees and commission income 748,044 968,665 500,441 (3,210) 17,463 391,122 24,681 2,647,206
Provision for allowance for credit loss (914,848) (883,956) (152,146) (16,116) (177,912) (99,203) (322) (2,244,503)
General and administrative expenses (3,876,485) (778,564) (720,835) (218,820) (80,106) (403,395) 182,868 (5,895,337)
Other income (expense), net (495,331) (267,959) 181,927 1,087,789 335,205 327,511 (393,580) 775,562
Operating income (expense) 4,009,518 933,484 253,063 650,858 343,454 341,273 (430,800) 6,100,850
Equity method income (loss) 8,556 (2,831) 93 (302) 66,918 664 51,990 125,088
Income tax expense 936,472 218,332 36,239 167,417 89,849 81,695 (43,044) 1,486,960
Profit for the year W 2,969,829 725,171 100,840 464,617 304,024 243,928 (330,409) 4,478,000
Controlling interest W 2,969,519 723,845 100,915 464,617 304,024 243,928 (438,813) 4,368,035
Non-controlling interests 310 1,326 (75) - - - 108,404 109,965
131
(b) The following tables provide information of income and expense for each operating segment for the years ended December 31, 2023 and 2022 (continued):
December 31, 2022

Consolidation
Net interest income W 8,358,526 1,798,005 428,420 (124,453) 260,011 153,214 (276,870) 10,596,853
Net fees and commission income 801,109 702,392 484,632 (4,348) 30,587 398,854 316 2,413,542
Reversal of (provision for) allowance
for credit loss (621,690) (560,264) 546 (16,459) (19,803) (72,857) (1,286) (1,291,813)
General and administrative expenses (3,761,767) (777,496) (690,539) (166,255) (80,320) (390,419) 222,636 (5,644,160)
Other income (expense), net (715,837) (283,011) (102,084) 850,708 158,560 84,214 (161,408) (168,858)
Operating income (loss) 4,060,341 879,626 120,975 539,193 349,035 173,006 (216,612) 5,905,564
Equity method income (loss) 22,301 7,115 70,270 4,221 54,937 (735) (36,412) 121,697
Income tax expense 1,030,445 227,769 145,301 83,514 98,468 35,006 (9,391) 1,611,112
Profit for the year W 2,974,716 738,391 412,339 439,850 303,275 142,872 (255,929) 4,755,514
Controlling interest W 2,973,996 735,204 412,496 439,850 303,275 142,872 (342,050) 4,665,643
Non-controlling interests 720 3,187 (157) - - - 86,121 89,871
132
(c) Interest gains and losses from segment external customers and cross-sector interest gains and losses for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Consolidation
Banking Credit card Securities Insurance Credit Others adjustment (*) Total
Net interest income from:
External customers (*) W 8,557,545 1,961,035 449,835 (208,812) 265,943 36,700 (244,324) 10,817,922
Internal transactions (9,407) (65,737) (6,159) 10,027 (17,139) 88,538 (123) -
W 8,548,138 1,895,298 443,676 (198,785) 248,804 125,238 (244,447) 10,817,922
December 31, 2022

Consolidation
Banking Credit card Securities Insurance Credit Others adjustment (*) Total
Net interest income from:
External customers (*) W 8,366,892 1,857,351 442,554 (127,840) 269,230 71,561 (282,895) 10,596,853
Internal transactions (8,366) (59,346) (14,134) 3,387 (9,219) 81,653 6,025 -
W 8,358,526 1,798,005 428,420 (124,453) 260,011 153,214 (276,870) 10,596,853
(*) Consolidated adjustment to net interest income from external customers is from the securities and others which were measured in fair values as a part of business combination accounting.
133
(d) The following tables provide information of net fees and commission income (expense) of each operating segment for the years ended December 31, 2023 and 2022.
December 31, 2023

Consolidation
Net fees and commission income from:
External customers W 794,021 1,019,262 507,109 2,151 14,917 309,746 - 2,647,206
Internal transactions (45,977) (50,597) (6,668) (5,361) 2,546 81,376 24,681 -
W 748,044 968,665 500,441 (3,210) 17,463 391,122 24,681 2,647,206
December 31, 2022

Consolidation
Net fees and commission income from:
External customers W 844,894 734,900 494,829 8,648 26,737 303,534 - 2,413,542
Internal transactions (43,785) (32,508) (10,197) (12,996) 3,850 95,320 316 -
W 801,109 702,392 484,632 (4,348) 30,587 398,854 316 2,413,542
134
(e) Financial information of geographical area
The following table provides information of income from external consumers by geographical area for the years
ended December 31, 2023 and 2022.

Domestic W 5,088,487 5,064,891
Overseas 1,012,363 840,673
W 6,100,850 5,905,564
The following table provides information of non-current assets by geographical area as of December 31, 2023 and
2022.

Domestic W 10,142,257 9,825,529
Overseas 305,799 356,512
W 10,448,056 10,182,041
(*) Non-current assets comprise property and equipment, intangible assets and investment properties.
135
9. Cash and due from banks at amortized cost
(a) Cash and due from banks at amortized cost as of December 31, 2023 and 2022 are as follows:

Cash W 2,173,550 2,304,480
2,173,550 2,304,480
Deposits denominated in Korean won:
Reserve deposits 10,909,697 8,647,429
Time deposits 1,450,123 2,275,832
Certificate of deposit 14,446 -
Other 3,042,525 2,975,453
15,416,791 13,898,714
Deposits denominated in foreign currency:
Deposits 12,117,199 8,516,315
Time deposits 3,000,279 3,153,208
Other 1,942,571 2,197,326
17,060,049 13,866,849
Allowance for credit losses (21,139) (19,203)

W 34,629,251 30,050,840
(b) Restricted due from banks in accordance with Related Regulation or Acts as of December 31, 2023 and 2022
are as follows:
December 31, 2023 December 31, 2022 Related Regulations or Acts

Deposits denominated
in Korean won:
Reserve deposits W 10,909,697 8,647,429 Article 55 of the Bank of Korea Act
Article 74 of the Capital Markets and
Other 1,633,297 2,216,899 Financial Investment Business Act, etc.
12,542,994 10,864,328
Articles of the Bank of Korea Act,

Deposits denominated New York State Banking Act, derivatives
in foreign currency 7,148,169 2,975,849 related, etc.
W 19,691,163 13,840,177
136
10. Financial assets at fair value through profit or loss
Financial assets at fair value through profit or loss as of December 31, 2023 and 2022 are as follows:

Debt instruments:
Governments W 6,392,302 5,961,610
Financial institutions 12,590,217 11,788,689
Corporations 10,949,245 7,826,772
Stocks with put option 651,045 359,795
Equity investment with put option 5,019,107 3,185,222
Beneficiary certificates 14,489,698 13,782,117
Commercial papers 8,631,502 4,939,927
CMA 3,473,984 3,850,613
Others (*) 3,274,992 3,464,559
65,472,092 55,159,304
Equity instruments:
Stocks 3,732,637 3,739,343
Equity investment 8,093 38,515
Others 110,731 79,854
3,851,461 3,857,712
W 69,323,553 59,017,016
Other:
Loans at FVTPL W 1,758,562 2,389,180
Due from banks at fair value 30,743 26,116
Gold/silver deposits 103,706 75,969
W 71,216,564 61,508,281
(*) As of December 31, 2023 and 2022, restricted reserve for claims of customers’ deposits (trusts) are W 1,841,473
million and W 1,705,724 million, respectively.
137
11. Derivatives
(a) The notional amounts of derivatives outstanding as of December 31, 2023 and 2022 are as follows:

Foreign currency related:
Over the counter:
Currency forwards W 142,779,721 129,544,881
Currency swaps 45,159,344 40,539,223
Currency options 1,265,326 1,327,752
189,204,391 171,411,856
Exchange traded:
Currency futures 2,189,413 1,325,660
191,393,804 172,737,516
Interest rates related:
Over the counter:
Interest rate forwards and swaps 41,950,711 37,170,647
Interest rate options 516,577 226,924
42,467,288 37,397,571
Exchange traded:
Interest rate futures 3,943,763 2,924,135
Interest rate swaps (*) 94,186,140 94,803,271
98,129,903 97,727,406
140,597,191 135,124,977
Credit related:
Over the counter:
Credit swaps 4,178,441 5,155,334
Equity related:
Over the counter:
Equity swaps and forwards 4,100,836 4,008,263
Equity options 3,552,337 878,122
7,653,173 4,886,385
Exchange traded:
Equity futures 2,764,186 3,317,515
Equity options 240,603 1,444,098
3,004,789 4,761,613
10,657,962 9,647,998
Commodity related:
Over the counter:
Commodity swaps and forwards 1,034,225 898,332
Commodity options 8,000 8,000
1,042,225 906,332
Exchange traded:
Commodity futures and options 93,004 75,770
1,135,229 982,102
Hedge:
Currency forwards 2,142,233 1,249,589
Currency swaps 4,448,030 4,677,553
Interest rate forwards and swaps 12,469,580 16,475,525
19,059,843 22,402,667
W 367,022,470 346,050,594
(*) The notional amounts of derivatives outstanding that will be settled in the ‘Central Counter Party (CCP)’ system.
138
11. Derivatives (continued)
(b) Fair values of derivative instruments as of December 31, 2023 and 2022 are as follows:

Assets Liabilities Assets Liabilities
Over the counter:
Currency forwards W 1,558,662 1,402,185 3,089,759 2,838,793
Currency swaps 1,431,614 1,206,156 1,625,286 1,807,229
Currency options 13,128 13,065 14,776 13,603
3,003,404 2,621,406 4,729,821 4,659,625
Exchange traded:
Currency futures 30 1,102 19 928
3,003,434 2,622,508 4,729,840 4,660,553
Over the counter:
Interest rate forwards and swaps 683,814 902,989 772,513 1,062,772
Interest rate options 4,011 17,038 5,169 1,983
687,825 920,027 777,682 1,064,755
Exchange traded:
Interest rate futures 2,253 11,757 2,555 972
690,078 931,784 780,237 1,065,727
Credit related:
Over the counter:
Credit swaps 473,582 10,366 423,966 19,235
Equity related:
Over the counter:
Equity swap and forwards 166,010 350,768 169,504 393,810
Equity options 7,137 165,834 2,704 1,139
173,147 516,602 172,208 394,949
Exchange traded:
Equity futures 66,356 16,346 31,051 101,622
Equity options 47,167 16,735 11,414 145,895
113,523 33,081 42,465 247,517
286,670 549,683 214,673 642,466
Commodity related:
Over the counter:
Commodity swaps and forwards 3,314 84,957 10,983 136,701
Commodity options - - - 1,517
3,314 84,957 10,983 138,218
Exchange traded:
Commodity futures and options 2,122 638 2,649 589
5,436 85,595 13,632 138,807
Hedge:
Currency forwards 21,580 34,492 23,143 37,757
Currency swaps 111,024 99,093 158,297 75,070
Interest rate forwards and swaps 119,617 704,895 116,864 1,069,000
252,221 838,480 298,304 1,181,827
W 4,711,421 5,038,416 6,460,652 7,708,615
139
(c) Gain or loss on valuation of derivatives for the years ended December 31, 2023 and 2022 are as follows:

Over the counter:
Currency forwards W 36,890 44,245
Currency swaps 135,712 (144,318)
Currency options 1,355 4,247
173,957 (95,826)
Exchange traded:
Currency futures (955) 17,972
173,002 (77,854)
Over the counter:
Interest rate forwards and swaps 181,987 (173,277)
Interest rate options (2,886) 285
179,101 (172,992)
Exchange traded:
Interest rate futures and others (9,511) 1,026
169,590 (171,966)
Credit related:
Over the counter:
Credit swaps 53,042 (25,562)
Equity related:
Over the counter:
Equity swap and forwards (19,934) (192,888)
Equity options (159,324) 3,360
(179,258) (189,528)
Exchange traded:
Equity futures 50,009 (69,200)
Equity options (13,929) (27,932)
36,080 (97,132)
(143,178) (286,660)
Commodity related:
Over the counter:
Commodity swaps and forwards 37,027 (148,591)
Commodity options 1,516 5,840
38,543 (142,751)
Exchange traded:
Commodity futures 1,484 2,058
40,027 (140,693)
Hedge 327,016 (743,542)

W 619,499 (1,446,277)
140
(d) Gains and losses related to hedge
i) Gains and losses on fair value hedged items and hedging instruments attributable to the hedged ineffectiveness for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Gains and losses on Gains and losses on Hedge ineffectiveness recognized in
fair value hedges fair value hedges profit
(hedged items) (hedging instruments) or loss (*2)
Fair value hedges:
Interest rate risk (*1) W (271,425) 282,835 11,410
Foreign exchange risk (*1) 4,102 (5,264) (1,162)
W (267,323) 277,571 10,248
December 31, 2022

Gains and losses on Gains and losses on Hedge ineffectiveness recognized in
fair value hedges fair value hedges profit
(hedged items) (hedging instruments) or loss (*2)
Fair value hedges:
Interest rate risk (*1) W 697,330 (728,397) (31,067)
Foreign exchange risk (*1) 20,748 (22,056) (1,308)
Stock price volatility risk (4,762) 3,411 (1,351)
W 713,316 (747,042) (33,726)
(*1) The related account categories are presented as interest rate swap assets / liabilities and currency swap assets / liabilities.
(*2) The hedge ineffectiveness is the difference between gains and losses on hedged items and hedging instruments.
141
(d) Gains and losses related to hedge (continued)
ii) Due to the ineffectiveness of hedge of cash flow risk and hedge of net investment in foreign operations during the year, the amounts recognized in the income statement and other
comprehensive income are as follows:
December 31, 2023

From cash flow hedge
Gains (losses) on hedges recognized in Hedge ineffectiveness recognized in profit reserve to profit or loss
other comprehensive income or loss (*2) reclassified amount
Cash flow hedges:
Interest rate risk (*1) W 99,268 (512) (1,760)
Foreign exchange risk (*1) (10,294) (7,069) (25,698)
Discontinuation of
cash flow hedges (5,531) - 14,659
Hedge of net investments:
Foreign exchange risk (*1) (3,903) 3,673 -
W 79,540 (3,908) (12,799)
December 31, 2022

From cash flow hedge
Gains (losses) on hedges recognized in Hedge ineffectiveness recognized in profit reserve to profit or loss
other comprehensive income or loss (*2) reclassified amount
Cash flow hedges:
Interest rate risk (*1) W (132,203) (47,854) (65)
Foreign exchange risk (*1) 29,322 (54,969) 122,893
Discontinuation of
cash flow hedges - - 9,270
Hedge of net investments:
Foreign exchange risk (*1) (25,793) (4,096) -
W (128,674) (106,919) 132,098
(*1) The related account categories are presented as interest rate swap assets / liabilities and currency swap assets / liabilities, currency forwards assets / liabilities and borrowings.
(*2) The hedge ineffectiveness is the difference between gains and losses on hedged items and hedging instruments.
142
(e) Effect of hedge accounting on financial statement, statement of comprehensive income, statement of changes in equity
i) Hedging purpose and strategy
The Group transacts with derivative financial instruments to hedge its interest rate risk, currency risk and stock price fluctuation risk arising from the assets and liabilities of the Group.
The Group applies the fair value hedge accounting for the changes in the market interest rates, foreign exchange rates and stock price of the Korean won structured notes, foreign
currency generated financial debentures, Korean won structured deposits, foreign currency investment receivables and beneficiary securities in foreign currency; and cash flow hedge
accounting for forward interest rate, interest rate swaps, forward currency and currency swaps to hedge cash flow risk due to interest rates and foreign exchange rates of the Korean
won debt, foreign currency debt, foreign currency structured deposits, the Korean won bonds and foreign currency bonds, etc. In addition, in order to hedge the exchange rate risk of
the net investment in overseas business, the Group applies the net investment hedge accounting for foreign operations using currency forward and non-derivative financial instruments.
ii) Nominal amounts and average hedge ratios for hedging instruments as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Less than 1~2 2~3 3~4 4~5
1 year years years years years More than 5 years Total
Interest risk:
Nominal values: W 3,038,263 609,182 2,143,914 804,873 1,935,599 3,937,749 12,469,580
Average price condition (*1) 0.82% 3.02% 1.64% 1.65% 1.37% 0.74% 1.18%
Average hedge ratio: 100% 100% 100% 100% 100% 100% 100%
Exchange risk: (*2)

Nominal values: 1,871,327 1,335,798 2,139,371 974,113 1,687,341 49,109 8,057,059
(*1) Interest rate swaps consist of 3M CD, USD SOFR, 3M Euribor, and 3M AUD Bond.
(*2) The average exchange rates of net investment hedge instruments are USD/KRW 1,235.14, JPY/KRW 9.46, EUR/KRW 1,358.46, GBP/KRW 1,547.81, AUD/KRW 865.53,
CAD/KRW 921.27, CNY/KRW 177.98, SEK/KRW 126.18.
143
(e) Effect of hedge accounting on financial statement, statement of comprehensive income, statement of changes in equity
ii) Nominal amounts and average hedge ratios for hedging instruments as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Less than 1~2 2~3 3~4 4~5 More than 5
1 year years years years years years Total
Interest risk:
Nominal values: W 5,338,313 3,023,185 612,113 2,114,152 819,140 4,568,622 16,475,525
Average price condition (*1) 0.72% 0.82% 2.53% 1.52% 1.48% 0.68% 0.94%
Exchange risk: (*2)

Nominal values: 2,593,585 654,211 1,092,271 1,931,313 901,597 41,207 7,214,184
Average hedge ratio: 100% 100% 100% 100% 100% - 100%
(*1) Interest rate swaps consist of 3M CD, USD SOFR, 3M USD Libor, 3M Euribor, and 3M AUD Bond.
(*2) The average exchange rates of net investment hedge instruments are USD/KRW 1,195.32, JPY/KRW 10.13, EUR/KRW 1,336.97, GBP/KRW 1,484.42, AUD/KRW 812.44,
CAD/KRW 948.79, SGD/KRW 859.87, CNY/KRW 190.96, SEK/KRW 125.49.
144
(e) Effect of hedge accounting on financial statement, statement of comprehensive income, statement of changes in equity (continued)
iii) Effect of derivatives on statement financial position, statement of comprehensive income, statement of changes in equity
December 31, 2023

Carrying amount of assets Carrying amount of liability Changes in fair value in the
Nominal amount (*) (*) period
Fair value hedges
Interest rate forward and swap W 10,112,789 65,787 614,219 246,594
Currency forward 308,117 2,949 791 (327)
Cash flow hedges

Interest rate swap 2,356,791 53,830 90,676 99,442
Currency swap 4,448,030 111,024 99,093 (21,649)
Currency forward 1,150,734 12,593 30,925 2,170
Hedge of net investments in foreign operations

Currency forward 683,382 6,038 2,776 4,537
Borrowings 1,466,795 - 1,462,329 (4,767)
(*) The related account categories are presented as interest rate swap assets / liabilities and currency forward assets / liabilities, etc.
145
iii) Effect of derivatives on statement financial position, statement of comprehensive income, statement of changes in equity (continued)
December 31, 2022

Carrying amount of asset Carrying amount of liability Changes in fair value in the
Nominal amount (*) (*) period
Fair value hedges
Interest rate swap W 13,530,243 77,757 895,005 (740,190)
Currency forward 113,126 4,038 635 1,780
Cash flow hedges

Interest rate swap 2,945,282 39,107 173,995 (126,075)
Currency swap 4,677,553 158,297 75,070 117,401
Currency forward 883,003 15,708 35,976 (3,136)
Hedge of net investments in foreign operations

Currency forward 253,460 3,397 1,146 (773)
Borrowings 1,287,039 - 1,282,361 (29,116)
(*) The related account categories are presented as interest rate swap assets / liabilities and currency forward assets / liabilities, etc.
146
iv) Effect of hedging items on statement financial position, statement of comprehensive income, statement of changes in equity
December 31, 2023

Assets of
Cumulative fair Liabilities of
Carrying amount of Carrying amount of value hedge Cumulative fair value Changes of fair Cash flow hedge Foreign currency
assets (*) liabilities (*) adjustment hedge adjustment value in the year reserve translation reserves
Fair value hedges
Interest rate risk
Borrowings and others W 685,340 9,224,390 41,643 (579,315) (240,965) - -
Foreign exchange risk
Securities in foreign currency 544,706 - - - 1,313 - -
Cash flow hedges
Interest rate risk
Debentures in won and debentures in
foreign currency 641,750 1,029,542 - - (11,068) 26,648 -
Debentures in foreign currency and
loans in foreign currency 2,490,098 2,342,230 - - 69,784 (17,812) -
Hedge of net investments in foreign
operations
Net assets in foreign operation - - - - 3,903 - (36,931)
(*) The related account categories are presented as interest rate swap assets / liabilities and currency forwards, etc.
147
iv) Effect of hedging items on statement financial position, statement of comprehensive income, statement of changes in equity (continued)
December 31, 2022

Assets of
Carrying Cumulative fair Liabilities of
amount of assets Carrying amount of value hedge Cumulative fair value Changes of fair Cash flow hedge Foreign currency
(*) liabilities (*) adjustment hedge adjustment value in the year reserve translation reserves
Fair value hedges
Interest rate risk
Borrowings and others W 505,668 12,711,595 69,687 (861,128) 708,439 - -
Securities in foreign currency 205,470 - - - (4,002) - -
Cash flow hedges
Interest rate risk
Debentures in won and debentures in
foreign currency 475,027 1,689,360 - - 31,830 (58,956) -
Debentures in foreign currency and
loans in foreign currency 2,821,186 2,843,059 - - 55,548 (12,232) -
Hedge of net investments in foreign
operations
Net assets in foreign operation - - - - 25,793 - (40,834)
(*) The related account categories are presented as interest rate swap assets / liabilities and currency forwards.
148
(f) Hedge relationships affected by an interest rate index reform
The revised Standard requires exceptions to the analysis of future information in relation to the application of hedge accounting, while uncertainty exists due to movements of the
interest rate index reform. The exception assumes that the interest rate indicators for the hedged item and hedging instruments do not change due to the effect of the interest rate index
reform when assessing whether the expected cash flows that comply with existing interest rate indicators are highly probable, whether there is an economic relationship between the
hedged item and the hedging instrument, and whether there is a high hedge effectiveness between the hedged item and the hedging instrument.
The KRW CD interest rate will be replaced by a KOFR (Korea Overnight Financing Repo Rate). The Group has assumed that in this hedging relationship, the spread changed on the
basis of KOFR would be similar to the spread included in the interest rate swap and forward used as the hedging instrument after LIBOR rate is suspended. The Group does not assume
any changes in other conditions.
149
12. Securities at fair value through other comprehensive income and securities at amortized cost
(a) Details of securities at FVOCI and securities at amortized cost as of December 31, 2023 and 2022 are as follows:

Securities at FVOCI:
Debt securities:
Government bonds W 44,418,450 40,995,316
Financial institutions bonds 21,303,402 20,539,199
Corporate bonds and others 22,915,148 22,262,060
88,637,000 83,796,575
Equity securities (*):
Stocks 1,527,182 1,475,153
Equity investments 2,153 3,833
Others 145,644 193,600
1,674,979 1,672,586
90,311,979 85,469,161
Securities at amortized cost:
Debt securities:
Government bonds 22,787,609 21,523,230
Financial institutions bonds 5,864,626 5,423,771
Corporate bonds and others 7,034,252 6,424,197
35,686,487 33,371,198
W 125,998,466 118,840,359
(*) The Group designated the equity securities as securities at FVOCI as the regulation requires the Group to hold, etc.
150
12. Securities at fair value through other comprehensive income and securities at amortized cost (continued)
(b) Changes in carrying amount of debt securities at fair value through other comprehensive income and securities at amortized cost for the years ended December 31, 2023 and 2022
are as follows:
December 31, 2023

Debt securities at fair value through other comprehensive income Debt securities at amortized cost
12-month expected Life time expected 12-month expected Life time expected
credit loss credit loss Total credit loss credit loss Total
Beginning balance W 83,729,377 67,198 83,796,575 33,371,599 10,515 33,382,114

Transfer (from) to 12-month
expected credit loss 18,873 (18,873) - - - -
Transfer (from) to life time
expected credit loss (47,209) 47,209 - - - -
Net increase and decrease
(*) 4,844,010 (3,585) 4,840,425 2,318,788 (2,992) 2,315,796
Ending balance W 88,545,051 91,949 88,637,000 35,690,387 7,523 35,697,910
(*) Included the effects from changes in purchase, disposal, repayment, valuation, changes in foreign exchange rate and amortization of fair value adjustments recognized through
business combination accountings and the others.
151
(b) Changes in carrying amount of debt securities at fair value through other comprehensive income and securities at amortized cost for the years ended December 31, 2023 and 2022
are as follows (continued):
December 31, 2022

12-month expected Life time expected 12-month expected Life time expected
credit loss credit loss Total credit loss credit loss Total
Beginning balance W 89,595,577 152,786 89,748,363 26,139,316 36,290 26,175,606

Transfer (from) to 12-month
expected credit loss 61,740 (61,740) - 18,544 (18,544) -
expected credit loss (23,619) 23,619 - - - -
Net increase and decrease
(*) (5,929,126) (47,467) (5,976,593) 7,213,739 (7,231) 7,206,508
Business
combination 24,805 - 24,805 - - -
Ending balance W 83,729,377 67,198 83,796,575 33,371,599 10,515 33,382,114
(*) Included the effects from changes in purchase, disposal, repayment, valuation, changes in foreign exchange rate and amortization of fair value adjustments recognized through
business combination accountings and the others.
152
(c) Changes in allowance for credit loss of debt securities at fair value through other comprehensive income and securities at amortized cost for the years ended December 31, 2023
December 31, 2023

12 months expected Life time expected 12 months expected Life time expected credit
credit loss credit loss Total credit loss loss Total
Beginning balance W 40,501 113 40,614 10,759 157 10,916

Transfer (from)to 12-month
expected credit loss 14 (14) - - - -
Transfer (from)to life time
expected credit loss (111) 111 - - - -
Provision (Reversal) 1,573 698 2,271 (113) (23) (136)
Disposal and others (*) (409) 1 (408) 637 6 643
Ending balance W 41,568 909 42,477 11,283 140 11,423
December 31, 2022

12 months expected Life time expected 12 months expected Life time expected credit
credit loss credit loss Total credit loss loss Total
Beginning balance W 45,648 603 46,251 10,201 463 10,664

Transfer (from)to 12-month
expected credit loss 166 (166) - 203 (203) -
Transfer (from)to life time
expected credit loss (20) 20 - - - -
Provision (Reversal) (4,658) (355) (5,013) 632 (94) 538
Disposal and others (*) (635) 11 (624) (277) (9) (286)
Ending balance W 40,501 113 40,614 10,759 157 10,916
(*) Included the effects from changes in debt restructuring, investment conversion, foreign exchange rate and the others.
153
(d) Gain or loss on disposal of securities at fair value through other comprehensive income and securities at amortized
cost for the years ended December 31, 2023 and 2022 are as follows:

2023 2022
Gain on disposal of securities at FVOCI W 50,793 26,427

Loss on disposal of securities at FVOCI (180,368) (187,850)
Gain on disposal of securities at amortized cost (*) 358 4
Loss on disposal of securities at amortized cost (*) (107) (64)
W (129,324) (161,483)
(*) The issuers of those securities have exercised the early redemption options and the others.
(e) Income or loss on equity securities at fair value through other comprehensive income
i) The Group recognizes dividends, amounting to W 60,139 million and W 32,700 million, related to equity securities
at fair value through other comprehensive income for the years ended December 31, 2023 and 2022, respectively.
ii) The details of disposal of equity securities designated at fair value through other comprehensive income for the
years ended December 31, 2023 and 2022 are as follows:

2023 2022
Stocks acquired by investment
conversion
Fair value at the date of disposal W 156,872 48,525
Cumulative net gain (loss) at the time of disposal (4,152) 2,943
(*) The reason for the disposal is the disposal of stocks acquired by investment conversion.
154
13. Loans at amortized cost, etc.
(a) Loans at amortized cost for configuration by customer as of December 31, 2023 and 2022 are as follows:

Retail loans W 155,103,825 155,365,004
Corporate loans (*) 224,916,377 216,004,850
Public and other loans 4,427,500 3,788,040
Loans between banks 3,049,239 7,428,874
Credit card receivables 28,090,168 28,459,691
415,587,109 411,046,459
Discount (23,063) (21,879)
Deferred loan origination costs 505,986 525,205
416,070,032 411,549,785
Less: Allowance for credit loss (4,330,470) (3,650,813)
W 411,739,562 407,898,972
(*) Included loans for solo proprietor business, etc.
155
13. Loans at amortized cost, etc. (continued)
(b) Changes in carrying amount of loans at amortized cost, etc. as of December 31, 2023 and 2022 are as follows:
i) Loans at amortized cost
December 31, 2023

Retail Corporate Credit card Others
12 months Life time Impaired 12 months Life time Impaired 12 months Life time Impaired 12 months Life time Impaired
expected expected financial expected expected financial expected expected financial expected expected financial
credit loss credit loss asset credit loss credit loss asset credit loss credit loss asset credit loss credit loss asset Total
Beginning balance W 146,741,436 8,491,997 600,340 183,229,940 32,054,591 970,719 23,586,633 4,333,611 493,480 10,367,271 665,676 14,091 411,549,785
Transfer (from) to 12
months expected credit
losses 3,684,473 (3,671,574) (12,899) 6,312,378 (6,310,771) (1,607) 59,586 (59,510) (76) 51,588 (51,588) - -
Transfer (from) to
lifetime expected
credit losses (6,347,880) 6,382,499 (34,619) (14,969,646) 14,984,213 (14,567) (72,489) 72,551 (62) (154,268) 154,268 - -
Transfer (from) to
credit- impaired
financial assets (462,894) (266,533) 729,427 (511,906) (476,684) 988,590 (19,349) (10,202) 29,551 (476) (6,139) 6,615 -
Net increase and
decrease (*1) 1,826,622 (1,544,703) 148,463 7,797,722 1,502,116 449,944 (259,750) (226,043) 928,319 (3,819,606) 65,262 8,018 6,876,364
Charge off (*2) - - (489,511) - - (352,324) - - (805,454) - - (2,127) (1,649,416)
Disposal - (1,477) (147,151) (56,032) (7,325) (491,911) - - (155) - (500) (2,150) (706,701)
Ending balance W 145,441,757 9,390,209 794,050 181,802,456 41,746,140 1,548,844 23,294,631 4,110,407 645,603 6,444,509 826,979 24,447 416,070,032
(*1) The amount is due to execution, collection, debt restructuring, investment conversion, exchange rate fluctuation, etc.
(*2) The amount of uncollected loans currently in recovery (principal and interest) is W 9,964,573 million, which is written off as of December 31, 2023.
156
(b) Changes in carrying amount of loans at amortized cost, etc. as of December 31, 2023 and 2022 are as follows
(continued):
ii) Due from banks at amortized cost and other financial assets
December 31, 2023

12 month Life time
expected expected Impaired
credit loss credit loss financial asset Total
Beginning balance W 49,701,131 165,723 87,512 49,954,366
Transfer (from) to 12 month expected credit
losses 23,476 (23,305) (171) -
Transfer (from) to lifetime expected credit
losses (96,073) 96,096 (23) -
Transfer (from) to credit- impaired financial
assets (9,110) (40,985) 50,095 -
Net increase and decrease (*) 9,789,697 48,392 60,859 9,898,948
Charge off - - (28,665) (28,665)
Disposal - (5) (1,819) (1,824)
Ending balance W 59,409,121 245,916 167,788 59,822,825
(*) The amount is due to execution, collection, debt restructuring, investment conversion, exchange rate fluctuation,
etc.
157
(b) Changes in carrying amount of loans at amortized cost, etc. as of December 31, 2023 and 2022 are as follows (continued):
i) Loans at amortized cost (continued)
December 31, 2022

Retail Corporate Credit card Others
12 months Life time Impaired 12 months Life time Impaired 12 months Life time Impaired 12 months Life time Impaired
Beginning balance W 145,927,405 8,149,050 451,228 170,489,366 28,830,615 930,549 21,346,418 4,166,803 457,582 6,542,444 668,657 17,751 387,977,868
losses 3,399,814 (3,390,943) (8,871) 7,620,344 (7,612,945) (7,399) 431,252 (430,915) (337) 55,766 (55,766) - -
Transfer (from) to
lifetime expected
credit losses (4,240,767) 4,275,492 (34,725) (11,480,879) 11,491,902 (11,023) (764,938) 765,279 (341) (52,028) 52,030 (2) -
Transfer (from) to
credit- impaired
financial assets (252,730) (154,510) 407,240 (222,960) (489,488) 712,448 (115,976) (160,843) 276,819 (18) (12) 30 -
Net increase and
decrease (*1) 1,907,714 (385,941) 127,858 16,841,069 (164,160) (267,984) 2,689,877 (6,713) 352,143 3,821,009 767 181 24,915,820
Charge off (*2) - - (263,962) - - (249,453) - - (592,386) - - (1,121) (1,106,922)
Disposal - (1,151) (78,428) (17,000) (1,333) (136,419) - - - - - (2,748) (237,079)
Business combination - - - - - - - - - 98 - - 98
Ending balance W 146,741,436 8,491,997 600,340 183,229,940 32,054,591 970,719 23,586,633 4,333,611 493,480 10,367,271 665,676 14,091 411,549,785
(*1) The amount is due to execution, collection, debt restructuring, investment conversion, exchange rate fluctuation, etc.
(*2) The amount of uncollected loans currently in recovery (principal and interest) is W 10,613,730 million, which is written off as of December 31, 2022.
158
(b) Changes in carrying amount of loans at amortized cost, etc. as of December 31, 2023 and 2022 are as follows
(continued):
ii) Due from banks at amortized cost and other financial assets (continued)
December 31, 2022

12 month Life time
Beginning balance W 48,154,690 104,650 79,094 48,338,434
Transfer (from) to 12 month expected credit
losses 16,401 (16,309) (92) -
losses (23,870) 23,985 (115) -
assets (10,008) (3,654) 13,662 -
Net increase and decrease (*) 1,482,975 57,051 21,722 1,561,748
Charge off - - (25,636) (25,636)
Disposal - - (1,123) (1,123)
Business combination 80,943 - - 80,943
Ending balance W 49,701,131 165,723 87,512 49,954,366
(*) The amount is due to execution, collection, debt restructuring, investment conversion, exchange rate fluctuation,
etc.
159
(c) Changes in allowance for credit loss of loans at amortized cost and other financial assets as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Retail Corporate Credit cards Others
12
month
12 month Life time 12 month Life time Impaired 12 month Life time Impaired expected Life time Impaired
expected expected Impaired expected expected financial expected expected financial credit expected financial
credit loss credit loss financial asset credit loss credit loss asset credit loss credit loss asset loss credit loss asset Total
Beginning balance W 264,836 165,090 264,530 560,207 840,557 487,239 211,112 471,473 355,975 13,882 9,218 6,694 3,650,813
losses 25,984 (24,982) (1,002) 92,347 (92,254) (93) 23,474 (23,422) (52) 213 (213) - -
Transfer (from) to lifetime
expected credit losses (28,336) 44,543 (16,207) (69,404) 74,346 (4,942) (18,412) 18,557 (145) (305) 305 - -
Transfer (from) to credit-
impaired financial assets (13,823) (32,129) 45,952 (7,456) (47,157) 54,613 (2,023) (3,402) 5,425 (7) (25) 32 -
Provision (reversal) (4,029) 56,164 429,789 225,719 223,266 456,854 15,525 (3,720) 711,724 (348) 1,095 2,403 2,114,442
Charge off - - (489,511) - - (352,324) - - (805,454) - - (2,127) (1,649,416)
Amortization of discount - - (12,327) - - (25,929) - - 7,344 - - - (30,912)
Disposal - (177) (40,297) (36) (240) (56,118) - - (155) - (9) (115) (97,147)
Collection - - 101,653 - - 69,674 - - 186,715 - - 451 358,493
Others (*) (1,366) (1,147) 611 (12,327) (4,173) (487) 610 1,362 1,177 (63) - - (15,803)
Ending balance W 243,266 207,362 283,191 789,050 994,345 628,487 230,286 460,848 462,554 13,372 10,371 7,338 4,330,470
(*) Other changes are due to debt restructuring, investment conversion and changes in foreign exchange rate, etc.
160
(c) Changes in allowance for credit loss of loans at amortized cost and other financial assets as of December 31, 2023
and 2022 are as follows (continued):
December 31, 2023

12 months Life time
Beginning balance W 296,346 10,440 74,621 381,407
Transfer (from) to 12 months expected credit
losses 364 (299) (65) -
losses (40,026) 40,041 (15) -
assets (228) (37,000) 37,228 -
Provision 44,035 2,326 44,409 90,770
Charge off - - (28,665) (28,665)
Disposal - - (178) (178)
Collection - - 2,198 2,198
Others (*) 32,460 142 8,435 41,037
Ending balance W 332,951 15,650 137,968 486,569
161
(c) Changes in allowance for credit loss of loans at amortized cost and other financial assets as of December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Retail Corporate Credit cards Others
12 month Life time Impaired 12 month Life time Impaired 12 month Life time Impaired 12 month Life time Impaired
Beginning balance W 174,005 90,412 188,769 531,427 742,252 520,261 204,711 401,077 289,232 10,195 9,258 5,494 3,167,093
losses 17,016 (16,023) (993) 92,555 (90,661) (1,894) 24,579 (24,471) (108) 403 (403) - -
Transfer (from) to lifetime
expected credit losses (9,449) 26,014 (16,565) (62,583) 64,821 (2,238) (14,752) 14,892 (140) (122) 122 - -
Transfer (from) to credit-
impaired financial assets (4,702) (9,103) 13,805 (1,461) (66,033) 67,494 (1,094) (2,041) 3,135 (1) (5) 6 -
Provision (reversal) 96,230 84,402 244,290 (14,918) 159,287 103,935 101,644 254,090 209,353 3,405 246 2,387 1,244,351
Charge off - - (263,962) - - (249,453) - - (592,386) - - (1,121) (1,106,922)
Amortization of discount - - (5,923) - - (13,189) - - 7,307 - - - (11,805)
Disposal - (28) (22,676) - (5) (10,723) - - - - - (217) (33,649)
Collection - - 108,666 - - 55,441 - - 217,407 - - 145 381,659
Others (*) (8,264) (10,584) 19,119 15,187 30,896 17,605 (103,976) (172,074) 222,175 2 - - 10,086
Ending balance W 264,836 165,090 264,530 560,207 840,557 487,239 211,112 471,473 355,975 13,882 9,218 6,694 3,650,813
162
(c) Changes in allowance for credit loss of loans at amortized cost and other financial assets as of December 31, 2023
and 2022 are as follows (continued):
December 31, 2022

12 months Life time
Transfer (from) to 12 months expected credit
losses 315 (274) (41) -
losses (740) 765 (25) -
assets (75) (1,267) 1,342 -
Provision 2,327 3,278 27,226 32,831
Charge off - - (25,636) (25,636)
Disposal - - (61) (61)
Collection - - 2,502 2,502
Others (*) 110,519 (70) (729) 109,720
Business combination 32 - - 32
Ending balance W 296,346 10,440 74,621 381,407
(d) Changes in deferred loan origination costs for the years ended December 31, 2023 and 2022 are as follows:

Beginning balance W 525,205 541,932
Loan origination 231,007 208,517
Amortization, etc. (250,226) (225,244)
Ending balance W 505,986 525,205
163
14. Property and equipment
(a) Details of property and equipment as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Accumulated Accumulated
Acquisition cost depreciation Impairment Carrying amount
Land W 2,043,119 - - 2,043,119
Buildings 1,307,424 (508,171) (9,002) 790,251
Other assets 2,410,101 (1,877,642) - 532,459
Right-of-use assets 1,378,027 (771,552) - 606,475
W 7,138,671 (3,157,365) (9,002) 3,972,304
December 31, 2022

Accumulated Accumulated
Acquisition cost depreciation Impairment Carrying amount
Land W 2,101,176 - - 2,101,176
Buildings 1,165,468 (455,617) (7,594) 702,257
Other assets 2,424,987 (1,836,533) - 588,454
Right-of-use assets 1,208,728 (589,518) - 619,210
W 6,900,359 (2,881,668) (7,594) 4,011,097
(b) Changes in property and equipment for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Right-of-use
Land Buildings Others assets Total
Beginning balance W 2,101,176 702,257 588,454 619,210 4,011,097
Acquisition (*1) 1,480 105,761 146,405 370,724 624,370
Disposal (741) (1,501) (3,546) (71,052) (76,840)
Depreciation (*2) - (54,486) (202,124) (313,755) (570,365)
Asset impairment - (1,409) - - (1,409)
Amounts transferred from(to)
investment property (57,226) 40,548 - - (16,678)
intangible assets - - 1,550 - 1,550
Amounts transferred from(to) non-
current assets held for sale (*3) (1,688) (754) - - (2,442)
operating lease assets - - 221 - 221
Effects of foreign currency
adjustments 118 (165) 1,499 1,348 2,800
Ending balance W 2,043,119 790,251 532,459 606,475 3,972,304
(*1) During 2023, W 82,179 million transferred from assets-under-construction is included.

(*2) Included in general administrative expense, other operating income(loss) and insurance service expense of the
consolidated statements of comprehensive income.
(*3) Includes buildings, land, etc.
164
14. Property and equipment (continued)
(b) Changes in property and equipment for the years ended December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Right-of-use
Land Buildings Others assets Total
Acquisition (*1) 631 49,220 257,662 369,153 676,666
Disposal (13,173) (1,124) (4,212) (75,563) (94,072)
Depreciation (*2) - (49,935) (186,307) (287,886) (524,128)
investment property 2,892 (12,446) - - (9,554)
intangible assets - - 6,916 - 6,916
Amounts transferred from(to) non-
current assets held for sale (*3) (62,288) (39,469) - - (101,757)
operating lease assets - - 214 - 214
Effects of foreign currency adjustments (20) (475) 4,877 4,328 8,710
Business combination - - 887 1,051 1,938
Ending balance W 2,101,176 702,257 588,454 619,210 4,011,097
(*1) During 2022, W 33,983 million transferred from assets-under-construction is included.

(*2) Included in general administrative expense, other operating income(loss) and insurance service expense of the
consolidated statements of comprehensive income.
(*3) Includes buildings, land, etc.
(c) Insured assets and liability insurance as of December 31, 2023 are as follows:
December 31, 2023

Amount
Type of insurance Insured assets and objects covered Insurance company
Comprehensive insurance for Samsung Fire & Marine
Cash (including ATM)
financial institutions 31,500 Insurance Co., Ltd., etc.
Comprehensive Property Property Total Risk, Machine Risk, Samsung Fire & Marine
insurance General Liability Collateral 1,422,152 Insurance Co., Ltd., etc.
Meritz Fire & Marine
Fire insurance Business property and real estate
52,086 Insurance Co., Ltd., etc.
Compensation liability insurance Meritz Fire & Marine
Officer liability of executives
for officers 50,000 Insurance Co., Ltd., etc.
Burglary insurance Samsung Fire & Marine
Cash and securities
60,000 Insurance Co., Ltd., etc.
Others Personal information liability insurance, Samsung Fire & Marine
etc. 56,244 Insurance Co., Ltd., etc.
(*) Aside from the insurance mentioned above, the Group has entered into car insurance, medical insurance,
property insurance, and employee accident insurance.
165
15. Intangible assets
(a) Details of intangible assets as of December 31, 2023 and 2022 are as follows:

Goodwill W 4,677,204 4,683,902
Software 259,233 263,341
Development cost 464,638 454,284
Others 816,871 406,309
W 6,217,946 5,807,836
(b) Changes in intangible assets for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Development
Goodwill Software cost Others Total
Acquisition - 90,051 133,709 605,225 828,985
Disposal and write-off - (3,901) (3,560) (6,793) (14,254)
Amounts transferred
from(to) property and
equipment - - (1,550) - (1,550)
Impairment (*1) (5,402) (4,006) (1,001) (273) (10,682)
Amortization (*2) - (91,894) (131,043) (168,583) (391,520)
Effects of changes in
foreign exchange rate (1,296) 5,642 13,799 (19,014) (869)
Ending balance W 4,677,204 259,233 464,638 816,871 6,217,946
(*1) Goodwill impairment incurred from the cash-generating unit of security sector at PT Shinhan Sekuritas Indonesia
and life insurance sector at Shinhan Financial Plus Co., Ltd. As a result of the impairment test for goodwill of PT
Shinhan Sekuritas Indonesia, the Group recognized an impairment loss amounting to W 1,842 million for the carrying
amount exceeding the recoverable amount of the CGU. This is due to the decrease in recoverable amounts (W 2,934
million decrease comparing to the previous year) due to continuing high price index and domestic foreign economic
turndown mainly from the prolongation of the Ukraine crisis, global high interest rates, etc. In addition, as a result of
the impairment test for goodwill of Shinhan Financial Plus Co., Ltd., the Group recognized an impairment loss
amounting to W 3,560 million for the carrying amount exceeding the recoverable amount of the CGU. This is due to
the decrease in recoverable amounts (W 9,750 million decrease comparing to the previous year) due to the
underperformance from the cash-generating unit and the reflection of the future outlook. The amount of impairment
loss recognized is included in the non-operating expenses, of the consolidated statement of comprehensive income.
(*2) Included in general administrative expense, other operating income (expense), and insurance service expense of
the consolidated statements of comprehensive income.
166
15. Intangible assets(continued)
(b) Changes in intangible assets for the years ended December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Development
Goodwill Software cost Others Total
Acquisition - 143,766 332,826 211,511 688,103
Business combination - 1,472 2,638 315 4,425
Disposal and write-off - (253) (434) (236,881) (237,568)
Amounts transferred
from(to) property and
equipment - - (6,337) (579) (6,916)
Impairment (*1) (2,258) - (702) 198 (2,762)
Amortization (*2) - (74,916) (102,849) (120,844) (298,609)
Effects of changes in
foreign exchange rate 16,026 690 (6) (329) 16,381
Ending balance W 4,683,902 263,341 454,284 406,309 5,807,836
(*1) Goodwill impairment incurred from the cash-generating unit of security sector at PT Shinhan Sekuritas Indonesia.
As a result of the impairment test for goodwill of PT Shinhan Sekuritas Indonesia, the Group recognized an
impairment loss amounting to W 2,258 million for the carrying amount exceeding the recoverable amount of the CGU.
This is due to the decrease in recoverable amounts (W 1,569 million decrease comparing to the previous year) due to
continuing high price index and domestic foreign economic turndown mainly from the prolongation of the Ukraine
crisis, global high interest rates, etc. The amount of impairment loss recognized is included in the non-operating
expenses, of the consolidated statement of comprehensive income.
(*2) Included in general administrative expense, other operating income (expense) and insurance service expense of
167
15. Intangible asset (continued)
(c) Goodwill
i) Goodwill allocated in the Group’s CGUs as of December 31, 2023 and 2022 is as follows:

Banking W 768,468 768,766
Credit card 2,891,498 2,892,610
Securities 1,265 2,993
Life insurance 850,238 853,798
Others 165,735 165,735
W 4,677,204 4,683,902
ii) Changes in goodwill for the years ended December 31, 2023 and 2022 are as follows:

Beginning balance W 4,683,902 4,670,134
Impairment losses (5,402) (2,258)
Others (*) (1,296) 16,026
Ending balance W 4,677,204 4,683,902
(*) Other changes are due to effects of changes in foreign exchange rate.
iii) Goodwill impairment test
The recoverable amounts of each CGU are evaluated based on their respective value in use.
- Explanation on evaluation method
The discounted cash flow method (DCF) is applied when evaluating the recoverable amounts based on value in use,
considering the characteristics of each unit or group of CGU. However, the CGU of life insurance applied an actuarial
enterprise valuation methodology based on probabilistically expected cash flows in consideration of the
characteristics of the insurance business.
- Projection period
When evaluating the value in use, 5.5 years of cash flow estimates are used in projection and the value thereafter is
reflected as terminal value. However, 99 years of cash flow estimates for Shinhan Life Insurance Co., Ltd. is applied
and the present value of the future cash flows thereafter is not applied as it is not significant.
168
15. Intangible assets, net (continued)
- Discount rates and terminal growth rates
The required rates of return expected by shareholders are applied to the discount rates. It is calculated in consideration
of which comprises a risk-free interest rate, a market risk premium and systemic risk (beta factor). In addition, terminal
growth rate is estimated based on inflation rate. However, for the life insurance CGU, since its cost of risk is reflected
at future cash flows, the current discount rates based on the interest rate term structure of risk-free government bonds
that reflects only the time value of money was applied.
Discount rates before tax and terminal growth rates applied to each CGU are as follows:
Discount rate before

tax(%) Terminal growth rate(%)
Banking 9.6 ~ 16.1 0.0 ~ 2.0
Credit card 11.5 ~ 16.6 1.0 ~ 2.0
Securities 15.5 ~ 16.9 2
Others 11.1 ~ 13.1 1
In case of the life insurance CGU, a term structure discount rate of 4.34% to 4.80% was applied for each future
period corresponding to future cash flows for 99 years.
iv) Key assumptions
Key assumptions used in the discounted cash flow calculations of CGUs (other than life insurance components) are
as follows:
2023 2024 2025 2026 2027 2028

CPI growth (%) 3.0 1.4 1.8 1.5 1.4 1.4
Private consumption growth (%) 1.9 2.4 2.6 2.5 2.8 2.8
Real GDP growth (%) 1.3 2.5 2.7 2.7 2.9 2.9
Key assumptions used in the discounted cash flow calculations of life insurance (Shinhan Life Insurance) components
are as follows:
Key assumptions
Consumer price index growth rate (Bank of Korea) (%) 2.00
Risk-based confidence level (%) 99.50
v) Total recoverable amount and total carrying amount of CGUs to which goodwill has been allocated, are as follows:
Amount
Total recoverable amount W 58,700,974
Total carrying amount (*) 52,013,046
W 6,687,928
(*) It is the carrying amount after reflecting the impairment loss in the securities and life insurance sector.
169
16. Investments in associates
(a) Investments in associates as of December 31, 2023 and 2022 are as follows:
Ownership (%)
Reporting December December
Investees Country date 31, 2023 31, 2022
BNP Paribas Cardif Life Insurance (*1),(*7) Korea September 30 14.99 14.99
Partners 4th Growth Investment Fund (*4) Korea - 25.00 25.00
KTB Newlake Global Healthcare PEF (*5) Korea - 7.36 20.57
Shinhan-Neoplux Energy Newbiz Fund Korea December 31 31.66 31.66
Shinhan-Albatross tech investment Fund (*1) Korea November 30 50.00 50.00
KCGI-SingA330-A Private Special Asset Investment Trust Korea December 31 23.89 23.89
VOGO Debt Strategy Qualified IV Private Korea December 31 20.00 20.00
Shinhan-Midas Donga Secondary Fund Korea December 31 50.00 50.00
ShinHan – Soo Young Entrepreneur Investment Fund No.1 Korea December 31 24.00 24.00
Shinhan Praxis K-Growth Global Private Equity Fund (*7) Korea December 31 14.15 14.15
Kiwoom Milestone Professional Private Real Estate Trust 19 Korea December 31 50.00 50.00
Shinhan Global Healthcare Fund 1 (*7) Korea December 31 4.41 4.41
KB NA Hickory Private Special Asset Fund Korea December 31 37.50 37.50
Koramco Europe Core Private Placement Real Estate Fund No.2-2 Korea December 31 44.02 44.02
Hermes Private Investment Equity Fund (*4) Korea - 29.17 29.17
KDBC-Midas Dong-A Global contents Fund Korea December 31 23.26 23.26
Shinhan-Nvestor Liquidity Solution Fund Korea December 31 24.92 24.92
Shinhan AIM FoF Fund 1-A Korea December 31 25.00 25.00
IGIS Global Credit Fund 150-1 Korea December 31 25.00 25.00
Partner One Value up I Private Equity Fund (*4) Korea - 27.91 27.91
Genesis No.1 Private Equity Fund (*5) Korea - - 22.80
Korea Omega Project Fund III Korea December 31 23.53 23.53
Genesis North America Power Company No.1 PEF Korea December 31 43.84 39.11
SH MAIN Professional Investment Type Private Mixed Asset
Investment Trust No.3 Korea December 31 23.33 23.33
KOREA FINANCE SECURITY CO., LTD (*1),(*7) Korea September 30 14.91 14.91
MIEL CO.,LTD. (*2) Korea December 31 28.77 28.77
AIP Transportation Specialized Privately Placed Fund Trust #1 Korea December 31 35.73 35.73
Kiwoom-Shinhan Innovation Fund I Korea December 31 50.00 50.00
170
16. Investments in associates (continued)
(a) Investments in associates as of December 31, 2023 and 2022 are as follows (continued):
Ownership (%)
Midas Asset Global CRE Debt Private Fund No.6 Korea December 31 40.10 41.16
Samchully Midstream Private Placement Special Asset Fund 5-4 Korea December 31 42.92 42.92
SH Senior Loan Professional Investment Type Private Mixed Asset
NH-Amundi Global Infrastructure Trust 14 Korea December 31 30.00 30.00
Jarvis Memorial Private Investment Trust 1 (*5) Korea - - 99.01
Vestas Qualified Investors Private Real Estate Fund Investment
Trust No.37 (*6) Korea December 31 60.00 60.00
Milestone Private Real Estate Fund 3 Korea December 31 32.06 32.06
Nomura-Rifa Private Real Estate Investment Trust 31 Korea December 31 31.31 31.31
SH Senior Loan Professional Investment Type Private Mixed Asset
T&F 2019 bearing Private Equity Fund Specializing in Start-up and
Venture Business (*4) Korea - 28.25 28.25
FuturePlay-Shinhan TechInnovation Fund 1 Korea December 31 50.00 50.00
Stonebridge Corporate 1st Fund Korea December 31 44.12 44.12
Vogo Realty Partners Private Real Estate Fund V Korea December 31 21.64 21.64
Korea Credit Bureau (*1),(*7) Korea September 30 9.00 9.00
Goduck Gangil1 PFV Co., Ltd. (*1),(*7) Korea September 30 1.04 1.04
SBC PFV Co., Ltd. (*1),(*8) Korea September 30 25.00 25.00
NH-amundi global infra private fund 16 Korea December 31 50.00 50.00
IMM Global Private Equity Fund (*4) Korea - 33.00 33.00
SH BNCT Professional Investment Type Private Special Asset
Investment Trust (*9) Korea December 31 72.50 72.50
Deutsche Global Professional Investment Type Private Real Estate
Investment Trust No. 24 (*6) Korea December 31 52.28 52.28
Sparklabs-Shinhan Opportunity Fund 1 Korea December 31 49.50 49.50
BNW Tech-Innovation Private Equity Fund (*4) Korea - 29.85 29.85
IGIS Real-estate Private Investment Trust No.33 Korea December 31 40.86 40.86
WWG Global Real Estate Investment Trust no.4 (*5) Korea - - 29.55
Goduck Gangil10 PFV Co., Ltd. (*1),(*7) Korea September 30 19.90 19.90
Fidelis Global Private Real Estate Trust No.2 (*6) Korea December 31 79.63 79.70
171
Ownership (%)
AIP EURO PRIVATE REAL ESTATE TRUST No. 12 Korea December 31 28.70 28.70
Shinhan Healthcare Fund 2 (*7) Korea December 31 13.68 13.68
Shinhan AIM Real Estate Fund No.2 Korea December 31 30.00 30.00
Shinhan AIM Real Estate Fund No.1 Korea December 31 21.01 21.01
SH Daegu Green Power Cogeneration System Professional Investment Type
Private Special Asset Investment Trust Korea December 31 22.02 22.02
SH Sangju YC Expressway Professional Investment Type Private Special
Asset Investment Trust Korea December 31 29.19 29.19
SH Global Infrastructure Professional Investment Type Private Special Asset
Investment Trust No.7-2 (*6) Korea December 31 71.43 71.43
Korea Omega-Shinhan Project Fund I Korea December 31 50.00 50.00
Samsung SRA Real Estate Professional Private 45 Korea December 31 25.00 25.00
IBK Global New Renewable Energy Special Asset Professional Private2 Korea December 31 28.98 28.98
VS Cornerstone Fund Korea December 31 41.18 41.18
Aone Mezzanine Opportunity Professional Private (*5) Korea - - 64.41
NH-Amundi US Infrastructure Private Fund2 Korea December 31 25.91 25.91
SH Japan Photovoltaic Private Special Asset Investment Trust No.2 Korea December 31 30.00 30.00
Kakao-Shinhan 1st TNYT Fund Korea December 31 48.62 48.62
Pacific Private Placement Real Estate Fund No.40 Korea December 31 24.73 24.73
Mastern Private Real Estate Loan Fund No.2 Korea December 31 33.57 33.57
LB Scotland Amazon Fulfillment Center Fund 29 (*6) Korea December 31 70.14 70.14
JR AMC Hungary Budapest Office Fund 16 Korea December 31 32.57 32.57
EDNCENTRAL Co.,Ltd. (*7) Korea December 31 13.47 13.47
Future-Creation Neoplux Venture Capital Fund (*3) Korea December 31 16.25 16.25
Gyeonggi-Neoplux Superman Fund Korea December 31 21.76 21.76
NewWave 6th Fund Korea December 31 30.00 30.00
172
Ownership (%)
Neoplux No.3 Private Equity Fund (*3) Korea December 31 10.00 10.00
PCC Amberstone Private Equity Fund I Korea December 31 21.67 21.67
KIAMCO POWERLOAN TRUST 4TH Korea December 31 47.37 47.37
Mastern Opportunity Seeking Real Estate Fund II Korea December 31 22.22 20.00
AION ELFIS PROFESSIONAL PRIVATE 1 (*5) Korea - - 20.00
T&F 2020 SS Private Equity Fund Specializing in Start-up and Venture
Business(*5) Korea - - 29.68
Neoplux Market-Frontier Secondary Fund (*3) Korea December 31 19.74 19.74
Harvest Private Equity Fund II Korea December 31 22.06 22.06
Synergy Green New Deal 1st New Technology Business Investment Fund Korea December 31 28.17 28.17
KIAMCO Vietnam Solar Special Asset Private Investment Trust Korea December 31 50.00 50.00
SHINHAN-NEO Core Industrial Technology Fund Korea December 31 49.75 49.75
SHBNPP Green New Deal Energy Professional Investment Type Private
Special Asset Investment Trust No.2 Korea December 31 30.00 30.00
SIMONE Mezzanine Fund No.3 Korea December 31 28.78 28.97
Eum Private Equity Fund No.7 Korea December 31 21.00 21.00
Kiwoom Hero No.4 Private Equity Fund Korea December 31 21.05 21.05
Vogo Canister Professional Trust Private Fund I Korea December 31 36.74 36.27
SW-S Fund (*5) Korea - - 30.30
CL Buyout 1st PEF (*5) Korea - - 21.43
Timefolio The Venture-V second Korea December 31 20.73 20.73
Newlake Growth Capital Partners2 PEF (*4) Korea - 29.91 29.91
Shinhan Smilegate Global PEF I (*7) Korea December 31 14.21 14.21
Genesis Eco No.1 PEF Korea December 31 29.00 29.00
SHINHAN-NEO Market-Frontier 2nd Fund Korea December 31 42.70 42.70
NH-Synergy Core Industrial New Technology Fund Korea December 31 36.93 36.93
J& Moorim Jade Investment Fund Korea December 31 24.89 24.89
Helios-KDBC Digital Contents 1st Korea December 31 23.26 23.26
Ulmus SHC innovation investment fund Korea December 31 24.04 24.04
Mirae Asset Partners X Private Equity Fund (*4) Korea - 35.71 35.71
T Core Industrial Technology 1st Venture PEF Korea December 31 31.47 31.47
Curious Finale Corporate Recovery Private Equity Fund (*5) Korea - - 27.78
Fine Value POST IPO No.5 Private Equity Fund Korea December 31 40.00 40.00
TI First Property Private Investment Trust 1 Korea December 31 40.00 40.00
MPLUS Professional Private Real Estate Fund 25 Korea December 31 41.67 41.67
IBKC Global Contents Investment Fund Korea December 31 24.39 24.39
173
Ownership (%)
Premier Luminous Private Equity Fund (*5) Korea - - 25.12
Hanyang-Meritz 1 Fund Korea December 31 22.58 22.58
Kiwoom-Shinhan Innovation Fund 2 Korea December 31 42.86 42.86
ETRI Holdings-Shinhan 1st Unicorn Fund Korea December 31 50.00 50.00
Maple Mobility Fund (*4) Korea - 20.18 20.18
SJ ESG Innovative Growth Fund Korea December 31 28.57 28.57
AVES 1st Corporate Recovery Private Equity Fund (*6) Korea December 31 76.19 76.19
JS Shinhan Private Equity Fund (*3) Korea December 31 3.85 3.85
NH Kyobo AI Solution Investment Fund (*5) Korea - - 26.09
Daishin Newgen New Technology Investment Fund 1st (*6) Korea December 31 50.60 50.60
META ESG Private Equity Fund I Korea December 31 27.40 27.40
SWFV FUND-1 (*5) Korea - - 40.25
PHAROS DK FUND Korea December 31 24.24 24.14
Shinhan VC tomorrow venture fund 1 Korea December 31 39.62 39.62
Highland 2021-8 Fund (*5) Korea - - 32.67
H-IOTA Fund Korea December 31 24.81 24.81
Stonebridge-Shinhan Unicorn Secondary Fund Korea December 31 26.01 17.57
Tres-Yujin Trust Korea December 31 50.00 50.00
Shinhan-Time mezzanine blind Fund Korea December 31 50.00 50.00
Capstone REITs No.26 Korea December 31 50.00 50.00
JB Incheon-Bucheon REITS No.54 Korea December 31 39.31 39.31
Hankook Smart Real Asset Investment Trust No.3 Korea December 31 33.33 33.33
JB Hwaseong-Hadong REITs No.53 Korea December 31 31.03 31.03
KB Oaktree Trust No.3 Korea December 31 33.33 33.33
Daehan No.36 Office Asset Management Company Korea December 31 48.05 48.05
Rhinos Premier Mezzanine Private Investment Fund No.1 Korea December 31 27.93 27.93
SH Real Estate Loan Investment Type Private Real Estate Investment Trust
No.2 Korea December 31 29.73 29.73
Shinhan JigaeNamsan Road Private Special Asset Investment Trust Korea December 31 24.85 24.85
SKS-Yozma Fund No.1 Korea December 31 29.85 29.85
IBKC-METIS Global Contents Investment Fund (*5) Korea - - 36.36
Keistone Unicorn Private Equity Fund (*4) Korea - 28.00 28.00
KB Distribution Private Real Estate 3-1 Korea December 31 37.50 37.50
Pacific Private Investment Trust No.49-1 (*6) Korea December 31 79.28 79.28
KIWOOM Real estate private placement fund for normal investors No. 31
(*6) Korea December 31 60.00 60.00
RIFA Real estate private placement fund for normal investoes No. 51 Korea December 31 40.00 40.00
Fivetree general private equity fund No.15 Korea December 31 49.98 49.98
Shinhan-Kunicorn first Fund Korea December 31 38.31 38.31
Harvest Fund No.3 (*4) Korea - 44.67 44.67
Shinhan-Quantum Startup Fund Korea December 31 49.18 49.18
Shinhan Simone Fund Ⅰ Korea December 31 38.46 38.46
Korea Investment develop seed Trust No.1 Korea December 31 40.00 40.00
Tiger Green alpha Trust No.29 (*6) Korea December 31 95.24 95.24
STIC ALT Global II Private Equity Fund Korea December 31 21.74 21.74
NH-Brain EV Fund Korea December 31 25.00 25.00
DDI LVC Master Real Estate Investment Trust Co., Ltd. (*1),(*7) Korea September 30 15.00 15.00
Leverent-Frontier 4th Venture PEF Korea December 31 23.89 23.89
Find-Green New Deal 2nd Equity Fund Korea December 31 22.57 22.57
ShinhanFitrin 1st Technology Business Investment Association (*3) Korea December 31 16.17 16.17
PARATUS No.3 Private Equity Fund (*4) Korea - 25.64 25.64
Golden Route 2nd Startup Venture Specialized Private Equity Fund (*4) Korea - 22.73 22.73
Koramco Private Real Estate Fund 143 Korea December 31 30.30 30.30
Korea Investment Top Mezzanine Private Real Esate Trust No.1 Korea December 31 22.22 22.22
LB YoungNam Logistics Private Trust No.40 Korea December 31 25.00 25.00
Shinhan-Cognitive Start-up Fund L.P. Korea December 31 32.77 32.74
IGEN2022 No.1 private Equity Fund (*4) Korea - 27.95 27.95
Cornerstone J&M Fund I Korea December 31 26.67 26.67
174
Ownership (%)
Logisvalley Shinhan REIT Co.,Ltd. (*1) Korea September 30 20.27 20.27
DA Value-Honest New Technology Investment Fund 1 Korea December 31 23.66 23.66
KDB Investment Global Healthcare Private Equity Fund I (*4) Korea - 24.14 24.14
Shinhan-Ji and Tec Smart Innovation Fund Korea December 31 50.00 50.00
Shinhan-Gene and New Normal First Mover Venture Investment Equity
Fund 1st Korea December 31 50.00 50.00
Korea Investment Green Newdeal Infra Trust No.1 Korea December 31 27.97 27.97
BTS 2nd Private Equity Fund (*1) Korea November 30 26.00 26.00
Shinhan Global Active REIT Co.Ltd Korea December 31 20.37 20.37
NH-J&-IBKC Label Technology Fund Korea December 31 27.81 27.81
Hanyang Time Mezzanine Fund Korea December 31 28.57 28.57
IMM Global Venture Opportunity, LP(*5) Korea - - 35.50
Shinhan-isquare Venture PEF 1 Korea December 31 40.00 40.00
Capstone Develop Frontier Trust Korea December 31 21.43 21.43
Nextrade Co., Ltd. (*7) Korea December 31 8.00 8.00
SH Sustainable Management ESG Short term Bond Security Feeder
Investment Trust No.1 (*10) Korea - 62.84 26.90
SH 1.5years Maturity Investment Type Security Investment Trust No.2 Korea December 31 29.10 29.00
Eventus-IBKC LIB Fund Korea December 31 21.88 21.88
NH-Daishin-Kyobo healthcare 1 Fund (*4) Korea - 25.00 25.00
IBKC-Behigh Fund 1st Korea December 31 29.73 29.73
Nautic Green Innovation ESG Co-investment No.1 Private Equity Fund (*4) Korea - 24.10 24.10
ON No.1 Private Equity Fund Korea December 31 28.57 28.57
Digital New Deal Kappa Private Equity Fund Korea December 31 24.75 30.12
IBKCJS New Technology Fund No.1 Korea December 31 29.41 -
DS-Shinhan-JBWoori New Media New Technology Investment Fund No.1 Korea December 31 20.83 -
VOGO Debt Strategy General Private Real Estate Investment Trust No. 18 Korea December 31 28.57 -
Koramco IPO LEITS Mezzanine General Private Investment Trust No. 38
(*6) Korea December 31 75.00 -
TogetherKorea Private Investment Trust No. 6 (*6) Korea December 31 99.98 -
TogetherKorea Private Investment Trust No. 7 (*6) Korea December 31 99.98 -
Kiwoom Core Industrial Technology Investment Fund No.3 Korea December 31 34.75 -
Penture K-Content Investment Fund Korea December 31 21.96 -
2023 Shinhan-JB Woori-Daeshin Listed Companies New Technology Fund Korea December 31 30.00 -
Hana Alternative Investment Kosmes PCBO General PEF No. 1 Korea December 31 37.04 -
Shinhan-timefolio Bio Development Investment Fund Korea December 31 48.39 -
Shinhan M&A-ESG Fund Korea December 31 23.33 -
Shinhan SM Office Value Add – Outsource Management Real Estate
Investment Co., Ltd. - Korea December 31 28.43 -
KDBC meta-enter New Technology investment fund Korea December 31 27.89 -
Shinhan Time Secondary Blind New Technology Investment Trust Korea December 31 47.50 -
Shinhan DS Secondary Investment Fund Korea December 31 40.00 -
Shinhan-openwater pre-IPO Investment Trust 1 Korea December 31 50.00 -
Shinhan-Eco Venture Fund 2nd Korea December 31 40.00 -
Heungkuk-Shinhan the1st Visionary Technology Investment Trust no. 1 Korea December 31 40.00 -
Hantoo Shinhan Lake K-beauty Technology Investment Trust Korea December 31 22.96 -
Shinhan HB Wellness 1st Investment Trust Korea December 31 48.54 -
Korea real Asset Fund No.3 Korea December 31 28.57 -
Igis Yongsan Office General PE Real Estate Inv. Trust No. 518 Korea December 31 31.49 -
Samsung-dunamu Innovative IT Technology Investment Trust No. 1 Korea December 31 22.99 -
Time Robotics New Technology Investment Trust Korea December 31 29.86 -
Ascent-welcome Tehcnology Investment Trust No.2 Korea December 31 27.65 -
Igis General PE Real Estate Investment Trust 517-1 (*6) Korea December 31 96.30 -
Consus Osansegyo No.2 Korea December 31 50.00 -
Mastern General Private Real Estate Investment Trust No.189(Type 1
Beneficiary Securities) Korea December 31 32.69 -
175
Shinhan AIM Private Fund of Fund 9-B Korea December 31 25.00 -

Shinhan General Private Real Estate Investment Trust No.3 Korea December 31 20.75 -
NH Absolute Project L General Private Investment Trust Korea December 31 26.03 -
Paros Kosdaq Venture General Private Investment Trust No. 5 (*6) Korea December 31 66.65 -
Happy Pet Life Care New Technology Investment Association No.2 Korea December 31 30.00 -
Shinhan-Soo Secondary Investment Association (*6) Korea December 31 77.61 -
(*1) The most recent financial statements available are used for the equity method since the financial statements as of
December 31, 2023 are not available. Significant trades and events occurred within the period are properly reflected.
(*2) In the course of the rehabilitation process, the shares were acquired through investment conversion. Although
voting rights cannot be exercised during the rehabilitation process, normal voting rights are exercised because the
rehabilitation process was completed before December 31, 2023. Also, it has been reclassified into the investments in
associates.
(*3) As a managing partner, the Group has a significant influence over the investees.
(*4) As a limited partner, the Group does not have an ability to participate in policy-making processes to obtain
economic benefit from the investees that would allow the Group to control the entity.
(*5) Excluded from the investments in associates due to full or partial disposal of shares, or loss of significant influence.
(*6) Although the ownership percentages are more than 50%, the Group applies the equity method accounting as the
Group does not have an ability to participate in the financial and operating policy-making process.
(*7) Although the ownership percentages are less than 20%, the Group applies the equity method accounting since it
participates in policy-making processes and therefore can exercise significant influence on investees.
(*8) The rate of Group’s voting rights is 4.65%.
(*9) Although the Group has a significant influence with ownership percentage more than 50%, the contribution was
classified as investments in associates as the Group is not exposed to variable returns due to the payment guarantee
for the entire investment amount.
(*10) For the year ended December 31, 2023, it is incorporated into the consolidation target as the Group held control
due to increased equity ratio.
176
(b) Changes in investments in associates for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Equity Change in
Investment method other
Beginning and income comprehensive Impairment Ending
Investees balance dividend (loss) income loss balance
BNP Paribas Cardif Life Insurance W 30,169 - 920 8,183 - 39,272
Partners 4th Growth Investment Fund 13,542 (13,542) - - - -
KTB Newlake Global Healthcare PEF 4,309 (3,954) (355) - - -
Shinhan-Neoplux Energy Newbiz Fund 20,837 - 1,521 - - 22,358
Shinhan-Albatross tech investment Fund 12,253 (1,500) 4,618 128 - 15,499
KCGI-SingA330-A Private Special
Asset Investment Trust 4,232 - 377 - - 4,609
VOGO Debt Strategy Qualified IV
Private 6,085 50 397 - - 6,532
Shinhan -Midas Dong-A Secondary
Fund 4,431 - (130) - - 4,301
ShinHan – Soo Young Entrepreneur
Investment Fund No.1 4,414 (864) 1,312 - - 4,862
Shinhan Praxis K-Growth Global Private
Equity Fund 3,691 - 1 - - 3,692
Kiwoom Milestone Professional Private
Real Estate Trust 19 (*1) 3,961 - (136) - (3,825) -
Shinhan Global Healthcare Fund 1 (*1) - - - - - -
KB NA Hickory Private Special Asset
Fund 34,339 (11,436) 1,193 - - 24,096
Koramco Europe Core Private
Placement Real Estate Fund No.2-2 19,236 (919) 482 - - 18,799
Hermes Private Investment Equity Fund 5,562 (5,562) - - - -
KDBC-Midas Dong-A Global contents
Fund 4,277 - 11 - - 4,288
Shinhan-Nvestor Liquidity Solution
Fund 6,438 (265) (85) - - 6,088
Shinhan AIM FoF Fund 1-A 10,110 (1,653) 1,178 - - 9,635
IGIS Global Credit Fund 150-1 4,692 (803) 397 - - 4,286
Partner One Value up I Private Equity
Fund 5,144 (5,144) - - - -
Genesis No.1 Private Equity Fund 59,924 (59,916) (8) - - -
Korea Omega Project Fund III 3,674 - 22 - - 3,696
Genesis North America Power Company
No.1 PEF 8,118 (4,384) 2,624 - - 6,358
SH MAIN Professional Investment Type
Private Mixed Asset Investment Trust
No.3 43,244 (10,595) 8,115 - - 40,764
KOREA FINANCE SECURITY CO.,
LTD 2,411 - (169) 1,003 - 3,245
MIEL CO.,LTD. (*1) - - - - - -
AIP Transportation Specialized Privately
Placed Fund Trust #1 44,821 782 769 - - 46,372
177
(b) Changes in investments in associates for the years ended December 31, 2023 and 2022 are as follows
(continued):
December 31, 2023

Equity Change in
Kiwoom-Shinhan Innovation Fund I W 9,441 (1,425) (162) - - 7,854
Midas Asset Global CRE Debt Private
Fund No.6 57,029 (8,663) 6,515 - - 54,881
Samchully Midstream Private Placement
Special Asset Fund 5-4 30,624 795 1,744 - - 33,163
SH Senior Loan Professional Investment
Type Private Mixed Asset Investment
Trust No.3 24,492 (18,264) 1,026 - - 7,254
NH-Amundi Global Infrastructure Trust
14 20,975 (3,086) 839 - - 18,728
Jarvis Memorial Private Investment
Trust 1 9,786 (10,642) 856 - - -
Vestas Qualified Investors Private Real
Estate Fund Investment Trust No.37 33,357 (683) 2,591 - - 35,265
Milestone Private Real Estate Fund 3 19,071 563 (2,019) - - 17,615
Nomura-Rifa Private Real Estate
Investment Trust 31 7,364 - (475) - - 6,889
Trust No.2 2,969 (2,675) 2,844 - - 3,138
T&F 2019 bearing Private Equity Fund
Specializing in Start-up and Venture
Business 3,231 (3,231) - - - -
FuturePlay-Shinhan TechInnovation
Fund 1 6,916 - 931 - - 7,847
Stonebridge Corporate 1st Fund 3,622 - 520 - - 4,142
Vogo Realty Partners Private Real Estate
Fund V 10,915 (378) 255 - - 10,792
Korea Credit Bureau 5,039 (90) 1,789 - - 6,738
Goduck Gangil1 PFV Co., Ltd. 60 - 120 - - 180
SBC PFV Co., Ltd. 28,468 3,750 (1,444) - - 30,774
NH-amundi global infra private fund 16 56,211 (1,299) (4,260) - - 50,652
IMM Global Private Equity Fund 147,384 (147,384) - - - -
SH BNCT Professional Investment Type
Private Special Asset Investment Trust 263,052 (32,093) 13,813 - - 244,772
Deutsche Global Professional
Investment Type Private Real Estate
Investment Trust No. 24 22,683 (5,882) 1,309 - - 18,110
Sparklabs-Shinhan Opportunity Fund 1 4,631 (1,137) 420 - - 3,914
BNW Tech-Innovation Private Equity
Fund 5,833 (5,833) - - - -
IGIS Real-estate Private Investment
Trust No.33 14,552 (360) 1,079 - - 15,271
WWG Global Real Estate Investment
Trust no.4 10,331 (10,795) 464 - - -
Goduck Gangil10 PFV Co., Ltd. 3,236 - 1,845 - - 5,081
178
(continued):
December 31, 2023
Equity Change in
Fidelis Global Private Real Estate Trust
W
No.2 21,945 - (9,925) - (11,469) 551
AIP EURO PRIVATE REAL ESTATE
TRUST No. 12 48,427 (5,864) 6,056 - - 48,619
Shinhan AIM Real Estate Fund No.2 25,243 - 1,435 - - 26,678
Shinhan AIM Real Estate Fund No.1 44,642 6,586 645 - - 51,873
SH Daegu Green Power Cogeneration
System Professional Investment Type
Private Special Asset Investment Trust 32,627 (916) 3,070 - - 34,781
SH Sangju YC Expressway Professional
Investment Type Private Special Asset
Investment Trust 19,296 3 754 - - 20,053
SH Global Infrastructure Professional
Investment Trust No.7-2 24,598 (7,618) 536 - - 17,516
Korea Omega-Shinhan Project Fund I 10,022 - 1,608 - - 11,630
Samsung SRA Real Estate Professional
Private 45[FoFs] 21,650 8,487 1,295 - - 31,432
IBK Global New Renewable Energy
Special Asset Professional Private2 33,412 (2,303) 1,187 - - 32,296
VS Cornerstone Fund 3,335 - (55) - - 3,280
Aone Mezzanine Opportunity
Professional Private 5,009 (5,072) 63 - - -
NH-Amundi US Infrastructure Private
Fund2 31,941 (4,395) 2,179 - - 29,725
SH Japan Photovoltaic Private Special
Asset Investment Trust No.2 6,332 (4,360) 341 - - 2,313
Kakao-Shinhan 1st TNYT Fund 21,330 - (1,464) - - 19,866
Pacific Private Placement Real Estate
Fund No.40 11,622 (748) 750 - - 11,624
Mastern Private Real Estate Loan Fund
No.2 6,387 (3,679) 332 - - 3,040
LB Scotland Amazon Fulfillment Center
Fund 29 29,637 (1,753) 3,044 - - 30,928
JR AMC Hungary Budapest Office Fund
16 12,457 (773) 1,003 - - 12,687
EDNCENTRAL Co.,Ltd. (*1) - - - - - -
Future-Creation Neoplux Venture
Capital Fund 4,251 (889) (682) - - 2,680
Gyeonggi-Neoplux Superman Fund 5,467 - (411) - - 5,056
NewWave 6th Fund 13,540 - 176 - - 13,716
179
(continued):
December 31, 2023

Equity Change in
Neoplux No.3 Private Equity Fund W 20,454 (4) (1,469) - - 18,981
PCC Amberstone Private Equity Fund I 18,785 (2,425) 898 - - 17,258
KIAMCO POWERLOAN TRUST 4TH 43,524 (2,306) 3,881 - - 45,099
Mastern Opportunity Seeking Real
Estate Fund II 14,710 (4,029) 2,454 - - 13,135
AION ELFIS PROFESSIONAL
PRIVATE 1 3,566 (3,376) (190) - - -
T&F 2020 SS Private Equity Fund
Business 5,709 (7,843) 2,134 - - -
Neoplux Market-Frontier Secondary
Fund 13,960 (3,673) 140 - - 10,427
Harvest Private Equity Fund II 3,139 (26) (135) - - 2,978
Synergy Green New Deal 1st New
Technology Business Investment Fund 10,632 (145) (172) - - 10,315
KIAMCO Vietnam Solar Special Asset
Private Investment Trust 6,727 (220) 329 - - 6,836
SHINHAN-NEO Core Industrial
Technology Fund 9,409 - 4,207 - - 13,616
SHBNPP Green New Deal Energy
Professional Investment Type Private
Special Asset Investment Trust No.2 25,024 (2,542) 874 - - 23,356
SIMONE Mezzanine Fund No.3 3,017 (1,965) 150 - - 1,202
Eum Private Equity Fund No.7 9,170 - (4) - - 9,166
Kiwoom Hero No.4 Private Equity Fund 3,517 - (75) - - 3,442
Vogo Canister Professional Trust Private
Fund I 46,329 (3,075) 2,617 - - 45,871
SW-S Fund 7,248 (11,177) 3,929 - - -
CL Buyout 1st PEF 12,842 (20,216) 7,374 - - -
Timefolio The Venture-V second 4,096 - 1,705 - - 5,801
180
(continued):
December 31, 2023

Equity Change in
Newlake Growth Capital Partners2 PEF W 12,496 (12,496) - - - -
Shinhan Smilegate Global PEF I 3,771 - 30 - - 3,801
Genesis Eco No.1 PEF 11,418 - (199) - - 11,219
SHINHAN-NEO Market-Frontier 2nd
Fund 34,420 4,270 (6,020) - - 32,670
NH-Synergy Core Industrial New
Technology Fund 6,377 - 62 - - 6,439
J& Moorim Jade Investment Fund 5,434 (787) 273 - - 4,920
Helios-KDBC Digital Contents 1st 3,356 (1,457) 357 - - 2,256
Ulmus SHC innovation investment fund 4,886 - 657 - - 5,543
Mirae Asset Partners X Private Equity
Fund 7,792 (7,792) - - - -
T Core Industrial Technology 1st
Venture PEF 4,529 - (275) - - 4,254
Curious Finale Corporate Recovery
Private Equity Fund 3,591 (3,636) 45 - - -
Fine Value POST IPO No.5 Private
Equity Fund 2,270 - 1,496 - - 3,766
TI First Property Private Investment
Trust 1 3,127 (203) 178 - - 3,102
MPLUS Professional Private Real Estate
Fund 25 4,231 - (1,873) - - 2,358
IBKC Global Contents Investment Fund 4,552 - 149 - - 4,701
Premier Luminous Private Equity Fund 8,966 (12,439) 3,473 - - -
Hanyang-Meritz 1 Fund 3,466 (689) 204 - - 2,981
Kiwoom-Shinhan Innovation Fund 2 11,271 (4,434) 2,328 - - 9,165
ETRI Holdings-Shinhan 1st Unicorn
Fund 1,895 1,500 (100) - - 3,295
Maple Mobility Fund 16,859 (16,859) - - - -
SJ ESG Innovative Growth Fund 4,197 - 1 - - 4,198
AVES 1st Corporate Recovery Private
Equity Fund 5,057 - (289) - - 4,768
JS Shinhan Private Equity Fund 4,953 - (20) - - 4,933
NH Kyobo AI Solution Investment Fund 3,288 (4,138) 850 - - -
Daishin Newgen New Technology
Investment Fund 1st 5,704 - 378 - - 6,082
META ESG Private Equity Fund I 5,857 - (86) - - 5,771
SWFV FUND-1 9,128 (9,433) 305 - - -
PHAROS DK FUND 3,835 (1,413) 40 - - 2,462
181
(continued):
December 31, 2023

Equity Change in
Shinhan VC tomorrow venture fund 1 W 26,926 18,258 26 - - 45,210
Highland 2021-8 Fund 4,826 (5,366) 540 - - -
H-IOTA Fund 9,623 (239) 140 - - 9,524
Stonebridge-Shinhan Unicorn Secondary
Fund 6,082 2,924 (1,579) - - 7,427
Tres-Yujin Trust 10,004 - 355 - - 10,359
Shinhan-Time mezzanine blind Fund 13,312 - 809 - - 14,121
Capstone REITs No.26 3,852 (300) 2,198 - - 5,750
JB Incheon-Bucheon REITS No.54 4,989 - (11) - - 4,978
Hankook Smart Real Asset Investment
Trust No.3 6,993 - 675 - - 7,668
JB Hwaseong-Hadong REITs No.53 4,991 - (8) - - 4,983
KB Oaktree Trust No.3 8,605 (771) 834 - - 8,668
Daehan No.36 Office Asset Management
Company 22,058 - 424 - - 22,482
Rhinos Premier Mezzanine Private
Investment Fund No.1 2,873 - 183 - - 3,056
SH Real Estate Loan Investment Type
Private Real Estate Investment Trust
No.2 57,334 3,369 2,066 - - 62,769
Shinhan JigaeNamsan Road Private
Special Asset Investment Trust 40,571 36 827 - - 41,434
SKS-Yozma Fund No.1 6,599 (4,140) 996 - - 3,455
IBKC-METIS Global Contents
Investment Fund 4,550 (3,921) (629) - - -
Keistone Unicorn Private Equity Fund 6,249 (6,249) - - - -
KB Distribution Private Real Estate 3-1 26,651 - (675) - - 25,976
Pacific Private Investment Trust No.49-1 28,641 - (1,264) - - 27,377
KIWOOM Real estate private placement
fund for normal investors No. 31 8,558 (518) 518 - - 8,558
RIFA Real estate private placement fund
for normal investoes No. 51 5,726 (340) 345 - - 5,731
Fivetree general private equity fund
No.15 12,281 (489) 780 - - 12,572
Shinhan-Kunicorn first Fund 9,831 - (205) - - 9,626
Harvest Fund No.3 15,854 (15,854) - - - -
Shinhan-Quantum Startup Fund 1,119 3,000 (133) - - 3,986
Shinhan Simone Fund Ⅰ 4,796 - 41 - - 4,837
Korea Investment develop seed Trust
No.1 10,242 (901) 191 - - 9,532
Tiger Green alpha Trust No.29 26,806 (588) 2,355 - - 28,573
STIC ALT Global II Private Equity Fund 9,859 (218) (137) - - 9,504
NH-Brain EV Fund 11,592 - (467) - - 11,125
DDI LVC Master Real Estate Investment
Trust Co., Ltd. 6,405 450 (272) - - 6,583
Leverent-Frontier 4th Venture PEF 2,964 - 330 - - 3,294
Find-Green New Deal 2nd Equity Fund 4,508 - (43) - - 4,465
ShinhanFitrin 1st Technology Business
Investment Association 4,437 - 82 - - 4,519
PARATUS No.3 Private Equity Fund 4,936 (4,936) - - - -
182
(continued):
December 31, 2023

Equity Change in
Golden Route 2nd Startup Venture W
Specialized Private Equity Fund 3,003 (3,003) - - - -
Koramco Private Real Estate Fund 143 3,030 3,636 1 - - 6,667
Korea Investment Top Mezzanine
Private Real Esate Trust No.1 9,885 (1,169) 1,300 - - 10,016
LB YoungNam Logistics Private Trust
No.40 9,748 (600) 634 - - 9,782
Shinhan-Cognitive Start-up Fund L.P. 9,953 (5,052) 428 - - 5,329
IGEN2022 No.1 private Equity Fund 9,045 (9,045) - - - -
Cornerstone J&M Fund I 3,561 - (73) - - 3,488
Logisvalley Shinhan REIT Co.,Ltd. 3,804 - (206) - - 3,598
DA Value-Honest New Technology
Investment Fund 1 2,663 (1,145) 2,581 - - 4,099
KDB Investment Global Healthcare
Private Equity Fund I 34,468 (34,468) - - - -
Shinhan-Ji and Tec Smart Innovation
Fund 2,587 7,800 (410) - - 9,977
Shinhan-Gene and New Normal First
Mover Venture Investment Equity
Fund 1st 1,776 5,400 (208) - - 6,968
Korea Investment Green Newdeal Infra
Trust No.1 5,714 4,537 6 - - 10,257
BTS 2nd Private Equity Fund 3,772 2,860 (290) - - 6,342
Shinhan Global Active REIT Co.Ltd. 19,222 (69) (156) - - 18,997
NH-J&-IBKC Label Technology Fund 9,866 - (119) - - 9,747
Hanyang Time Mezzanine Fund 3,000 - 12 - - 3,012
IMM Global Venture Opportunity, LP 3,115 (3,115) - - - -
Shinhan-isquare Venture PEF 1 497 4,000 (211) - - 4,286
Capstone Develop Frontier Trust 6,857 (565) 1,255 - - 7,547
Nextrade Co., Ltd. 9,700 - - - - 9,700
SH Sustainable Management ESG Short
term Bond Security Feeder Investment
Trust No.1 (*2) 3,011 (3,011) - - - -
SH 1.5years Maturity Investment Type
Security Investment Trust No.2 4,601 - 234 - - 4,835
Eventus-IBKC LIB Fund 6,035 - 597 - - 6,632
NH-Daishin-Kyobo healthcare 1 Fund 3,948 (3,948) - - - -
IBKC-Behigh Fund 1st 3,268 - (49) - - 3,219
Nautic Green Innovation ESG Co-
investment No.1 Private Equity Fund 3,956 (3,956) - - - -
ON No.1 Private Equity Fund 5,362 - (41) - - 5,321
Digital New Deal Kappa Private Equity
Fund 4,946 - (101) - - 4,845
IBKCJS New Technology Fund No.1 - 5,000 1,130 - - 6,130
DS-Shinhan-JBWoori New Media New
Technology Investment Fund No.1 - 10,000 (197) - - 9,803
VOGO Debt Strategy General Private
Real Estate Investment Trust No. 18 - 11,014 999 - - 12,013
Koramco IPO LEITS Mezzanine
General Private Investment Trust No.
38 - 3,000 171 - - 3,171
TogetherKorea Private Investment Trust
No. 6 - 5,122 148 - - 5,270
No. 7 - 5,122 148 - - 5,270
Kiwoom Core Industrial Technology
Investment Fund No.3 - 4,000 180 - - 4,180
183
(continued):
December 31, 2023

Equity Change in
Penture K-Content Investment Fund W - 6,000 (378) - - 5,622
2023 Shinhan-JB Woori-Daeshin Listed
Companies New Technology Fund - 7,838 131 - - 7,969
Hana Alternative Investment Kosmes
PCBO General PEF No. 1 - 4,740 367 - - 5,107
Shinhan-timefolio Bio Development
Investment Fund - 6,000 (73) - - 5,927
Shinhan M&A-ESG Fund - 4,354 (185) - - 4,169
Shinhan SM Office Value Add –
Outsource Management Real Estate
Investment Co., Ltd. - - 9,565 1,009 - - 10,574
KDBC meta-enter New Technology
investment fund - 7,000 (60) - - 6,940
Shinhan Time Secondary Blind New
Technology Investment Trust - 4,750 4 - - 4,754
Shinhan DS Secondary Investment Fund - 1,815 5,662 - - 7,477
Shinhan-openwater pre-IPO Investment
Trust 1 - 5,000 (27) - - 4,973
Shinhan-Eco Venture Fund 2nd - 3,650 (40) - - 3,610
Heungkuk-Shinhan the1st Visionary
Technology Investment Trust no. 1 - 3,200 (46) - - 3,154
Hantoo Shinhan Lake K-beauty
Technology Investment Trust - 10,000 (31) - - 9,969
Shinhan HB Wellness 1st Investment
Trust - 5,000 (8) - - 4,992
Korea real Asset Fund No.3 - 9,370 (55) - - 9,315
Igis Yongsan Office General PE Real
Estate Inv. Trust No. 518 - 23,900 (769) - - 23,131
Samsung-dunamu Innovative IT
Technology Investment Trust No. 1 - 4,000 536 - - 4,536
Time Robotics New Technology
Investment Trust - 4,000 (34) - - 3,966
Ascent-welcome Tehcnology Investment
Trust No.2 - 9,000 (229) - - 8,771
Igis General PE Real Estate Investment
Trust 517-1 - 52,000 (264) - - 51,736
Consus Osansegyo No.2 - 8,000 104 - - 8,104
Mastern General Private Real Estate
Investment Trust No.189 (Type 1
Beneficiary Securities) - 8,500 (678) - - 7,822
Shinhan AIM Private Fund of Fund 9-B - 23,036 982 - - 24,018
Shinhan General Private Real Estate
Investment Trust No.3 - 7,721 117 - - 7,838
NH Absolute Project L General Private
Investment Trust - 4,488 405 - - 4,893
Paros Kosdaq Venture General Private
Investment Trust No. 5 - 6,000 (6) - - 5,994
Happy Pet Life Care New Technology
Investment Association No.2 - 3,000 456 - - 3,456
Shinhan-Soo Secondary Investment
Association - 5,250 (1) - - 5,249
Others 225,498 (39,576) 4,942 424 (289) 190,999
W 2,904,474 (331,686) 125,088 9,738 (15,583) 2,692,031
(*1) The Group has stopped recognizing its equity method income or loss due to the carrying amount of ‘0’ resulting
from the investees’ cumulative loss.
(*2) For the year ended December 31, 2023 it is incorporated into the consolidation target as the Group held control
184
(continued):
December 31, 2022

Equity Change in
BNP Paribas Cardif Life Insurance W 44,022 - (1,774) (12,079) - 30,169
Songrim Partners - - - - - -
Partners 4th Growth Investment Fund 13,033 (1,714) 6,917 (4,694) - 13,542
KTB Newlake Global Healthcare PEF 9,412 (5,832) 729 - - 4,309
Shinhan-Neoplux Energy Newbiz Fund 16,032 (391) 5,196 - - 20,837
Shinhan-Albatross tech investment Fund 10,389 (1,800) 3,792 (128) - 12,253
Meritz AI-SingA330-A Investment Type
Private Placement Special Asset Fund - 676 34 - 3,522 4,232
Meritz AI-SingA330-B Investment Type
Private Placement Special Asset Fund - 1,471 - - 255 1,726
Private 7,179 (1,433) 339 - - 6,085
Fund 3,951 (1,025) 1,505 - - 4,431
Investment Fund No.1 4,226 - 188 - - 4,414
Equity Fund 7,761 (8,512) 4,442 - - 3,691
Real Estate Trust 19 5,253 - (150) - (1,142) 3,961
AIP EURO Green Private Real Estate
Trust No.3 29,703 (29,008) (695) - - -
Fund 34,376 (1,545) 1,508 - - 34,339
Placement Real Estate Fund No.2-2 19,492 (464) 208 - - 19,236
Shinhan EZ General Insurance Co., Ltd.
(*2) 3,354 (3,181) (182) 9 - -
Hermes Private Investment Equity Fund 9,782 - (4,220) - - 5,562
KDBC-Midas Dong-A Global contents
Fund 2,955 - 1,322 - - 4,277
Fund 5,338 700 400 - - 6,438
Shinhan AIM FoF Fund 1-A 9,156 51 903 - - 10,110
IGIS Global Credit Fund 150-1 5,402 (1,267) 557 - - 4,692
Fund 7,891 - (2,747) - - 5,144
Genesis No.1 Private Equity Fund 55,533 408 3,983 - - 59,924
Korea Omega Project Fund III 4,290 - (616) - - 3,674
Soo Delivery Platform Growth Fund 5,873 (6,093) 220 - - -
No.1 PEF 13,736 (12,629) 7,011 - - 8,118
No.3 41,549 12,056 (10,361) - - 43,244
MIEL CO.,LTD. (*1) - - - - - -
Placed Fund Trust #1 34,688 5,527 4,606 - - 44,821
E&Healthcare Investment Fund No.6 6,866 (3,190) (3,079) - - 597
One Shinhan Global Fund 1 3,773 - (1,183) - (642) 1,948
185
(continued):
December 31, 2022

Equity Change in
Kiwoom-Shinhan Innovation Fund I W 11,731 (1,500) (790) - - 9,441
Daishin-K&T New Technology
Investment Fund 7,991 (7,430) (561) - - -
Fund No.6 48,305 5,873 2,851 - - 57,029
Special Asset Fund 5-4 27,471 5,033 (1,880) - - 30,624
Trust No.3 25,204 (912) 200 - - 24,492
NH-Amundi Global Infrastructure Trust
14 18,301 1,714 960 - - 20,975
Trust 1 10,109 (700) 377 - - 9,786
Estate Fund Investment Trust No.37 33,153 (22) 226 - - 33,357
Milestone Private Real Estate Fund 3 18,544 (201) 728 - - 19,071
Investment Trust 31 7,902 (607) 69 - - 7,364
Trust No.2 10,236 (5,292) (1,975) - - 2,969
Business 2,864 - 367 - - 3,231
Cape IT Fund No.3 10,065 (10,580) 515 - - -
Fund 1 7,149 - (233) - - 6,916
Stonebridge Corporate 1st Fund 2,964 - 658 - - 3,622
Fund V 10,766 (638) 787 - - 10,915
Korea Credit Bureau 7,695 - (2,656) - - 5,039
Goduck Gangil1 PFV Co., Ltd. - - 60 - - 60
SBC PFV Co., Ltd. 29,586 - (1,118) - - 28,468
NH-amundi global infra private fund 16 52,008 (15,362) 19,565 - - 56,211
IMM Global Private Equity Fund 118,615 19,045 9,724 - - 147,384
HANA Alternative Eastate Professional
Private122 29,489 (28,570) (918) - - 1
SHBNPP Corporate Professional
Investment Type Private Security
Investment Trust No.7 49,899 (50,540) 641 - - -
Private Special Asset Investment Trust 282,199 (24,838) 5,691 - - 263,052
Investment Trust No. 24 28,312 (6,937) 1,308 - - 22,683
Sparklabs-Shinhan Opportunity Fund 1 4,640 (826) 817 - - 4,631
Fund 5,881 - (48) - - 5,833
Trust No.33 13,884 (715) 1,383 - - 14,552
Trust no.4 10,644 (659) 346 - - 10,331
Goduck Gangil10 PFV Co., Ltd. - - 3,236 - - 3,236
186
(continued):
December 31, 2022

Equity Change in
W
No.2 19,773 2,183 (11) - - 21,945
TRUST No. 12 49,217 (5,640) 4,850 - - 48,427
Pebblestone CGV Private Real Estate
Trust No.1 13,710 (13,971) 261 - - -
SH Corporate Professional Investment
Type Private Security Investment Trust
No.45 173,955 (173,955) - - - -
Shinhan AIM Real Estate Fund No.2 23,275 3,346 (1,378) - - 25,243
Shinhan AIM Real Estate Fund No.1 44,312 (2,176) 2,506 - - 44,642
Private Special Asset Investment Trust 32,948 (915) 594 - - 32,627
Investment Trust 20,550 6 (1,260) - - 19,296
Investment Trust No.7-2 18,855 5,114 629 - - 24,598
Korea Omega-Shinhan Project Fund I 7,244 2,000 778 - - 10,022
ST-Bonanja Food tech 3,359 (621) (107) - - 2,631
Private 45[FoFs] 12,880 5,279 3,491 - - 21,650
Special Asset Professional Private2 31,887 (2,516) 4,041 - - 33,412
VS Cornerstone Fund 3,410 - (75) - - 3,335
Professional Private 9,540 (5,084) 553 - - 5,009
Fund2 27,024 2,446 2,471 - - 31,941
KB Distribution Private Real Estate1 30,694 (30,694) - - - -
Asset Investment Trust No.2 13,016 (7,291) 607 - - 6,332
Kakao-Shinhan 1st TNYT Fund 14,497 - 6,833 - - 21,330
IMM Special Situation 1-2 PRIVATE
EQUITY FUND 11,593 (8,690) (300) - - 2,603
Fund No.40 11,598 (748) 772 - - 11,622
Mastern Private Real Estate Loan Fund
No.2 7,491 (1,359) 255 - - 6,387
Fund 29 31,268 (2,189) 558 - - 29,637
JR AMC Hungary Budapest Office Fund
16 12,140 (821) 1,138 - - 12,457
EDNCENTRAL Co.,Ltd. (*1) - - - - - -
Capital Fund 3,017 - 1,234 - - 4,251
Gyeonggi-Neoplux Superman Fund 7,878 (1,195) (1,216) - - 5,467
NewWave 6th Fund 14,455 - (915) - - 13,540
KTC-NP Growth Champ 2011-2 Private
Equity Fund 3,990 (2,490) (293) - - 1,207
187
(continued):
December 31, 2022

Equity Change in
Neoplux No.3 Private Equity Fund W 22,601 (2) (2,145) - - 20,454
PCC Amberstone Private Equity Fund I 22,790 (2,509) (1,496) - - 18,785
TH
KIAMCO POWERLOAN TRUST 4 45,301 (2,305) 528 - - 43,524
Estate Fund II 21,317 (6,457) (150) - - 14,710
PRIVATE 1 4,422 232 (1,088) - - 3,566
Business 4,360 (1,732) 3,081 - - 5,709
Fund 11,313 (653) 3,300 - - 13,960
Harvest Private Equity Fund II 3,481 (159) (183) - - 3,139
Technology Business Investment Fund 9,684 (146) 1,094 - - 10,632
KAIM Real-estate Private Investment
Trust 20 5,048 (4,176) 315 - - 1,187
Private Investment Trust 7,527 (2,019) 1,219 - - 6,727
Daishin New Technology Investment
Fund 5th 4,439 (844) (1,165) - - 2,430
CSQUARE SNIPER PROFESSIONAL
PRIVATE 10 3,247 (3,806) 559 - - -
Acurus Hyundai Investment Partners
New Technology 4,714 (3,979) (735) - - -
IGIS GLIP Professional Investment
No. 1-1 63,944 (60,279) - (3,665) - -
IGIS GLIP Professional Investment
No. 1-2 63,944 (60,279) - (3,665) - -
Pacific Sunny Professional Investors
Private Placement Real Estate
Investment Company No.45 14,778 (14,778) - - - -
Technology Fund 5,691 3,960 (242) - - 9,409
Special Asset Investment Trust No.2 27,243 (2,559) 340 - - 25,024
SIMONE Mezzanine Fund No.3 3,054 4 (41) - - 3,017
Eum Private Equity Fund No.7 7,873 (86) 1,383 - - 9,170
Kiwoom Private Equity Ant-Man
Startup Venture Specialized Private
Equity Fund 7,594 (4,870) (2,724) - - -
Kiwoom Hero No.4 Private Equity Fund 4,305 - (788) - - 3,517
Fund I 41,072 2,103 3,154 - - 46,329
SW-S Fund 6,724 - 524 - - 7,248
CL Buyout 1st PEF 13,791 273 (1,222) - - 12,842
Timefolio The Venture-V second 4,572 - (476) - - 4,096
188
(continued):
December 31, 2022

Equity Change in
Newlake Growth Capital Partners2 PEF W 12,921 (177) (248) - - 12,496
Shinhan Smilegate Global PEF I 3,336 (1,828) 2,263 - - 3,771
Fount Professional Investors Private
Investment Trust No.3 5,197 (5,197) - - - -
Genesis Eco No.1 PEF 11,130 195 93 - - 11,418
Fund 24,606 8,540 1,274 - - 34,420
Technology Fund 6,437 - (60) - - 6,377
J& Moorim Jade Investment Fund 5,540 (385) 279 - - 5,434
Helios-KDBC Digital Contents 1st 1,695 1,720 (59) - - 3,356
Ulmus SHC innovation investment fund 5,192 - (306) - - 4,886
Fund 7,858 - (66) - - 7,792
T Core Industrial Technology 1st Venture
PEF 4,535 - (6) - - 4,529
Private Equity Fund 3,690 (245) 146 - - 3,591
Trust 1 3,055 (101) 173 - - 3,127
Fund 25 3,290 655 286 - - 4,231
IBKC Global Contents Investment Fund 4,943 - (391) - - 4,552
Nautic Smart No.6 Private Equity Fund 3,974 (3,752) 956 - - 1,178
Premier Luminous Private Equity Fund 6,991 (2,314) 4,289 - - 8,966
Hanyang-Meritz 1 Fund 3,483 - (17) - - 3,466
KNT 2ND PRIVATE EQUITY FUND 4,157 (3,000) (207) - - 950
Kiwoom-Shinhan Innovation Fund 2 2,677 9,000 (406) - - 11,271
Maple Mobility Fund 8,683 91 8,085 - - 16,859
SJ ESG Innovative Growth Fund 2,998 - 1,199 - - 4,197
Equity Fund 4,736 - 321 - - 5,057
JS Shinhan Private Equity Fund 5,037 - (84) - - 4,953
NH Kyobo AI Solution Investment Fund 2,973 - 315 - - 3,288
Investment Fund 1st 12,169 (2,277) (4,188) - - 5,704
META ESG Private Equity Fund I 5,677 - 180 - - 5,857
SWFV FUND-1 9,646 - (518) - - 9,128
PHAROS DK FUND 3,949 - (114) - - 3,835
189
(continued):
December 31, 2022

Equity Change in
Shinhan VC tomorrow venture fund 1 W 9,042 18,226 (342) - - 26,926
Highland 2021-8 Fund 4,899 - (73) - - 4,826
H-IOTA Fund 9,728 (88) (17) - - 9,623
Fund 2,074 4,160 (152) - - 6,082
Tres-Yujin Trust 9,995 (546) 555 - - 10,004
Shinhan-Time mezzanine blind Fund 14,942 - (1,630) - - 13,312
Capstone REITs No.26 4,395 (300) (243) - - 3,852
JB Incheon-Bucheon REITS No.54 4,999 - (10) - - 4,989
Trust No.3 4,342 2,195 456 - - 6,993
JB Hwaseong-Hadong REITs No.53 4,999 - (8) - - 4,991
KB Oaktree Trust No.3 3,159 5,376 70 - - 8,605
Company 21,500 (635) 1,193 - - 22,058
Investment Fund No.1 3,005 - (132) - - 2,873
No.2 19,903 35,762 1,669 - - 57,334
Special Asset Investment Trust 40,105 (795) 1,261 - - 40,571
SKS-Yozma Fund No.1 5,945 - 654 - - 6,599
Investment Fund 4,000 - 550 - - 4,550
Keistone Unicorn Private Equity Fund 6,300 - (51) - - 6,249
KB Distribution Private Real Estate 3-1 - 24,000 2,651 - - 26,651
Pacific Private Investment Trust No.49-1 - 28,000 641 - - 28,641
fund for normal investors No. 31 - 8,474 84 - - 8,558
RIFA Real estate private placement fund
for normal investoes No. 51 - 5,650 76 - - 5,726
No.15 - 11,995 286 - - 12,281
Shinhan-Kunicorn first Fund - 10,000 (169) - - 9,831
Harvest Fund No.3 - 13,000 2,854 - - 15,854
Shinhan Simone Fund Ⅰ - 5,000 (204) - - 4,796
No.1 - 9,562 680 - - 10,242
Tiger Green alpha Trust No.29 - 26,180 626 - - 26,806
STIC ALT Global II Private Equity Fund - 10,000 (141) - - 9,859
NH-Brain EV Fund - 13,000 (1,408) - - 11,592
Trust Co., Ltd. - 6,625 (220) - - 6,405
Find-Green New Deal 2nd Equity Fund - 4,549 (41) - - 4,508
Investment Association - 4,850 (413) - - 4,437
PARATUS No.3 Private Equity Fund - 5,000 (64) - - 4,936
190
(continued):
December 31, 2022

Equity Change in
Golden Route 2nd Startup Venture W
Specialized Private Equity Fund - 3,000 3 - - 3,003
Koramco Private Real Estate Fund 143 - 3,030 - - - 3,030
Private Real Estate Trust No.1 - 8,884 1,001 - - 9,885
No.40 - 9,706 42 - - 9,748
Shinhan-Cognitive Start-up Fund L.P. - 9,200 753 - - 9,953
IGEN2022 No.1 private Equity Fund - 8,280 765 - - 9,045
Cornerstone J&M Fund I - 3,600 (39) - - 3,561
Logisvalley Shinhan REIT Co.,Ltd. - 3,880 (60) (16) - 3,804
Private Equity Fund I - 35,000 (532) - - 34,468
Trust No.1 - 5,734 (20) - - 5,714
BTS 2nd Private Equity Fund - 3,934 (162) - - 3,772
Shinhan Global Active REIT Co.Ltd. - 19,900 (678) - - 19,222
NH-J&-IBKC Label Technology Fund - 9,976 (110) - - 9,866
IMM Global Venture Opportunity, LP - 3,115 - - - 3,115
Capstone Develop Frontier Trust - 6,857 - - - 6,857
Nextrade Co., Ltd. - 9,700 - - - 9,700
Trust No.1 - 3,000 11 - - 3,011
Security Investment Trust No.2 - 4,600 1 - - 4,601
Eventus-IBKC LIB Fund - 7,000 (965) - - 6,035
NH-Daishin-Kyobo healthcare 1 Fund - 4,000 (52) - - 3,948
IBKC-Behigh Fund 1st - 3,300 (32) - - 3,268
investment No.1 Private Equity Fund - 4,000 (44) - - 3,956
ON No.1 Private Equity Fund - 6,000 (638) - - 5,362
Fund - 5,000 (54) - - 4,946
Others 170,811 50,920 12,089 - (3,598) 230,222
W 2,913,745 (105,125) 121,697 (24,238) (1,605) 2,904,474
(*1) The Group has stopped recognizing its equity method income or loss due to the carrying amount of ‘0’ resulting
from the investees’ cumulative loss.
due to increased equity ratio and BNP Paribas Cardif General Insurance, Ltd. Has changed its name to Shinhan EZ
General Insurance Co., Ltd.
191
(c) The statement of financial information as of and for the years ended December 31, 2023 and 2022 are as
follows:
December 31, 2023

Other Total
comprehen- comprehen-
Operating Net profit sive income sive income
Investees Asset Liability revenue (loss) (loss) (loss)
BNP Paribas Cardif Life Insurance W 2,937,652 2,675,629 49,330 (17,674) 54,555 36,881
Shinhan-Neoplux Energy Newbiz
Fund 72,503 1,883 10,434 4,802 - 4,802
Shinhan-Albatross tech investment
Fund 31,296 295 10,919 9,109 383 9,492
KCGI-SingA330-A Private Special
Asset Investment Trust 19,299 1 1,579 1,578 - 1,578
Private 32,674 15 4,003 1,987 - 1,987
Fund 8,603 - - (259) - (259)
Investment Fund No.1 20,511 252 5,702 5,467 - 5,467
Shinhan Praxis K-Growth Global
Private Equity Fund 26,097 1 5 2 - 2
Kiwoom Milestone Professional
Private Real Estate Trust 19 - 38,867 756 (311) - (311)
Shinhan Global Healthcare Fund 1 39 3,507 - (1) - (1)
Fund 64,327 70 4,636 (9,995) - (9,995)
Placement Real Estate Fund No.2-2 44,606 1,899 1,255 (2,601) - (2,601)
KDBC-Midas Dong-A Global
contents Fund 18,500 62 71 45 - 45
Fund 24,720 289 173 (342) - (342)
Shinhan AIM FoF Fund 1-A 38,571 29 12,279 4,713 - 4,713
IGIS Global Credit Fund 150-1 17,155 12 2,224 1,586 - 1,586
Korea Omega Project Fund III 15,709 - 148 95 - 95
Genesis North America Power
Company No.1 PEF 15,989 1,487 2,904 2,523 - 2,523
SH MAIN Professional Investment
Type Private Mixed Asset
Investment Trust No.3 174,702 - 42,498 34,779 - 34,779
KOREA FINANCE SECURITY CO.,
LTD 36,392 14,629 48,995 (1,136) - (1,136)
MIEL CO.,LTD. 422 565 36 - - -
AIP Transportation Specialized
Privately Placed Fund Trust #1 130,174 373 4,237 (38,058) - (38,058)
192
(c) The statement of financial information as of and for the years ended December 31, 2023 and 2022 are as follows
(continued):
December 31, 2023

Other Total
Kiwoom-Shinhan Innovation Fund I W 16,081 373 1,531 (325) - (325)
Fund No.6 138,202 1,352 18,827 15,828 - 15,828
Samchully Midstream Private
Placement Special Asset Fund 5-4 77,296 28 15,914 4,186 - 4,186
SH Senior Loan Professional
Investment Type Private Mixed
Asset Investment Trust No.3 36,283 10 5,351 5,130 - 5,130
NH-Amundi Global Infrastructure
Trust 14 62,431 2 10,567 2,796 - 2,796
Vestas Qualified Investors Private
Real Estate Fund Investment Trust
No.37 58,814 38 12,899 4,319 - 4,319
Milestone Private Real Estate Fund 3 54,945 - 5,117 (7,989) - (7,989)
Investment Trust 31 93,950 71,946 1,882 (192) - (192)
Fund 1 15,922 227 2,392 1,861 - 1,861
Stonebridge Corporate 1st Fund 9,390 - 1,262 1,179 - 1,179
Vogo Realty Partners Private Real
Estate Fund V 49,968 86 4,879 1,179 - 1,179
Korea Credit Bureau 129,155 54,287 160,189 19,880 - 19,880
Goduck Gangil1 PFV Co., Ltd. 209,615 192,311 340,451 11,493 - 11,493
SBC PFV Co., Ltd. 472,860 309,802 - (5,733) - (5,733)
NH-amundi global infra private fund
16 102,499 1,195 291 (10,397) - (10,397)
SH BNCT Professional Investment
Type Private Special Asset
Investment Trust 337,617 - 32,744 19,052 - 19,052
Investment Trust No. 24 35,359 716 29,833 2,504 - 2,504
Sparklabs-Shinhan Opportunity Fund
1 7,916 9 1,834 848 - 848
Trust No.33 91,806 54,428 15,927 2,642 - 2,642
Fidelis Global Private Real Estate
Trust No.2 745 52 - (9) - (9)
TRUST No. 12 170,567 1,159 1,097 37 - 37
Shinhan Global Healthcare Fund 2 31 183 1 (2) - (2)
193
(continued):
December 31, 2023

Other Total
Shinhan AIM Real Estate Fund No.2 W 90,066 1,140 19,579 4,783 - 4,783
Shinhan AIM Real Estate Fund No.1 247,193 296 89,979 3,070 - 3,070
System Professional Investment
Investment Trust 158,010 55 18,673 13,942 - 13,942
SH Sangju YC Expressway
Professional Investment Type
Private Special Asset Investment
Trust 69,059 361 2,753 2,583 - 2,583
Investment Type Private Special
Asset Investment Trust No.7-2 24,554 31 2,926 750 - 750
Korea Omega-Shinhan Project Fund I 23,261 - 3,356 3,216 - 3,216
Samsung SRA Real Estate
Professional Private 45 128,943 3,215 13 (44) - (44)
Special Asset Professional Private2 111,460 36 16,458 (9,724) - (9,724)
VS Cornerstone Fund 8,094 127 - (133) - (133)
Fund2 114,783 45 60,166 8,411 - 8,411
Kakao-Shinhan 1st TNYT Fund 40,992 134 77 (3,012) - (3,012)
Fund No.40 145,871 98,869 4,152 3,031 - 3,031
Mastern Private Real Estate Loan
Fund No.2 9,081 24 1,049 989 - 989
LB Scotland Amazon Fulfillment
Center Fund 29 44,187 93 7,071 4,339 - 4,339
JR AMC Hungary Budapest Office
Fund 16 40,697 1,742 8,394 3,081 - 3,081
EDNCENTRAL Co.,Ltd. 120,947 163,105 657 (18,592) - (18,592)
Capital Fund 20,097 3,601 6,093 (4,198) - (4,198)
Gyeonggi-Neoplux Superman Fund 24,409 1,174 2,874 (1,889) - (1,889)
NewWave 6th Fund 46,704 984 5,322 585 - 585
Neoplux No.3 Private Equity Fund 195,669 5,877 24,125 (14,695) - (14,695)
PCC Amberstone Private Equity Fund
I 82,150 2,509 13,537 4,144 - 4,144
KIAMCO POWERLOAN TRUST
4TH 95,224 15 8,657 8,193 - 8,193
Estate Fund II 59,113 - 11,061 11,043 - 11,043
194
(continued):
December 31, 2023

Other Total
W
Fund 53,425 597 17,711 708 - 708
Harvest Private Equity Fund II 13,718 217 119 (613) - (613)
Technology Business Investment
Fund 36,618 - 764 (610) - (610)
KIAMCO Vietnam Solar Special
Asset Private Investment Trust 13,693 21 2,644 658 - 658
Technology Fund 27,494 123 8,970 8,456 - 8,456
Trust No.2 77,888 34 3,376 2,913 - 2,913
SIMONE Mezzanine Fund No.3 4,179 3 2,625 521 - 521
Eum Private Equity Fund No.7 43,658 6 632 (19) - (19)
Kiwoom Hero No.4 Private Equity
Fund 16,580 228 356 (356) - (356)
Vogo Canister Professional Trust
Private Fund I 249,535 124,697 19,630 7,122 - 7,122
Timefolio The Venture-V second 28,125 135 8,764 8,226 - 8,226
Shinhan Smilegate Global PEF I 30,053 3,305 14 (477) - (477)
Genesis Eco No.1 PEF 38,676 - 1 (686) - (686)
Fund 78,108 1,596 4,660 (14,099) - (14,099)
Technology Fund 17,437 - 1,813 168 - 168
J& Moorim Jade Investment Fund 19,829 57 1,054 1,097 - 1,097
Helios-KDBC Digital Contents 1st 9,785 85 19 1,535 - 1,535
Ulmus SHC innovation investment
fund 23,060 - 2,967 2,734 - 2,734
195
(continued):
December 31, 2023

Other Total
W
Venture PEF 13,541 22 216 (874) - (874)
Fine Value POST IPO No.5 Private
Equity Fund 9,441 26 3,921 3,740 - 3,740
Trust 1 7,773 17 1,353 445 - 445
MPLUS Professional Private Real
Estate Fund 25 11,946 6,286 - (4,495) - (4,495)
IBKC Global Contents Investment
Fund 19,634 359 1,127 611 - 611
Hanyang-Meritz 1 Fund 13,202 - 1,093 903 - 903
Kiwoom-Shinhan Innovation Fund 2 21,555 170 5,952 5,431 - 5,431
ETRI Holdings-Shinhan 1st Unicorn
Fund 6,590 - 6 (199) - (199)
SJ ESG Innovative Growth Fund 14,693 - 127 4 - 4
Equity Fund 6,331 72 - (380) - (380)
JS Shinhan Private Equity Fund 123,099 - 8 (1,470) - (1,470)
Investment Fund 1st 12,044 25 907 747 - 747
META ESG Private Equity Fund I 21,063 - 31 (314) - (314)
PHAROS DK FUND 10,179 21 838 165 - 165
Shinhan VC tomorrow venture fund 1 114,834 730 3,462 147 - 147
H-IOTA Fund 38,721 338 966 564 - 564
Stonebridge-Shinhan Unicorn
Secondary Fund 28,551 - 3 (6,069) - (6,069)
196
(continued):
December 31, 2023

Other Total
Tres-Yujin Trust W 20,820 102 712 710 - 710
Shinhan-Time mezzanine blind Fund 28,243 - 2,237 1,617 - 1,617
Capstone REITs No.26 46,661 35,161 9,371 4,395 - 4,395
JB Incheon-Bucheon REITS No.54 12,667 5 - (27) - (27)
Trust No.3 23,032 26 2,052 2,026 - 2,026
JB Hwaseong-Hadong REITs No.53 16,065 5 1 (27) - (27)
KB Oaktree Trust No.3 26,012 8 6,097 2,502 - 2,502
Daehan No.36 Office Asset
Management Company 153,846 107,055 6,232 882 - 882
Investment Fund No.1 10,965 20 98 83 - 83
No.2 211,192 59 11,320 6,949 - 6,949
Special Asset Investment Trust 166,822 84 8,934 3,328 - 3,328
SKS-Yozma Fund No.1 12,315 740 4,529 3,337 - 3,337
KB Distribution Private Real Estate 3-
1 69,558 289 67 42 - 42
Pacific Private Investment Trust
No.49-1 40,024 5,491 - (437) - (437)
KIWOOM Real estate private
placement fund for normal investors
No. 31 14,278 14 - (16) - (16)
RIFA Real estate private placement
fund for normal investoes No. 51 14,358 29 1 (16) - (16)
No.15 25,184 29 817 788 - 788
Shinhan-Kunicorn first Fund 25,126 - 9 (534) - (534)
Shinhan-Quantum Startup Fund 8,105 - 40 (270) - (270)
Shinhan Simone Fund Ⅰ 12,582 4 311 107 - 107
No.1 24,168 338 582 478 - 478
Tiger Green alpha Trust No.29 30,054 51 2,634 2,473 - 2,473
STIC ALT Global II Private Equity
Fund 43,848 130 5 (630) - (630)
NH-Brain EV Fund 44,499 - 4 (1,868) - (1,868)
DDI LVC Master Real Estate
Investment Trust Co., Ltd. 43,817 8 - (1,809) - (1,809)
Leverent-Frontier 4th Venture PEF 13,792 - 1,530 1,380 - 1,380
Find-Green New Deal 2nd Equity
Fund 19,779 - 2 (190) - (190)
197
(continued):
December 31, 2023

Other Total
ShinhanFitrin 1st Technology W
Business Investment Association 28,025 73 3,160 2,758 - 2,758
Koramco Private Real Estate Fund
143 22,026 23 11 2 - 2
Private Real Esate Trust No.1 45,815 740 5,900 5,849 - 5,849
LB YoungNam Logistics Private
Trust No.40 39,139 10 2,561 2,538 - 2,538
Shinhan-Cognitive Start-up Fund L.P. 16,518 254 2,557 2,197 - 2,197
Cornerstone J&M Fund I 13,129 47 3 (274) - (274)
Logisvalley Shinhan REIT Co.,Ltd. 78,925 56,307 4,840 (1,017) - (1,017)
Investment Fund 1 17,329 - 10,911 10,910 - 10,910
Shinhan-Ji and Tec Smart Innovation
Fund 19,954 - 21 (820) - (820)
Mover Venture Investment Equity
Fund 1st 14,318 382 6 (416) - (416)
Korea Investment Green Newdeal
Infra Trust No.1 36,689 21 52 21 - 21
BTS 2nd Private Equity Fund 25,136 742 101 (1,116) - (1,116)
Shinhan Global Active REIT Co.Ltd. 191,211 97,944 - (766) - (766)
NH-J&-IBKC Label Technology Fund 35,347 294 13 (428) - (428)
Hanyang Time Mezzanine Fund 10,543 - 127 43 - 43
Shinhan-isquare Venture PEF 1 10,741 25 3 (528) - (528)
Capstone Develop Frontier Trust 35,305 83 5,942 5,859 - 5,859
Nextrade Co., Ltd. 140,424 19,174 6,626 (8,432) - (8,432)
Security Investment Trust No.2 17,814 1,200 908 798 - 798
Eventus-IBKC LIB Fund 30,326 8 3,215 2,729 - 2,729
IBKC-Behigh Fund 1st 10,829 - 31 (165) - (165)
ON No.1 Private Equity Fund 18,625 - 125 (144) - (144)
Digital New Deal Kappa Private
Equity Fund 19,576 - 1 (408) - (408)
IBKCJS New Technology Fund No.1 20,842 - 4,123 3,842 - 3,842
DS-Shinhan-JBWoori New Media
New Technology Investment Fund
No.1 47,055 - 3 (945) - (945)
VOGO Debt Strategy General Private
Real Estate Investment Trust No. 18 42,082 35 5,917 3,496 - 3,496
Koramco IPO LEITS Mezzanine
General Private Investment Trust
No. 38 4,248 19 247 228 - 228
TogetherKorea Private Investment
Trust No. 6 5,273 1 223 218 - 218
TogetherKorea Private Investment
Trust No. 7 5,273 1 223 218 - 218
Investment Fund No.3 12,058 29 592 518 - 518
Penture K-Content Investment Fund 25,938 338 196 (1,721) - (1,721)
198
(continued):
December 31, 2023

Other Total
2023 Shinhan-JB Woori-Daeshin
Listed Companies New Technology
Fund W 26,684 121 785 438 - 438
PCBO General PEF No. 1 13,806 15 1,007 992 - 992
Investment Fund 12,420 170 23 (150) - (150)
Shinhan M&A-ESG Fund 18,154 285 31 (791) - (791)
Shinhan SM Office Value Add –
Outsource Management Real Estate
Investment Co., Ltd. - 37,231 41 3,710 3,548 - 3,548
investment fund 24,889 2 - (215) - (215)
Technology Investment Trust 10,009 - 50 9 - 9
Shinhan DS Secondary Investment
Fund 18,709 15 14,179 14,156 - 14,156
Shinhan-openwater pre-IPO
Investment Trust 1 9,947 - 2 (55) - (55)
Shinhan-Eco Venture Fund 2nd 9,067 42 1 (100) - (100)
Technology Investment Trust no. 1 7,885 - 65 (115) - (115)
Hantoo Shinhan Lake K-beauty
Technology Investment Trust 43,417 - 1 (133) - (133)
Shinhan HB Wellness 1st Investment
Trust 10,285 - 17 (17) - (17)
Korea real Asset Fund No.3 32,625 20 170 (193) - (193)
Igis Yongsan Office General PE Real
Estate Inv. Trust No. 518 278,662 205,204 3,943 (650) - (650)
Technology Investment Trust No. 1 20,175 444 2,875 2,331 - 2,331
Time Robotics New Technology
Investment Trust 13,284 - - (114) - (114)
Ascent-welcome Tehcnology
Investment Trust No.2 31,722 - 2 (828) - (828)
Igis General PE Real Estate
Investment Trust 517-1 54,015 289 - (274) - (274)
Consus Osansegyo No.2 16,209 - 24 22 - 22
Investment Trust No.189(Type 1
Beneficiary Securities) 123,657 99,729 1,285 (2,073) - (2,073)
Shinhan AIM Private Fund of Fund 9-
B 96,124 51 9,992 3,928 - 3,928
Investment Trust No.3 38,175 410 591 564 - 564
NH Absolute Project L General
Private Investment Trust 18,863 65 7 1,556 - 1,556
Investment Trust No. 5 8,998 3 5 (9) - (9)
Investment Association No.2 11,868 347 1,868 1,520 - 1,520
Association 6,764 - - (1) - (1)
(*) Excluded the financial information of associates that are not subject to equity method due to disposal or of which
the financial information is not available as of end of the year.
199
(continued):
December 31, 2022

Other Total
BNP Paribas Cardif Life Insurance W 2,528,558 2,327,352 47,631 (11,901) (80,527) (92,428)
Partners 4th Growth Investment Fund 54,661 496 14,432 27,663 (18,774) 8,889
KTB Newlake Global Healthcare PEF 21,000 55 3,091 2,996 - 2,996
Shinhan-Neoplux Energy Newbiz
Fund 66,792 978 3,371 21,618 - 21,618
Shinhan-Albatross tech investment
Fund 24,870 363 1,469 10,429 (383) 10,046
Meritz AI-SingA330-A Investment
Type Private Placement Special
Asset Fund 17,718 2 14,888 14,888 - 14,888
Meritz AI-SingA330-B Investment
Type Private Placement Special Asset
Fund 8,569 6 1,267 1,265 - 1,265
Private 30,440 20 3,963 1,691 - 1,691
Fund 8,863 - 3,749 3,011 - 3,011
Investment Fund No.1 18,660 269 1,056 784 - 784
Shinhan Praxis K-Growth Global
Private Equity Fund 26,086 4 32,477 31,394 - 31,394
Kiwoom Milestone Professional
Private Real Estate Trust 19 46,585 38,663 2,605 (2,584) - (2,584)
Shinhan Global Healthcare Fund 1 40 4,558 - (1,406) - (1,406)
Fund 91,617 45 17,394 8,543 - 8,543
Placement Real Estate Fund No.2-2 45,492 1,798 7,431 574 - 574
Hermes Private Investment Equity
Fund 19,078 7 - (14,465) - (14,465)
KDBC-Midas Dong-A Global
contents Fund 18,412 19 7,110 5,689 - 5,689
Fund 26,085 249 2,297 1,607 - 1,607
Shinhan AIM FoF Fund 1-A 40,471 27 16,497 3,617 - 3,617
IGIS Global Credit Fund 150-1 18,779 14 5,436 2,223 - 2,223
Fund 18,496 68 1,281 (9,798) - (9,798)
Genesis No.1 Private Equity Fund 262,825 2 19,226 17,898 - 17,898
Korea Omega Project Fund III 15,610 - - (2,624) - (2,624)
Genesis North America Power
Company No.1 PEF 20,898 138 20,864 20,155 - 20,155
SH MAIN Professional Investment
Type Private Mixed Asset
Investment Trust No.3 185,777 444 - (44,452) - (44,452)
MIEL CO.,LTD. 422 565 36 (1) - (1)
AIP Transportation Specialized
Privately Placed Fund Trust #1 125,545 86 7,398 (3,978) - (3,978)
E&Healthcare Investment Fund No.6 2,839 - 3,243 (14,623) - (14,623)
200
(continued):
December 31, 2022

Other Total
One Shinhan Global Fund 1 W 9,575 80 - (6,263) - (6,263)
Kiwoom-Shinhan Innovation Fund I 19,130 249 1,545 (1,581) - (1,581)
Fund No.6 139,200 662 10,515 6,925 - 6,925
Samchully Midstream Private
Placement Special Asset Fund 5-4 71,399 47 16,238 (4,512) - (4,512)
NH-Amundi Global Infrastructure
Trust 14 69,933 14 14,823 3,201 - 3,201
Trust 1 9,887 4 384 380 - 380
Vestas Qualified Investors Private
Real Estate Fund Investment Trust
No.37 55,618 20 15,784 379 - 379
Milestone Private Real Estate Fund 3 59,697 212 1,865 (4,045) - (4,045)
Investment Trust 31 95,314 71,795 13,708 108 - 108
Asset Investment Trust No.2 13,967 6 2,226 (9,585) - (9,585)
T&F 2019 bearing Private Equity
Fund Specializing in Start-up and
Venture Business 11,446 6 1,527 1,333 - 1,333
Fund 1 13,832 - 2 (465) - (465)
Stonebridge Corporate 1st Fund 8,211 - 1,575 1,493 - 1,493
Vogo Realty Partners Private Real
Estate Fund V 50,529 83 3,851 3,637 - 3,637
Korea Credit Bureau 144,765 88,766 141,445 (29,498) - (29,498)
SBC PFV Co., Ltd. 424,242 290,391 - (4,471) - (4,471)
NH-amundi global infra private fund
16 112,489 66 32,982 22,026 - 22,026
IMM Global Private Equity Fund 451,407 4,821 25,234 (48,679) - (48,679)
SH BNCT Professional Investment
Investment Trust 362,896 66 10,788 (18,077) - (18,077)
Investment Trust No. 24 43,941 552 25,185 2,665 - 2,665
Sparklabs-Shinhan Opportunity Fund
1 9,356 - 1,951 1,652 - 1,652
Fund 20,303 763 92 (161) - (161)
Trust No.33 89,582 53,964 5,202 3,387 - 3,387
Trust no.4 34,970 11 4,402 1,169 - 1,169
Fidelis Global Private Real Estate
Trust No.2 30,217 32 - (821) - (821)
TRUST No. 12 169,704 969 17,932 13,514 - 13,514
Shinhan Global Healthcare Fund 2 32 192 1 (75) - (75)
201
(continued):
December 31, 2022

Other Total
Shinhan AIM Real Estate Fund No.2 W 84,946 806 10,262 (4,595) - (4,595)
Shinhan AIM Real Estate Fund No.1 239,734 27,259 15,006 11,925 - 11,925
System Professional Investment
Investment Trust 148,236 75 4,456 2,688 - 2,688
SH Sangju YC Expressway
Trust 66,408 301 655 (4,315) - (4,315)
Investment Type Private Special
Asset Investment Trust No.7-2 34,479 42 4,149 2,310 - 2,310
Korea Omega-Shinhan Project Fund I 20,043 - 1,776 1,555 - 1,555
ST-Bonanja Food tech 6,775 - 202 (275) - (275)
Samsung SRA Real Estate
Professional Private 45 93,284 7,161 5,721 (7,106) - (7,106)
Special Asset Professional Private2 115,311 41 8,791 8,504 - 8,504
VS Cornerstone Fund 8,098 - 1 (131) - (131)
Professional Private 8,006 229 992 729 - 729
Fund2 123,363 72 32,302 9,571 - 9,571
Kakao-Shinhan 1st TNYT Fund 44,003 134 14,778 14,054 - 14,054
EQUITY FUND 13,058 39 6,499 (1,494) - (1,494)
Fund No.40 145,569 98,572 4,155 3,122 - 3,122
Mastern Private Real Estate Loan
Fund No.2 19,200 175 919 759 - 759
LB Scotland Amazon Fulfillment
Center Fund 29 42,291 39 2,226 795 - 795
JR AMC Hungary Budapest Office
Fund 16 38,247 - 3,493 3,493 - 3,493
EDNCENTRAL Co.,Ltd. 114,856 138,293 1,193 (9,338) - (9,338)
Capital Fund 30,109 3,949 13,584 7,591 - 7,591
Gyeonggi-Neoplux Superman Fund 25,739 623 12,768 (5,587) - (5,587)
NewWave 6th Fund 45,981 849 2,167 (3,053) - (3,053)
KTC-NP Growth Champ 2011-2
Private Equity Fund 27,070 5,349 463 (5,288) - (5,288)
Neoplux No.3 Private Equity Fund 207,723 3,194 10,686 (21,454) - (21,454)
PCC Amberstone Private Equity Fund
I 89,577 2,892 9,177 (10,097) - (10,097)
KIAMCO POWERLOAN TRUST
4TH 91,908 24 5,024 1,117 - 1,117
Estate Fund II 73,584 40 13,201 (2,950) - (2,950)
PRIVATE 1 17,833 2 395 (4,280) - (4,280)
202
(continued):
December 31, 2022

Other Total
Specializing in Start-up and Venture W
Business 19,257 22 10,655 10,381 - 10,381
Fund 71,633 904 29,131 16,720 - 16,720
Harvest Private Equity Fund II 14,387 157 119 (831) - (831)
Technology Business Investment
Fund 37,743 - 4,283 3,883 - 3,883
KAIM Real-estate Private Investment
Trust 20 3,089 - 820 820 - 820
KIAMCO Vietnam Solar Special
Asset Private Investment Trust 13,473 18 5,271 2,438 - 2,438
Daishin New Technology Investment
Fund 5th 10,384 15 227 107 - 107
Technology Fund 19,037 124 136 (486) - (486)
Trust No.2 83,453 36 3,580 1,158 - 1,158
SIMONE Mezzanine Fund No.3 10,427 8 120 (129) - (129)
Eum Private Equity Fund No.7 43,679 6 7,116 6,587 - 6,587
Kiwoom Hero No.4 Private Equity
Fund 16,731 26 399 191 (3,936) (3,745)
Vogo Canister Professional Trust
Private Fund I 127,808 61 22,709 8,743 - 8,743
SW-S Fund 23,919 - 1,978 1,728 - 1,728
CL Buyout 1st PEF 60,144 214 1 (5,704) - (5,704)
Timefolio The Venture-V second 19,764 - - (2,296) - (2,296)
Newlake Growth Capital Partners2
PEF 42,358 592 - (829) - (829)
Shinhan Smilegate Global PEF I 28,792 - 6,610 6,118 - 6,118
Genesis Eco No.1 PEF 39,363 4 657 1,400 - 1,400
Fund 81,123 513 8,166 2,985 - 2,985
Technology Fund 17,269 - - 100 - 100
J& Moorim Jade Investment Fund 21,837 1 1,134 969 - 969
Helios-KDBC Digital Contents 1st 14,518 87 3,529 3,272 - 3,272
Ulmus SHC innovation investment
fund 20,326 - 1 (1,275) - (1,275)
203
(continued):
December 31, 2022

Other Total
W
Fund 21,850 33 2 (185) - (185)
Venture PEF 14,405 12 208 (20) - (20)
Private Equity Fund 12,986 61 946 522 - 522
Trust 1 7,817 - 432 432 - 432
MPLUS Professional Private Real
Estate Fund 25 12,395 2,242 686 686 - 686
IBKC Global Contents Investment
Fund 18,739 78 - (1,603) - (1,603)
Nautic Smart No.6 Private Equity
Fund 3,212 91 2,718 2,531 - 2,531
Premier Luminous Private Equity
Fund 35,763 63 10,762 10,534 - 10,534
Hanyang-Meritz 1 Fund 15,348 - 41 (74) - (74)
KNT 2ND PRIVATE EQUITY FUND 5,182 5 6,186 5,983 - 5,983
Kiwoom-Shinhan Innovation Fund 2 26,475 176 16 (947) - (947)
Maple Mobility Fund 83,540 1 40,442 40,066 - 40,066
SJ ESG Innovative Growth Fund 14,689 - 4,319 4,195 - 4,195
Equity Fund 6,641 3 431 422 - 422
JS Shinhan Private Equity Fund 128,728 1 12 (2,098) - (2,098)
NH Kyobo AI Solution Investment
Fund 12,601 - 2,182 2,002 - 2,002
Investment Fund 1st 11,298 25 184 38 (8,314) (8,276)
META ESG Private Equity Fund I 21,380 - 2 (341) - (341)
SWFV FUND-1 22,678 - - (1,287) - (1,287)
PHAROS DK FUND 15,918 32 - (403) - (403)
Shinhan VC tomorrow venture fund 1 68,808 850 2,775 (645) - (645)
Highland 2021-8 Fund 14,924 154 - (228) - (228)
H-IOTA Fund 38,933 149 356 (64) - (64)
Stonebridge-Shinhan Unicorn
Secondary Fund 34,621 - 3 (866) - (866)
204
(continued):
December 31, 2022

Other Total
Tres-Yujin Trust W 20,010 3 1,114 1,111 - 1,111
Shinhan-Time mezzanine blind Fund 26,625 - 42 (3,260) - (3,260)
Capstone REITs No.26 16,709 9,006 - (486) - (486)
JB Incheon-Bucheon REITS No.54 12,695 5 2 (26) - (26)
Trust No.3 21,085 105 1,408 1,368 - 1,368
JB Hwaseong-Hadong REITs No.53 16,090 6 2 (27) - (27)
KB Oaktree Trust No.3 25,822 8 3,266 210 - 210
Daehan No.36 Office Asset
Management Company 141,037 96,073 5,231 2,047 - 2,047
Investment Fund No.1 2,880 7 1,137 1,073 - 1,073
No.2 192,904 53 11,005 5,638 - 5,638
Special Asset Investment Trust 163,349 82 5,679 5,076 - 5,076
SKS-Yozma Fund No.1 22,110 - 2,505 2,196 - 2,196
Investment Fund 12,513 - 1 1,513 - 1,513
Keistone Unicorn Private Equity Fund 22,318 - - (176) - (176)
KB Distribution Private Real Estate 3-
1 71,093 24 85 14 - 14
Pacific Private Investment Trust
No.49-1 36,126 - - (23) - (23)
KIWOOM Real estate private
placement fund for normal investors
No. 31 14,278 14 435 260 - 260
RIFA Real estate private placement
fund for normal investoes No. 51 14,343 28 218 170 - 170
No.15 24,606 33 2,003 1,920 - 1,920
Shinhan-Kunicorn first Fund 25,658 - 10 (442) - (442)
Harvest Fund No.3 35,577 89 6,855 6,388 - 6,388
Shinhan Simone Fund Ⅰ 12,468 - 24 (532) - (532)
No.1 26,334 730 1,806 1,702 - 1,702
Tiger Green alpha Trust No.29 28,200 54 1,431 658 - 658
STIC ALT Global II Private Equity
Fund 45,480 130 2 (649) - (649)
NH-Brain EV Fund 46,369 - 2 (5,631) - (5,631)
DDI LVC Master Real Estate
Investment Trust Co., Ltd. 42,665 43 - (1,466) - (1,466)
Find-Green New Deal 2nd Equity
Fund 19,969 - 26 (181) - (181)
205
(continued):
December 31, 2022

Other Total
ShinhanFitrin 1st Technology W
Business Investment Association 27,520 76 1 (2,556) - (2,556)
PARATUS No.3 Private Equity Fund 19,372 123 - (250) - (250)
Golden Route 2nd Startup Venture
Specialized Private Equity Fund 13,272 58 73 14 - 14
Koramco Private Real Estate Fund
143 10,006 6 4 - - -
Private Real Esate Trust No.1 45,126 649 4,554 4,499 - 4,499
LB YoungNam Logistics Private
Trust No.40 39,001 9 191 169 - 169
Shinhan-Cognitive Start-up Fund L.P. 30,744 386 899 384 - 384
IGEN2022 No.1 private Equity Fund 32,483 122 3,166 2,737 - 2,737
Cornerstone J&M Fund I 13,355 2 1 (147) - (147)
Logisvalley Shinhan REIT Co.,Ltd. 79,248 55,619 1,000 (296) - (296)
Private Equity Fund I 143,070 276 - (2,206) - (2,206)
Korea Investment Green Newdeal
Infra Trust No.1 20,438 7 - (70) - (70)
BTS 2nd Private Equity Fund 15,018 513 1 (625) - (625)
Shinhan Global Active REIT Co.Ltd. 192,742 98,372 - (1,703) - (1,703)
NH-J&-IBKC Label Technology Fund 35,481 4 2 (123) - (123)
IMM Global Venture Opportunity, LP 8,775 - - - - -
Capstone Develop Frontier Trust 32,000 - - - - -
Nextrade Co., Ltd. 141,561 140 - (2,323) - (2,323)
SH Sustainable Management ESG
Short term Bond Security Feeder
Investment Trust No.1 11,196 2 72 49 - 49
Security Investment Trust No.2 15,865 - 4 4 - 4
Eventus-IBKC LIB Fund 27,617 27 6 (4,409) - (4,409)
NH-Daishin-Kyobo healthcare 1 Fund 15,792 - 17 (208) - (208)
IBKC-Behigh Fund 1st 10,992 - 1 (108) - (108)
investment No.1 Private Equity
Fund 16,569 150 1 (181) - (181)
ON No.1 Private Equity Fund 18,767 - - (2,233) - (2,233)
Digital New Deal Kappa Private
Equity Fund 16,569 149 1 (180) - (180)
(*) Excluded the financial information of associates that are not subject to equity method due to disposal or of which
the financial information is not available as of end of the year.
206
(d) Reconciliation of the financial information to the carrying amount of its interests in the associates as of December
31, 2023 and 2022 are as follows:
December 31, 2023

Interests in the
Net assets Ownership net assets Intra-group Carrying
Investees (a) (%)(b) (a)*(b) transactions Others amount
BNP Paribas Cardif Life Insurance W 262,022 15 39,277 (5) - 39,272
Shinhan-Neoplux Energy Newbiz Fund 70,619 32 22,358 - - 22,358
Shinhan-Albatross tech investment Fund 31,000 50 15,499 - - 15,499
KCGI-SingA330-A Private Special Asset
Investment Trust 19,297 24 4,609 - - 4,609
VOGO Debt Strategy Qualified IV Private 32,658 20 6,532 - - 6,532
Shinhan -Midas Dong-A Secondary Fund 8,602 50 4,301 - - 4,301
Investment Fund No.1 20,258 24 4,862 - - 4,862
Equity Fund 26,095 14 3,692 - - 3,692
Real Estate Trust 19 (*2) (38,868) 50 (19,434) - 19,434 -
Shinhan Global Healthcare Fund 1 (*2) (3,469) 4 (153) - 153 -
KB NA Hickory Private Special Asset Fund 64,256 38 24,096 - - 24,096
Koramco Europe Core Private Placement
Real Estate Fund No.2-2 42,706 44 18,799 - - 18,799
KDBC-Midas Dong-A Global contents Fund 18,437 23 4,288 - - 4,288
Shinhan-Nvestor Liquidity Solution Fund 24,430 25 6,088 - - 6,088
Shinhan AIM FoF Fund 1-A 38,541 25 9,635 - - 9,635
IGIS Global Credit Fund 150-1 17,142 25 4,286 - - 4,286
Korea Omega Project Fund III 15,708 24 3,696 - - 3,696
No.1 PEF 14,501 44 6,358 - - 6,358
No.3 174,701 23 40,764 - - 40,764
KOREA FINANCE SECURITY CO., LTD 21,762 15 3,245 - - 3,245
MIEL CO.,LTD. (*2) (144) 29 (41) - 41 -
Placed Fund Trust #1 129,800 36 46,372 - - 46,372
Kiwoom-Shinhan Innovation Fund I 15,707 50 7,854 - - 7,854
Midas Asset Global CRE Debt Private Fund
No.6 136,849 40 54,881 - - 54,881
Trust No.3 36,272 20 7,254 - - 7,254
NH-Amundi Global Infrastructure Trust 14 62,428 30 18,728 - - 18,728
Estate Fund Investment Trust No.37 58,775 60 35,265 - - 35,265
207
31, 2023 and 2022 are as follows (continued):
December 31, 2023

Interests in the
Milestone Private Real Estate Fund 3 W 54,944 32 17,615 - - 17,615
Nomura-Rifa Private Real Estate Investment
Trust 31 22,003 31 6,889 - - 6,889
Trust No.2 14,753 21 3,138 - - 3,138
FuturePlay-Shinhan TechInnovation Fund 1 15,694 50 7,847 - - 7,847
Stonebridge Corporate 1st Fund 9,389 44 4,142 - - 4,142
Fund V 49,881 22 10,792 - - 10,792
Korea Credit Bureau 74,867 9 6,738 - - 6,738
Goduck Gangil1 PFV Co., Ltd. 17,303 1 180 - - 180
SBC PFV Co., Ltd. (*3) 163,057 25 40,764 - (9,990) 30,774
NH-amundi global infra private fund 16 101,303 50 50,652 - - 50,652
Private Special Asset Investment Trust 337,616 73 244,772 - - 244,772
Deutsche Global Professional Investment
Type Private Real Estate Investment Trust
No. 24 34,642 52 18,110 - - 18,110
Sparklabs-Shinhan Opportunity Fund 1 7,906 50 3,914 - - 3,914
IGIS Real-estate Private Investment Trust
No.33 37,377 41 15,271 - - 15,271
Goduck Gangil10 PFV Co., Ltd. 25,534 20 5,081 - - 5,081
No.2 692 80 551 - - 551
TRUST No. 12 169,407 29 48,619 - - 48,619
Shinhan Healthcare Fund 2 (153) 14 (21) - 21 -
Shinhan AIM Real Estate Fund No.2 88,925 30 26,678 - - 26,678
Investment Trust No.7-2 24,522 71 17,516 - - 17,516
Korea Omega-Shinhan Project Fund I 23,260 50 11,630 - - 11,630
Private 45 125,727 25 31,432 - - 31,432
IBK Global New Renewable Energy Special
Asset Professional Private2 111,423 29 32,296 - - 32,296
VS Cornerstone Fund 7,966 41 3,280 - - 3,280
Fund2 114,737 26 29,725 - - 29,725
SH Japan Photovoltaic Private Special Asset
Investment Trust No.2 7,711 30 2,313 - - 2,313
Kakao-Shinhan 1st TNYT Fund 40,857 49 19,866 - - 19,866
208
December 31, 2023

Interests in the
Pacific Private Placement Real Estate Fund
W
No.40 47,001 25 11,624 - - 11,624
Mastern Private Real Estate Loan Fund No.2 9,056 34 3,040 - - 3,040
Fund 29 44,093 70 30,928 - - 30,928
JR AMC Hungary Budapest Office Fund 16 38,954 33 12,687 - - 12,687
EDNCENTRAL Co.,Ltd. (*2) (42,159) 13 -5,677 - 5,677 -
Future-Creation Neoplux Venture Capital
Fund 16,495 16 2,680 - - 2,680
Gyeonggi-Neoplux Superman Fund 23,234 22 5,056 - - 5,056
NewWave 6th Fund 45,719 30 13,716 - - 13,716
Neoplux No.3 Private Equity Fund 189,791 10 18,979 - - 18,979
PCC Amberstone Private Equity Fund I 79,640 22 17,258 - - 17,258
KIAMCO POWERLOAN TRUST 4TH 95,208 47 45,099 - - 45,099
Mastern Opportunity Seeking Real Estate
Fund II 59,112 22 13,135 - - 13,135
Neoplux Market-Frontier Secondary Fund 52,827 20 10,427 - - 10,427
Harvest Private Equity Fund II 13,500 22 2,978 - - 2,978
Technology Business Investment Fund 36,617 28 10,315 - - 10,315
Private Investment Trust 13,671 50 6,836 - - 6,836
Technology Fund 27,370 50 13,616 - - 13,616
Special Asset Investment Trust No.2 77,853 30 23,356 - - 23,356
SIMONE Mezzanine Fund No.3 4,175 29 1,202 - - 1,202
Eum Private Equity Fund No.7 43,651 21 9,166 - - 9,166
Kiwoom Hero No.4 Private Equity Fund 16,351 21 3,442 - - 3,442
Fund I 124,837 37 45,871 - - 45,871
Timefolio The Venture-V second 27,989 21 5,801 - - 5,801
Shinhan Smilegate Global PEF I 26,747 14 3,801 - - 3,801
Genesis Eco No.1 PEF 38,675 29 11,219 - - 11,219
SHINHAN-NEO Market-Frontier 2nd Fund 76,511 43 32,670 - - 32,670
Technology Fund 17,436 37 6,439 - - 6,439
J& Moorim Jade Investment Fund 19,771 25 4,920 - - 4,920
Helios-KDBC Digital Contents 1st 9,699 23 2,256 - - 2,256
Ulmus SHC innovation investment fund 23,059 24 5,543 - - 5,543
209
December 31, 2023

Interests in the
W
PEF 13,518 31 4,254 - - 4,254
Fine Value POST IPO No.5 Private Equity
Fund 9,414 40 3,766 - - 3,766
TI First Property Private Investment Trust 1 7,755 40 3,102 - - 3,102
Fund 25 5,659 42 2,358 - - 2,358
IBKC Global Contents Investment Fund 19,274 24 4,701 - - 4,701
Hanyang-Meritz 1 Fund 13,201 23 2,981 - - 2,981
Kiwoom-Shinhan Innovation Fund 2 21,384 43 9,165 - - 9,165
ETRI Holdings-Shinhan 1st Unicorn Fund 6,589 50 3,295 - - 3,295
SJ ESG Innovative Growth Fund 14,692 29 4,198 - - 4,198
Equity Fund 6,258 76 4,768 - - 4,768
JS Shinhan Private Equity Fund 123,098 4 4,737 - - 4,737
Investment Fund 1st 12,018 51 6,081 - - 6,081
META ESG Private Equity Fund I 21,062 27 5,770 - - 5,770
PHAROS DK FUND 10,157 24 2,462 - - 2,462
Shinhan VC tomorrow venture fund 1 114,103 40 45,210 - - 45,210
H-IOTA Fund 38,382 25 9,524 - - 9,524
Fund 28,550 26 7,427 - - 7,427
Tres-Yujin Trust 20,717 50 10,359 - - 10,359
Shinhan-Time mezzanine blind Fund 28,242 50 14,121 - - 14,121
Capstone REITs No.26 11,499 50 5,750 - - 5,750
JB Incheon-Bucheon REITS No.54 12,661 39 4,978 - - 4,978
Hankook Smart Real Asset Investment Trust
No.3 23,005 33 7,668 - - 7,668
JB Hwaseong-Hadong REITs No.53 16,059 31 4,983 - - 4,983
KB Oaktree Trust No.3 26,003 33 8,668 - - 8,668
Company 46,790 48 22,482 - - 22,482
Private Real Estate Investment Trust No.2 211,132 30 62,769 - - 62,769
Shinhan JigaeNamsan Road Private Special
Asset Investment Trust 166,737 25 41,434 - - 41,434
SKS-Yozma Fund No.1 11,574 30 3,455 - - 3,455
KB Distribution Private Real Estate 3-1 69,268 38 25,976 - - 25,976
210
(d) Reconciliation of the financial information to the carrying amounts of its interests in the associates as of December
December 31, 2023

Interests in the
Pacific Private Investment Trust No.49-1 W 34,532 79 27,377 - - 27,377
fund for normal investors No. 31 14,263 60 8,558 - - 8,558
RIFA Real estate private placement fund for
normal investoes No. 51 14,328 40 5,731 - - 5,731
Fivetree general private equity fund No.15 25,154 50 12,572 - - 12,572
Shinhan-Kunicorn first Fund 25,125 38 9,626 - - 9,626
Shinhan-Quantum Startup Fund 8,104 49 3,986 - - 3,986
Shinhan Simone Fund Ⅰ 12,577 38 4,837 - - 4,837
Korea Investment develop seed Trust No.1 23,829 40 9,532 - - 9,532
Tiger Green alpha Trust No.29 30,002 95 28,573 - - 28,573
STIC ALT Global II Private Equity Fund 43,717 22 9,504 - - 9,504
NH-Brain EV Fund 44,498 25 11,125 - - 11,125
Trust Co., Ltd. (*1) 43,808 15 6,571 - 12 6,583
Leverent-Frontier 4th Venture PEF 13,791 24 3,294 - - 3,294
Find-Green New Deal 2nd Equity Fund 19,778 23 4,465 - - 4,465
Investment Association 27,951 16 4,519 - - 4,519
Koramco Private Real Estate Fund 143 22,002 30 6,667 - - 6,667
Korea Investment Top Mezzanine Private
Real Esate Trust No.1 45,074 22 10,016 - - 10,016
No.40 39,128 25 9,782 - - 9,782
Shinhan-Cognitive Start-up Fund L.P. 16,263 33 5,329 - - 5,329
Cornerstone J&M Fund I 13,081 27 3,488 - - 3,488
Logisvalley Shinhan REIT Co.,Ltd. (*1) 22,617 20 4,584 - (986) 3,598
Investment Fund 1 17,328 24 4,099 - - 4,099
Shinhan-Ji and Tec Smart Innovation Fund 19,953 50 9,977 - - 9,977
Mover Venture Investment Equity Fund
1st 13,935 50 6,968 - - 6,968
Trust No.1 36,667 28 10,257 - - 10,257
BTS 2nd Private Equity Fund 24,393 26 6,342 - - 6,342
Shinhan Global Active REIT Co.Ltd. 93,266 20 18,997 - - 18,997
NH-J&-IBKC Label Technology Fund 35,052 28 9,748 - - 9,748
Hanyang Time Mezzanine Fund 10,542 29 3,012 - - 3,012
Shinhan-isquare Venture PEF 1 10,715 40 4,286 - - 4,286
Capstone Develop Frontier Trust 35,221 21 7,547 - - 7,547
Nextrade Co., Ltd. 121,249 8 9,700 - - 9,700
Security Investment Trust No.2 16,613 29 4,834 - - 4,834
Eventus-IBKC LIB Fund 30,317 22 6,632 - - 6,632
IBKC-Behigh Fund 1st 10,828 30 3,219 - - 3,219
ON No.1 Private Equity Fund 18,624 29 5,321 - - 5,321
Fund 19,575 25 4,845 - - 4,845
IBKCJS New Technology Fund No.1 20,841 29 6,130 - - 6,130
211
December 31, 2023

Interests in the
DS-Shinhan-JBWoori New Media New
W
Technology Investment Fund No.1 47,054 21 9,803 - - 9,803
VOGO Debt Strategy General Private Real
Estate Investment Trust No. 18 42,046 29 12,013 - - 12,013
Koramco IPO LEITS Mezzanine General
Private Investment Trust No. 38 4,228 75 3,171 - - 3,171
No. 6 5,271 100 5,270 - - 5,270
No. 7 5,271 100 5,270 - - 5,270
Penture K-Content Investment Fund 25,599 22 5,622 - - 5,622
2023 Shinhan-JB Woori-Daeshin Listed
Companies New Technology Fund 26,562 30 7,969 - - 7,969
PCBO General PEF No. 1 13,790 37 5,107 - - 5,107
Investment Fund 12,249 48 5,927 - - 5,927
Shinhan M&A-ESG Fund 17,868 23 4,169 - - 4,169
Shinhan SM Office Value Add – Outsource
Management Real Estate Investment Co.,
Ltd. - 37,189 28 10,575 - - 10,575
investment fund 24,886 28 6,940 - - 6,940
Technology Investment Trust 10,008 48 4,754 - - 4,754
Shinhan DS Secondary Investment Fund 18,693 40 7,477 - - 7,477
Shinhan-openwater pre-IPO Investment
Trust 1 9,946 50 4,973 - - 4,973
Shinhan-Eco Venture Fund 2nd 9,024 40 3,610 - - 3,610
Technology Investment Trust no. 1 7,884 40 3,154 - - 3,154
Hantoo Shinhan Lake K-beauty Technology
Shinhan HB Wellness 1st Investment Trust 10,284 49 4,992 - - 4,992
212
December 31, 2023

Interests in the
Korea real Asset Fund No.3 W 32,604 29 9,315 - - 9,315
Igis Yongsan Office General PE Real Estate
Inv. Trust No. 518 73,457 31 23,131 - - 23,131
Technology Investment Trust No. 1 19,730 23 4,536 - - 4,536
Time Robotics New Technology Investment
Trust 13,283 30 3,966 - - 3,966
Ascent-welcome Tehcnology Investment
Trust No.2 31,721 28 8,771 - - 8,771
Igis General PE Real Estate Investment
Trust 517-1 53,725 96 51,735 - - 51,735
Consus Osansegyo No.2 16,208 50 8,104 - - 8,104
Investment Trust No.189 (Type 1
Beneficiary Securities) 23,927 33 7,822 - - 7,822
Shinhan AIM Private Fund of Fund 9-B 96,072 25 24,018 - - 24,018
NH Absolute Project L General Private
Investment Trust No. 5 8,994 67 5,994 - - 5,994
Investment Association No.2 11,521 30 3,456 - - 3,456
Association 6,764 78 5,249 - - 5,249
Others 673,313 - 191,051 - 148 191,199
8,484,787 - 2,677,526 (5) 14,510 2,692,031
(*1) Others represents the adjustments of fair value when acquired.

(*2) Others are the amount of fair value adjustments that occurred at the time of acquisition and accumulated losses
that were not recognized due to the suspension of equity method recognition as the investment account balance became
“0” due to the accumulation of losses for the current period.
(*3) Others are the unrecognized equity method for preferred stocks without voting rights issued by the investee.
213
December 31, 2022

Interests in the
BNP Paribas Cardif Life Insurance W 201,205 15 30,161 8 - 30,169
Partners 4th Growth Investment Fund 54,165 25 13,542 - - 13,542
KTB Newlake Global Healthcare PEF 20,945 21 4,309 - - 4,309
Shinhan-Neoplux Energy Newbiz Fund 65,814 32 20,837 - - 20,837
Shinhan-Albatross tech investment Fund 24,507 50 12,253 - - 12,253
Meritz AI-SingA330-A Investment Type
Private Placement Special Asset Fund 17,716 24 4,232 - - 4,232
Meritz AI-SingA330-B Investment Type
Private Placement Special Asset Fund 8,563 20 1,726 - - 1,726
VOGO Debt Strategy Qualified IV Private 30,420 20 6,085 - - 6,085
Shinhan -Midas Dong-A Secondary Fund 8,863 50 4,431 - - 4,431
Equity Fund 26,082 14 3,691 - - 3,691
Real Estate Trust 19 7,922 50 3,961 - - 3,961
Shinhan Global Healthcare Fund 1 (*2) (4,518) 4 (199) - 199 -
KB NA Hickory Private Special Asset Fund 91,572 38 34,339 - - 34,339
Koramco Europe Core Private Placement
Real Estate Fund No.2-2 43,694 44 19,236 - - 19,236
Hermes Private Investment Equity Fund 19,071 29 5,562 - - 5,562
KDBC-Midas Dong-A Global contents Fund 18,393 23 4,277 - - 4,277
Shinhan-Nvestor Liquidity Solution Fund 25,836 25 6,438 - - 6,438
Shinhan AIM FoF Fund 1-A 40,444 25 10,110 - - 10,110
IGIS Global Credit Fund 150-1 18,765 25 4,692 - - 4,692
Partner One Value up I Private Equity Fund 18,428 28 5,144 - - 5,144
Genesis No.1 Private Equity Fund 262,823 23 59,924 - - 59,924
Korea Omega Project Fund III 15,610 24 3,674 - - 3,674
No.1 PEF 20,760 39 8,118 - - 8,118
No.3 185,333 23 43,244 - - 43,244
MIEL CO.,LTD. (*2) (143) 29 (41) - 41 -
Placed Fund Trust #1 125,459 36 44,821 - - 44,821
E&Healthcare Investment Fund No.6 2,839 21 597 - - 597
214
December 31, 2022

Interests in the
One Shinhan Global Fund 1 W 9,495 21 1,948 - - 1,948
Kiwoom-Shinhan Innovation Fund I 18,881 50 9,441 - - 9,441
Midas Asset Global CRE Debt Private Fund
No.6 138,538 41 57,029 - - 57,029
Trust No.3 122,456 20 24,492 - - 24,492
NH-Amundi Global Infrastructure Trust 14 69,919 30 20,975 - - 20,975
Jarvis Memorial Private Investment Trust 1 9,883 99 9,786 - - 9,786
Estate Fund Investment Trust No.37 55,598 60 33,357 - - 33,357
Milestone Private Real Estate Fund 3 59,485 32 19,071 - - 19,071
Nomura-Rifa Private Real Estate Investment
Trust 31 23,519 31 7,364 - - 7,364
Trust No.2 13,961 21 2,969 - - 2,969
Business 11,440 28 3,231 - - 3,231
FuturePlay-Shinhan TechInnovation Fund 1 13,832 50 6,916 - - 6,916
Stonebridge Corporate 1st Fund 8,211 44 3,622 - - 3,622
Fund V 50,446 22 10,915 - - 10,915
Korea Credit Bureau 55,999 9 5,039 - - 5,039
Goduck Gangil1 PFV Co., Ltd. 5,715 1 60 - - 60
SBC PFV Co., Ltd. (*3) 133,851 25 33,463 - (4,995) 28,468
NH-amundi global infra private fund 16 112,423 50 56,211 - - 56,211
IMM Global Private Equity Fund 446,586 33 147,384 - - 147,384
Deutsche Global Professional Investment
Type Private Real Estate Investment Trust
No. 24 43,389 52 22,683 - - 22,683
Sparklabs-Shinhan Opportunity Fund 1 9,356 50 4,631 - - 4,631
BNW Tech-Innovation Private Equity Fund 19,540 30 5,833 - - 5,833
IGIS Real-estate Private Investment Trust
No.33 35,618 41 14,552 - - 14,552
WWG Global Real Estate Investment Trust
no.4 34,959 30 10,331 - - 10,331
Goduck Gangil10 PFV Co., Ltd. 16,263 20 3,236 - - 3,236
No.2 (*1) 30,185 80 24,055 - (2,110) 21,945
TRUST No. 12 168,735 29 48,427 - - 48,427
Shinhan Healthcare Fund 2 (160) 14 (22) - 22 -
215
December 31, 2022

Interests in the
Shinhan AIM Real Estate Fund No.2 W 84,140 30 25,243 - - 25,243
Investment Trust No.7-2 34,437 71 24,598 - - 24,598
Korea Omega-Shinhan Project Fund I 20,043 50 10,022 - - 10,022
ST-Bonanja Food tech 6,775 39 2,631 - - 2,631
Private 45 (*1) 86,123 25 21,531 - 119 21,650
IBK Global New Renewable Energy Special
Asset Professional Private2 115,270 29 33,412 - - 33,412
VS Cornerstone Fund 8,098 41 3,335 - - 3,335
Aone Mezzanine Opportunity Professional
Private 7,777 64 5,009 - - 5,009
Fund2 123,291 26 31,941 - - 31,941
SH Japan Photovoltaic Private Special Asset
Kakao-Shinhan 1st TNYT Fund 43,869 49 21,330 - - 21,330
EQUITY FUND 13,019 20 2,603 - - 2,603
Pacific Private Placement Real Estate Fund
No.40 46,997 25 11,622 - - 11,622
Mastern Private Real Estate Loan Fund No.2 19,025 34 6,387 - - 6,387
Fund 29 42,252 70 29,637 - - 29,637
JR AMC Hungary Budapest Office Fund 16 38,247 33 12,457 - - 12,457
EDNCENTRAL Co.,Ltd. (*2) (23,437) 13 (3,156) - 3,156 -
Fund 26,160 16 4,251 - - 4,251
Gyeonggi-Neoplux Superman Fund 25,116 22 5,467 - - 5,467
NewWave 6th Fund 45,132 30 13,540 - - 13,540
Equity Fund 21,721 6 1,207 - - 1,207
Neoplux No.3 Private Equity Fund 204,529 10 20,454 - - 20,454
PCC Amberstone Private Equity Fund I 86,685 22 18,785 - - 18,785
KIAMCO POWERLOAN TRUST 4TH 91,884 47 43,524 - - 43,524
Mastern Opportunity Seeking Real Estate
Fund II 73,544 20 14,710 - - 14,710
AION ELFIS PROFESSIONAL PRIVATE 1 17,831 20 3,566 - - 3,566
Business 19,235 30 5,709 - - 5,709
216
December 31, 2022

Interests in the
Neoplux Market-Frontier Secondary Fund W 70,729 20 13,960 - - 13,960
Harvest Private Equity Fund II 14,230 22 3,139 - - 3,139
Technology Business Investment Fund 37,743 28 10,632 - - 10,632
KAIM Real-estate Private Investment Trust
20 3,089 38 1,187 - - 1,187
Private Investment Trust 13,455 50 6,727 - - 6,727
Daishin New Technology Investment Fund
5th 10,369 23 2,430 - - 2,430
Technology Fund 18,913 50 9,409 - - 9,409
Special Asset Investment Trust No.2 83,417 30 25,024 - - 25,024
SIMONE Mezzanine Fund No.3 10,419 29 3,017 - - 3,017
Eum Private Equity Fund No.7 43,673 21 9,170 - - 9,170
Kiwoom Hero No.4 Private Equity Fund 16,705 21 3,517 - - 3,517
Fund I 127,747 36 46,329 - - 46,329
SW-S Fund 23,919 30 7,248 - - 7,248
CL Buyout 1st PEF 59,930 21 12,842 - - 12,842
Timefolio The Venture-V second 19,764 21 4,096 - - 4,096
Newlake Growth Capital Partners2 PEF 41,766 30 12,496 - - 12,496
Shinhan Smilegate Global PEF I (*1) 28,792 14 4,091 - (320) 3,771
Genesis Eco No.1 PEF 39,359 29 11,418 - - 11,418
SHINHAN-NEO Market-Frontier 2nd Fund 80,610 43 34,420 - - 34,420
Technology Fund 17,269 37 6,377 - - 6,377
J& Moorim Jade Investment Fund 21,836 25 5,434 - - 5,434
Helios-KDBC Digital Contents 1st 14,431 23 3,356 - - 3,356
Ulmus SHC innovation investment fund 20,326 24 4,886 - - 4,886
Mirae Asset Partners X Private Equity Fund 21,817 36 7,792 - - 7,792
PEF 14,393 31 4,529 - - 4,529
Curious Finale Corporate Recovery Private
Equity Fund 12,925 28 3,591 - - 3,591
TI First Property Private Investment Trust 1 7,817 40 3,127 - - 3,127
Fund 25 10,153 42 4,231 - - 4,231
IBKC Global Contents Investment Fund 18,661 24 4,552 - - 4,552
Nautic Smart No.6 Private Equity Fund 3,121 38 1,178 - - 1,178
217
December 31, 2022

Interests in the
Premier Luminous Private Equity Fund W 35,700 25 8,966 - - 8,966
Hanyang-Meritz 1 Fund 15,348 23 3,466 - - 3,466
KNT 2ND PRIVATE EQUITY FUND (*1) 5,177 22 1,124 - (174) 950
Kiwoom-Shinhan Innovation Fund 2 26,299 43 11,271 - - 11,271
Maple Mobility Fund 83,539 20 16,859 - - 16,859
SJ ESG Innovative Growth Fund 14,689 29 4,197 - - 4,197
Equity Fund 6,638 76 5,057 - - 5,057
JS Shinhan Private Equity Fund 128,727 4 4,953 - - 4,953
NH Kyobo AI Solution Investment Fund 12,601 26 3,288 - - 3,288
Investment Fund 1st 11,273 51 5,704 - - 5,704
META ESG Private Equity Fund I 21,380 27 5,857 - - 5,857
SWFV FUND-1 22,678 40 9,128 - - 9,128
PHAROS DK FUND 15,886 24 3,835 - - 3,835
Shinhan VC tomorrow venture fund 1 67,958 40 26,926 - - 26,926
Highland 2021-8 Fund 14,770 33 4,826 - - 4,826
H-IOTA Fund 38,784 25 9,623 - - 9,623
Fund 34,621 18 6,082 - - 6,082
Tres-Yujin Trust 20,007 50 10,004 - - 10,004
Shinhan-Time mezzanine blind Fund 26,625 50 13,312 - - 13,312
Capstone REITs No.26 7,703 50 3,852 - - 3,852
JB Incheon-Bucheon REITS No.54 12,690 39 4,989 - - 4,989
Trust No.3 20,980 33 6,993 - - 6,993
JB Hwaseong-Hadong REITs No.53 16,084 31 4,991 - - 4,991
KB Oaktree Trust No.3 25,814 33 8,605 - - 8,605
Company (*1) 44,964 48 21,604 - 454 22,058
Investment Fund No.1 (*1) 2,873 28 802 - 2,071 2,873
Private Real Estate Investment Trust No.2 192,851 30 57,334 - - 57,334
Shinhan JigaeNamsan Road Private Special
Asset Investment Trust 163,267 25 40,571 - - 40,571
SKS-Yozma Fund No.1 22,110 30 6,599 - - 6,599
IBKC-METIS Global Contents Investment
Fund 12,513 36 4,550 - - 4,550
Keistone Unicorn Private Equity Fund 22,318 28 6,249 - - 6,249
KB Distribution Private Real Estate 3-1 71,069 38 26,651 - - 26,651
Pacific Private Investment Trust No.49-1 36,126 79 28,641 - - 28,641
fund for normal investors No. 31 14,264 60 8,558 - - 8,558
RIFA Real estate private placement fund for
normal investoes No. 51 14,315 40 5,726 - - 5,726
Fivetree general private equity fund No.15 24,573 50 12,281 - - 12,281
Shinhan-Kunicorn first Fund 25,658 38 9,831 - - 9,831
Harvest Fund No.3 35,488 45 15,854 - - 15,854
Shinhan Simone Fund Ⅰ 12,468 38 4,796 - - 4,796
Korea Investment develop seed Trust No.1 25,604 40 10,242 - - 10,242
218
December 31, 2022

Interests in the
Tiger Green alpha Trust No.29 W 28,146 95 26,806 - - 26,806
STIC ALT Global II Private Equity Fund 45,350 22 9,859 - - 9,859
NH-Brain EV Fund 46,369 25 11,592 - - 11,592
Trust Co., Ltd. (*1) 42,622 15 6,393 - 12 6,405
Find-Green New Deal 2nd Equity Fund 19,969 23 4,508 - - 4,508
Investment Association 27,444 16 4,437 - - 4,437
PARATUS No.3 Private Equity Fund 19,249 26 4,936 - - 4,936
Golden Route 2nd Startup Venture
Specialized Private Equity Fund 13,214 23 3,003 - - 3,003
Koramco Private Real Estate Fund 143 10,000 30 3,030 - - 3,030
Korea Investment Top Mezzanine Private
Real Esate Trust No.1 44,477 22 9,885 - - 9,885
No.40 38,992 25 9,748 - - 9,748
Shinhan-Cognitive Start-up Fund L.P. (*1) 30,358 33 9,939 - 14 9,953
IGEN2022 No.1 private Equity Fund 32,361 28 9,045 - - 9,045
Cornerstone J&M Fund I 13,353 27 3,561 - - 3,561
Logisvalley Shinhan REIT Co.,Ltd. (*1) 23,629 20 4,790 - (986) 3,804
KDB Investment Global Healthcare Private
Equity Fund I 142,794 24 34,468 - - 34,468
Trust No.1 20,431 28 5,714 - - 5,714
BTS 2nd Private Equity Fund 14,505 26 3,772 - - 3,772
Shinhan Global Active REIT Co.Ltd. 94,370 20 19,222 - - 19,222
NH-J&-IBKC Label Technology Fund 35,477 28 9,866 - - 9,866
IMM Global Venture Opportunity, LP 8,775 36 3,115 - - 3,115
Capstone Develop Frontier Trust 32,000 21 6,857 - - 6,857
Nextrade Co., Ltd. (*1) 141,421 8 11,314 - (1,614) 9,700
Trust No.1 11,194 27 3,011 - - 3,011
Security Investment Trust No.2 15,865 29 4,601 - - 4,601
Eventus-IBKC LIB Fund 27,590 22 6,035 - - 6,035
NH-Daishin-Kyobo healthcare 1 Fund 15,792 25 3,948 - - 3,948
IBKC-Behigh Fund 1st 10,992 30 3,268 - - 3,268
investment No.1 Private Equity Fund 16,419 24 3,956 - - 3,956
ON No.1 Private Equity Fund 18,767 29 5,362 - - 5,362
Fund 16,420 30 4,946 - - 4,946
Others 797,590 - 228,801 - 1,422 230,223
W 9,416,618 - 2,907,155 8 (2,689) 2,904,474
(*1) Others represents the adjustments of fair value when acquired.

(*2) Others are the amount of fair value adjustments that occurred at the time of acquisition and accumulated losses
that were not recognized due to the suspension of equity method recognition as the investment account balance became
“0” due to the accumulation of losses for the current period.
(*3) Others are the unrecognized equity method for preferred stocks without voting rights issued by the investee.
219
(e) The unrecognized equity method losses as of and for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Unrecognized equity Cumulative unrecognized
Investees method losses equity method losses
MIEL CO.,LTD. W - (41)
Shinhan Global Healthcare Fund 1 61 (153)
Shinhan Global Healthcare Fund 2 75 (21)
EDNCENTRAL Co.,Ltd. (4,679) (5,677)
Kiwoom Milestone Professional Private Real
Estate Trust 19 (19,433) (19,433)
W (23,976) (25,325)
December 31, 2022

Unrecognized equity Cumulative unrecognized
Investees method losses equity method losses
MSTEEL co.Ltd. W (371) (371)
MIEL CO.,LTD. - (41)
Shinhan Global Healthcare Fund 1 (61) (214)
Shinhan Global Healthcare Fund 2 (82) (96)
EDNCENTRAL Co.,Ltd. (504) (998)
W (1,018) (1,720)
220
17. Investment properties
(a) Investment properties as of December 31, 2023 and 2022 are as follows:

Acquisition cost W 410,475 513,986
Accumulated depreciation (152,669) (150,878)
Carrying amount W 257,806 363,108
(b) Changes in investment properties for the years ended December 31, 2023 and 2022 are as follows:

Beginning balance W 363,108 675,391
Acquisition 5,479 10,090
Disposal (106,344) (230,148)
Depreciation (15,058) (18,115)
Amounts transferred from (to) property and equipment 16,678 9,554
Amounts transferred from(to) assets held for sale(*) (6,057) (83,664)
Ending balance W 257,806 363,108
(*) Comprise buildings and land, etc.
(c) Income and expenses on investment property for the years ended December 31, 2023 and 2022 are as follows:

Rental income W 24,472 33,366
Direct operating expenses for investment properties that generated rental
income 12,905 16,980
(d) The fair value of investment property as of December 31, 2023 and 2022 is as follows:

Land and buildings (*) W 1,044,491 1,063,031
(*) Fair value of investment properties is estimated based in the recent market transaction conditions with an
independent third party and certain significant unobservable inputs. Accordingly, fair value of investment properties
is classified as level 3.
221
18. Other assets
Other assets as of December 31, 2023 and 2022 are as follows:

Accounts receivable W 17,048,595 11,489,203
Domestic exchange settlement debit 5,024,787 6,034,816
Guarantee deposits 1,002,119 1,016,748
Discounted present value (52,660) (51,864)
Accrued income 3,908,205 3,289,481
Prepaid expense 304,161 784,630
Provisional payments 405,201 378,993
Sundry assets 98,104 96,190
Advance payments 408,857 288,466
Leased assets 2,078,742 1,932,791
Others 165,163 173,864
Allowances for credit loss of other assets (465,430) (362,204)
W 29,925,844 25,071,114
19. Leases
(a) Gross investment and present value of minimum lease payment of finance lease as of December 31, 2023 and
December 31, 2023

Unrealized interest Present value of minimum
Gross investment income lease payment
Not later than 1 year W 898,235 95,269 802,966
1 ~ 2 years 458,736 28,398 430,338
2 ~ 3 years 359,893 19,220 340,673
3 ~ 4 years 324,331 6,155 318,176
4 ~ 5 years 155,615 6,399 149,216
Later than 5 years 1,411 3 1,408
W 2,198,221 155,444 2,042,777
(*) Interest income on finance lease receivables recognized for the year ended December 31, 2023 is W 108,514
million.
December 31, 2022

Unrealized interest Present value of minimum
Gross investment income lease payment
1 ~ 2 years 477,216 55,860 421,356
2 ~ 3 years 379,998 36,353 343,645
3 ~ 4 years 312,014 20,816 291,198
4 ~ 5 years 250,568 7,415 243,153
W 2,075,637 202,734 1,872,903
(*) Interest income on finance lease receivables recognized for the year ended December 31, 2022 is W64,679 million.
222
19. Leases (continued)
(b) Minimum lease payment receivable schedule for lease contracts of the Group as lessor as of December 31, 2023
i) Finance lease
December 31, 2023

Minimum lease Present value Present value of minimum
payment adjustment lease payment
1 ~ 2 years 458,736 28,398 430,338
2 ~ 3 years 359,893 19,220 340,673
3 ~ 4 years 324,331 6,155 318,176
4 ~ 5 years 155,615 6,399 149,216
W 2,198,221 155,444 2,042,777
December 31, 2022

Minimum lease Present value Present value of minimum
payment adjustment lease payment
1 ~ 2 years 477,216 55,860 421,356
2 ~ 3 years 379,998 36,353 343,645
3 ~ 4 years 312,014 20,816 291,198
4 ~ 5 years 250,568 7,415 243,153
W 2,075,637 202,734 1,872,903
ii) Operating lease
Minimum lease payment

Not later than 1 year W 576,017 513,245
1 ~ 2 years 460,075 439,678
2 ~ 3 years 320,463 322,125
3 ~ 4 years 177,914 189,375
4 ~ 5 years 55,548 72,000
Later than 5 years 453 6,997
W 1,590,470 1,543,420
(c) Changes in operating lease assets for the years ended December 31, 2023 and 2022 are as follows:

Acquisition 762,996 1,017,137
Disposal (171,192) (128,950)
Depreciation (445,006) (351,208)
Amounts transferred from (to) property and equipment (221) (214)
Ending balance W 2,077,080 1,930,503
223
(d) The details of the right-of-use assets by the lessee’s underlying asset type as of December 31, 2023 and 2022 are
as follows:
December 31, 2023

Accumulated
Acquisition cost depreciation Carrying amount
Real estate W 1,282,462 (715,521) 566,941
Vehicle 57,534 (29,117) 28,417
Others 38,031 (26,914) 11,117
W 1,378,027 (771,552) 606,475
December 31, 2022

Accumulated
Acquisition cost depreciation Carrying amount
Real estate W 1,124,151 (538,076) 586,075
Vehicle 51,644 (29,317) 22,327
Others 32,933 (22,125) 10,808
W 1,208,728 (589,518) 619,210
(e) The details of the changes in the right-of-use assets for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Real estate Vehicle Others Total
Acquisition 340,809 23,039 6,876 370,724
Disposal (66,392) (3,388) (1,272) (71,052)
Depreciation (*) (294,895) (13,565) (5,295) (313,755)
movements 1,344 4 - 1,348
Ending balance W 566,941 28,417 11,117 606,475
December 31, 2022

Real estate Vehicle Others Total
Acquisition 350,328 14,834 3,991 369,153
Disposal (72,323) (2,404) (836) (75,563)
Depreciation (*) (271,299) (12,004) (4,583) (287,886)
movements 4,277 52 (1) 4,328
Business combination 1,051 - - 1,051
Ending balance W 586,075 22,327 10,808 619,210
(*) Included in general administrative expense, other operating income(expense) and insurance service expense of
224
(f) The details of the maturity of the lease liability as of December 31, 2023 and 2022 are as follows:
December 31, 2023

1 month ~ 3 months ~ 6 months ~ 1 year ~
1 month 3 months 6 months 1 year 5 years More than
or less or less or less or less or less 5 years Total
Real estate W 35,167 36,612 51,621 83,202 305,694 54,961 567,257
Vehicle 6,908 1,705 2,380 5,559 18,333 434 35,319
Others 639 658 1,223 2,438 6,380 - 11,338
W 42,714 38,975 55,224 91,199 330,407 55,395 613,914
December 31, 2022

1 month ~ 3 months ~ 6 months ~ 1 year ~
1 month 3 months 6 months 1 year 5 years More than
or less or less or less or less or less 5 years Total
Real estate W 26,601 34,980 48,209 84,706 315,267 74,190 583,953
Vehicle 4,999 1,851 2,543 4,566 13,910 92 27,961
Others 463 588 1,151 2,219 6,994 10 11,425
W 32,063 37,419 51,903 91,491 336,171 74,292 623,339
(*) The above amounts are based on undiscounted cash flows, and have been classified at the earliest maturity that
the Group has the obligation to pay.
(g) The lease payments for low-value assets and short-term leases for the years ended December 31, 2023 and 2022
are as follows:

Low-value assets W 7,016 6,888
Short-term lease (*) 1,841 268
Total W 8,857 7,156
(*) The payments for leases with terms less than 1 month are included.
225
20. Pledged assets
(a) Assets pledged as collateral as of December 31, 2023 and 2022 are as follows:
December 31, 2023 December 31, 2022 Reasons for collateral
Loans at fair value through Pledge for borrowing

profit or loss W 49,902 - transaction
Pledge for borrowing
Loans at amortized cost
124,420 - transaction
Securities:
Securities at FVTPL 18,525,421 12,714,420 Customer RP, etc.
Borrowings, Settlement
Securities at FVOCI security for Bank of Korea,
12,164,955 9,383,156 Borrowing securities, etc.
Borrowings, Settlement
Securities at amortized cost security for Bank of Korea,
17,659,715 14,913,535 Customer RP, etc.
48,350,091 37,011,111
Deposits at amortized cost 1,500,246 1,883,725 Borrowings, etc.

Property and Equipment Establishing the right to
(real estate) 5,039 29,288 collateral security, etc.
W 50,029,698 38,924,124
(*) The carrying amounts of assets pledged that the pledgees have the right to sell or re-pledge regardless of the
Group’s default as of December 31, 2023 and 2022 are W 16,345,580 million and W9,754,980 million, respectively.
(b) The fair value of collateral held that the Group has the right to sell or re-pledge regardless of the pledger’s default
as of December 31, 2023 and 2022 are as follows:

The fair value of The fair value of
The fair value of collateral sold or The fair value of collateral sold or
assets received as re-provided as assets received as re-provided as
collateral collateral collateral collateral
Securities W 14,372,408 - 3,750,199 -
226
21. Deposits
Deposits as of December 31, 2023 and 2022 are as follows:

Demand deposits:
Korean won W 128,035,326 132,604,867
Foreign currencies 23,141,715 24,841,409
151,177,041 157,446,276
Time deposits:
Korean won 175,191,964 171,355,724
Foreign currencies 26,914,722 24,910,187
202,106,686 196,265,911
Certificates of deposits 12,059,730 14,921,375
Discount note deposits 7,614,701 6,631,858
CMA 4,950,392 4,634,010
Others 3,604,114 3,088,864
W 381,512,664 382,988,294
227
22. Financial liabilities at fair value through profit or loss
Financial liabilities at fair value through profit or loss as of December 31, 2023 and 2022 are as follows:

Securities sold:
Stocks W 628,225 278,341
Bonds 477,626 438,689
Others 343,783 7,074
1,449,634 724,104
Gold/silver deposits 419,343 422,006
W 1,868,977 1,146,110
23. Financial liabilities designated at fair value through profit or loss
(a) Financial liabilities designated at fair value through profit or loss as of December 31, 2023 and 2022 are as follows:
December 31, 2023 December 31, 2022 Reason for designation

Equity-linked securities sold W 5,610,256 5,437,434 Compound financial
Securities sold with embedded derivatives 1,931,639 2,882,607 instrument
Fair value measurement
Debt securities issued
254,832 47,327 and management
W 7,796,727 8,367,368
(*) The Group designated the financial liabilities at the initial recognition (or subsequently) in accordance with paragraph
6.7.1 of K-IFRS No. 1109 as financial liabilities at fair value through profit or loss.
Maximum credit risk exposure of the financial liabilities designated at fair value through profit or loss amounts to
W 7,796,727 million as of December 31, 2023. Increase in values of the liability due to credit risk changes is W
4,011 million for the year ended December 31, 2023 and the accumulated changes in values are W(-)5,278 million
as of December 31, 2023.
(b) The difference between the carrying amount of financial liabilities designated at fair value through profit or loss
and the amount required to be paid at contractual maturity as of December 31, 2023 and 2022 are as follows:
Expiration payment W 7,519,962 7,733,506

Carrying amount 7,796,727 8,367,368
Difference from carrying amount W (276,765) (633,862)
228
24. Borrowings
Borrowings as of December 31, 2023 and 2022 are as follows:

Interest Interest
rate (%) Amount rate (%) Amount
Borrowings denominated in Korean won:
Borrowings from Bank of Korea 2.00~2.00 W 2,562,162 0.25~1.75 W 5,100,325
Others 0.00~7.83 25,077,825 0.00~7.60 23,091,971
27,639,987 28,192,296
Borrowings denominated in foreign currencies:
Overdraft due from banks 0.00~0.00 34,072 0.00~0.30 48,072
Borrowings from banks 0.00~14.85 7,331,197 0.15~21.20 7,811,701
Others 0.00~17.50 2,674,834 0.00~22.65 2,397,605
10,040,103 10,257,378
Call money 0.02~5.88 2,195,849 0.05~6.30 1,276,301

Bill of sale 0.00~3.65 11,252 0.00~3.95 15,057
Bonds sold under repurchase agreements 0.00~6.74 17,312,576 0.00~6.80 9,544,536
Deferred origination costs (298,415) (6,393)
W 56,901,352 W 49,279,175
229
25. Debt securities issued
Debt securities issued as of December 31, 2023 and 2022 are as follows:

Interest Interest
rate (%) Amount rate (%) Amount
Debt securities issued in Korean won:
Debt securities issued 0.00~7.70 W 65,801,744 0.05~9.00 W 61,038,481
Subordinated debt securities issued 2.20~5.20 2,860,105 2.20~4.17 3,275,225
Gain on fair value hedges - (225,750) - (348,700)
Discount on debt securities issued - (53,857) - (37,943)
68,382,242 63,927,063
Debt securities issued in foreign
currencies:
Debt securities issued 0.25~7.36 9,697,265 0.25~7.59 9,586,831
Subordinated debt securities issued 3.34~5.00 3,768,942 3.34~5.10 4,145,264
Gain on fair value hedges - (240,483) - (324,901)
Discount on debt securities issued - (46,241) - (45,474)
13,179,483 13,361,720
W 81,561,725 W 77,288,783
26. Defined benefit plans
(a) Defined benefit plan assets and obligations
The Group has operated a defined benefit plan and calculates defined benefit obligations based on the employee's
pension compensation benefits and service period.
Defined benefit obligations and plan assets as of December 31, 2023 and 2022 are as follows:

Present value of defined benefit obligations W 2,219,490 1,934,643
Fair value of plan assets (2,266,248) (2,376,817)
Recognized liability (asset) for defined benefit obligations (*) W (46,758) (442,174)
(*) The asset for defined benefit obligation of W46,758 million as of December 31, 2023 is the net defined benefit
assets of W114,378 million less the net defined liabilities of W67,620 million. In addition, the asset for defined benefit
obligation of W442,174 million as of December 31, 2022 is the net defined benefit liabilities of W456,838 million
less the net defined assets of W14,664 million.
230
26. Defined benefit plans (continued)
(b) Changes in the present value of defined benefit obligation and plan assets for the years ended December 31,
December 31, 2023

Net defined
Defined benefit benefit liabilities
obligation Plan assets (assets)
Beginning balance W 1,934,643 (2,376,817) (442,174)
Included in profit or loss:
Current service cost 143,259 - 143,259
Past service cost 92 - 92
Net interest expense (income) 104,546 (138,254) (33,708)
Settlement loss (gain) 7,633 5 7,638
255,530 (138,249) 117,281
Included in other comprehensive income:
Remeasurement loss:
- Actuarial losses arising from:
Demographic assumptions 106,072 - 106,072
Financial assumptions 123,204 1,723 124,927
Experience adjustment 5,925 - 5,925
- Return on plan assets excluding interest
income 195 34,233 34,428
235,396 35,956 271,352
Other:
Benefits paid by the plan (207,515) 295,185 87,670
Contributions paid into the plan (13) (82,323) (82,336)
Changes in the scope of consolidation 93 - 93
Effect of changes in foreign exchange rates 1,356 - 1,356
(206,079) 212,862 6,783
Ending balance W 2,219,490 (2,266,248) (46,758)
231
(b) Changes in the present value of defined benefit obligation and plan assets for the years ended December 31,
2023 and 2022 are as follows (continued):
December 31, 2022

Net defined
Defined benefit benefit liabilities
obligation Plan assets (assets)
Beginning balance W 2,205,869 (2,296,685) (90,816)
Included in profit or loss:
Current service cost 170,772 - 170,772
Past service cost 8,330 - 8,330
Net interest expense (income) 72,307 (78,823) (6,516)
Settlement loss (gain) (466) - (466)
250,943 (78,823) 172,120
Included in other comprehensive income:
Remeasurement loss (gain):
- Actuarial losses (gains) arising from:
Demographic assumptions (938) - (938)
Financial assumptions (419,764) - (419,764)
Experience adjustment 35,758 - 35,758
- Return on plan assets excluding interest
income - 36,725 36,725
(384,944) 36,725 (348,219)
Other:
Benefits paid by the plan (138,290) 145,130 6,840
Contributions paid into the plan - (183,164) (183,164)
Changes in the scope of consolidation 1,507 - 1,507
Effect of changes in foreign exchange rates (442) - (442)
(137,225) (38,034) (175,259)
Ending balance W 1,934,643 (2,376,817) (442,174)
(*) Profit and loss related to defined benefit plans are all included in the general administrative expense.
232
(c) The composition of plan assets as of December 31, 2023 and 2022 are as follows:

Plan assets comprise:
Debt securities W 5,002 31,140
Due from banks 2,044,101 2,115,397
Others 217,145 230,280
W 2,266,248 2,376,817
(d) Actuarial assumptions as of December 31, 2023 and 2022 are as follows:
December 31, 2023 December 31, 2022 Description

Discount rate 4.00%~5.20% 5.05%~5.93% AA0 corporate bond yields
0.00%~7.00% 2.00%~7.00%
Future salary increase rate Average for 5 years
+ Upgrade rate + Upgrade rate
1.00 years~ 6.7 years~
Weighted average maturity
11.50 years 10.9 years
(e) Sensitivity analysis
As of December 31, 2023 and 2022, reasonably possible changes in one of the relevant actuarial assumptions, holding
other assumptions constant, would have affected the defined benefit obligation by the amounts shown below.
December 31, 2023

Defined benefit obligation
Increase Decrease
Discount rate (1%p movement) W (190,760) 205,916
Future salary increase rate (1%p movement) 209,531 (196,909)
December 31, 2022

Defined benefit obligation
Increase Decrease
Discount rate (1%p movement) W (154,651) 168,565
Future salary increase rate (1%p movement) 172,716 (160,649)
(f) The Group's estimated contribution is W 162,769 million as of December 31, 2024.
27. Provisions
(a) Provisions as of December 31, 2023 and 2022 are as follows:

Asset retirement obligations W 99,927 91,571
Expected loss related to litigation 31,371 29,238
Unused credit commitments 355,591 317,590
Guarantee contracts issued 63,161 83,411
Financial guarantee contracts issued 39,998 55,828
Non-financial guarantee contracts issued 23,163 27,583
Others (*) 819,616 744,504
W 1,369,666 1,266,314
(*) As of December 31, 2023 and 2022, the Group recognizes a provision of W 360,137 million and W 574,013 million,
respectively, an estimated amount which is highly probable to be paid for customer losses expected due to delays in
redemption of Lime CI funds, etc. As of December 31, 2023, the Group recognizes a provision of W 293,824 million
for vulnerable groups such as self-employed people, small business owners and institutions supporting vulnerable
groups, etc. in accordance with the “Banking financial support plan for people’s livelihood.”
233
27. Provisions (continued)
(b) Changes in provision for unused credit commitments and financial guarantee contracts issued for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Unused credit commitments Financial guarantee contracts issued
12 months expected Life time expected Impaired 12 months expected Life time expected Impaired financial
credit loss credit loss financial asset credit loss credit loss asset Total
Beginning balance W 175,562 139,998 2,030 48,113 7,687 28 373,418

Transfer (from) to 12 months
expected credit loss 65,058 (64,897) (161) 3,921 (3,921) - -
expected credit loss (13,466) 13,502 (36) (7,659) 7,659 - -
Transfer (from) to impaired
financial asset (609) (1,953) 2,562 (530) - 530 -
Provided (reversed) (20,883) 42,506 15,327 150 70 (14) 37,156
Change in foreign exchange
rate 1,025 26 - 294 92 1 1,438
OtOthers (*) - - - (12,287) (3,997) (139) (16,423)
Ending balance W 206,687 129,182 19,722 32,002 7,590 406 395,589
(*) Others include effects of the provision from the new financial guarantee contracts measured at fair value, and the expired contracts, the change of discount rate and others.
234
(b) Changes in provision for unused credit commitments and financial guarantee contracts issued for the years ended December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Unused credit commitments Financial guarantee contracts issued
12 months expected Life time expected Impaired 12 months expected Life time expected Impaired financial
credit loss credit loss financial asset credit loss credit loss asset Total
Beginning balance W 150,573 147,511 1,924 48,607 6,709 28 355,352

Transfer (from) to 12 months
expected credit loss 68,226 (67,945) (281) 2,680 (2,680) - -
expected credit loss (10,794) 10,842 (48) (3,715) 3,715 - -
Transfer (from) to impaired
financial asset (316) (1,274) 1,590 - - - -
Provided (reversed) (30,016) 50,733 (1,155) (972) 537 5 19,132
Change in foreign exchange
rate (2,068) 131 - 910 118 - (909)
OtOthers (*) (43) - - 603 (712) (5) (157)
Ending balance W 175,562 139,998 2,030 48,113 7,687 28 373,418
(*) Others include effects of the provision from the new financial guarantee contracts measured at fair value, and the expired contracts, the change of discount rate and others.
235
(c) Changes in provisions for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Asset
retirement Litigation Guarantee Others Total
Beginning balance W 91,571 29,238 27,583 744,504 892,896
Provision(reversal) 4,771 2,266 (4,856) 516,735 518,916
Provision used (5,157) (193) - (446,545) (451,895)
Change in foreign
exchange rate - - 412 1,127 1,539
Others (*) 8,742 60 24 3,795 12,621
Ending balance W 99,927 31,371 23,163 819,616 974,077
December 31, 2022

Asset
retirement Litigation Guarantee Others Total
Beginning balance W 82,123 9,693 26,578 693,110 811,504
Provision(reversal) 27,474 20,733 (410) 127,460 175,257
Provision used (25,228) (779) - (75,355) (101,362)
Change in foreign
exchange rate 4 - 1,352 315 1,671
Others (*) 7,090 (409) 63 (1,026) 5,718
Business combination 108 - - - 108
Ending balance W 91,571 29,238 27,583 744,504 892,896
(*) Others include increase in provisions based on the present value, the effect of changes in discount rate over the
period and others.
(d) Asset retirement obligation liabilities represent the estimated cost to restore the existing leased properties which
is discounted to the present value using the appropriate discount rate at the end of the reporting period. Disbursements
of such costs are expected to incur at the end of lease contract. Such costs are reasonably estimated using the average
lease year and the average restoration expenses. The average lease year is calculated based on the past ten-year
historical data of the expired leases. The average restoration expense is calculated based on the actual costs incurred
for the past three years using the three-year average inflation rate.
(e) Allowance for guarantees and acceptances as of December 31, 2023 and 2022 are as follows:

Outstanding guarantees and acceptances W 12,503,445 12,154,088
Contingent guarantees and acceptances 4,337,751 4,565,829
ABS and ABCP purchase commitments 1,533,047 1,496,604
Endorsed bill 44 10,025
W 18,374,287 18,226,546
Allowance for loss on guarantees and acceptances W 63,161 83,411
Ratio % 0.34 0.46
236
28. Liability under insurance contracts
(a) The details of insurance contract liabilities as of December 31, 2023 and 2022 are as follow:
December 31, 2023

Life insurance Non-life insurance
Pension
Death Health Savings Variable Etc. Complex Long-term General Car Total
Insurance contract assets W - - - - - - (444) (10,210) - (10,654)
Insurance contract liabilities (*) 16,895,075 5,347,357 20,536,870 5,445,493 5,001 - - 102,921 1,515 48,334,232
Net insurance contract liability
(asset) total 16,895,075 5,347,357 20,536,870 5,445,493 5,001 - (444) 92,711 1,515 48,323,578
Reinsurance contract assets - - - - - 62,815 - 25,538 - 88,353
Reinsurance contract liabilities (27,046) (66,075) - - - - (41) (78) - (93,240)
Total net reinsurance contract
assets (liabilities) W (27,046) (66,075) - - - 62,815 (41) 25,460 - (4,887)
December 31, 2022

Pension
Death Health Savings Variable Etc. Complex Long-term General Car Total
Insurance contract assets W - - - - - - - - - -
Insurance contract liabilities (*) 14,562,428 4,989,899 21,137,691 5,124,028 1,528 - 3,376 85,672 1,767 45,906,389
Net insurance contract liability
(asset) total 14,562,428 4,989,899 21,137,691 5,124,028 1,528 - 3,376 85,672 1,767 45,906,389
Reinsurance contract assets - - - - - 59,018 - 29,754 - 88,772
Reinsurance contract liabilities (24,661) (38,109) - - - - - (33) - (62,803)
Total net reinsurance contract
assets (liabilities) W (24,661) (38,109) - - - 59,018 - 29,721 - 25,969
(*) As of December 31, 2023 and 2022, contractor's share adjustment amount is excluded W (-) 1,024 million and W (-) 1,616 million, respectively.
237
28. Liability under insurance contracts (continued)
(b) The assumptions and calculation basis for the current estimates of future cash flows applied to the holding contract as of December 31, 2023 and 2022 are as follow:
Assumption value (%)

December 31, 2023 December 31, 2022 Transition point Basis for calculation
Life insurance:
Cancellation rate 0.00~73.78 0.00~78.00 0.00~78.00 The ratio of the cancellation contract amount to the maintenance
contract amount by payment category, product group, interest rate
category, channel, and elapsed period calculated based on the last
5 years of experience statistics.
Loss rate 17.00 ~ 756.00 9.00~ 771.00 11.00 ~ 833.00 - Other than general mortality: Ratio of accident insurance
premium to on-level risk insurance premium by risk coverage and
elapsed period based on the last five years of experience statistics
- General mortality: Ratio of actual mortality rate to expected
mortality rate by risk coverage and elapsed period based on
empirical statistics from the past five years
Operating expense rate - - - Based on the Group's experience statistics for the past one year or
more, the business plan (budget) that reflects the future operating
expense policy is used as basic statistics to calculate proportional
unit costs such as conversion results, planner fees, number of
new/existing contracts, new/continuing insurance premiums, and
reserves.
Discount rate 3.75 ~ 4.80 4.38 ~ 5.17 1.55 ~ 4.95 Interest rate term structure based on Financial Supervisory Service
disclosure standards
Risk adjustment confidence 75.00 75.00 75.00 Under the assumption that the probability distribution of the
level for non-financial risks present value of future cash flows at each reporting time follows a
normal distribution, the portion where the 75% percentile exceeds
the probability-weighted average of the present value of future
cash flows is calculated as risk adjustment.
238
(b) The assumptions and calculation basis for the current estimates of future cash flows applied to the holding contract as of December 31, 2023 and 2022 are as follow: (continued)

Non-life insurance:
Cancellation rate General: 0.54~38.56 General: 5.10~38.90 General: 0.10~39.60 General: Calculated as the ratio of the number of and effective
contracts compared to the number of contracts with experience
from July 2017 to June 2023
Long-term: 1.60~25.25 Long-term: 10.50~25.50 Long-term: 7.00~26.00 Long-term: Calculated as the ratio of the number of canceled and
effective contracts compared to the number of contracts with
experience from October 2017 to June 2023
* In case of long-term new products, application assumptions are
used during product development due to lack of experience
statistics of the consolidated entity.
Loss rate General: Calculated as the ratio of incurred losses to experienced

General: 24.47~112.27 General: 48.80~100.00 General: 13.60~158.30
risk insurance premiums from July 2016 to June 2023
Long-term: Calculated as the ratio of incurred losses to
Long-term: 40.99~187.70 Long-term: 44.10~171.50 Long-term: 33.60~137.70 experienced risk insurance premiums from October 2017 to June
2023
*In case of long-term new products, application assumptions are
statistics of the Group.
239
(b) The assumptions and calculation basis for the current estimates of future cash flows applied to the holding contract as of December 31, 2023 and 2022 are as follow: (continued)
Operating expense rate Contract conclusion cost: Contract conclusion cost: Contract conclusion cost: Using the Group's experience statistics for the year immediately
Variable cost (%) Variable cost (%) 4.99~13.16 Variable cost (%) 6.02~10.96 preceding the calculation (October 2022 - September 2023), the
11.73~2170.24 Fixed cost (won) 921~3,769 Fixed cost (won) 902~1,896 operating expense unit price was subdivided by workload and type
Fixed cost (won) of work on a portfolio basis, and calculated by applying the
44,653~68,795 variable cost/fixed ratio according to the operating expense
allocation standard.
Contract maintenance cost: Contract maintenance cost: Contract maintenance cost:
Variable cost (%) 31.73~36.37 Variable cost (%) 4.7~21.19 Variable cost (%) 2.4~22.56 Contract conclusion cost
Fixed cost (won) 2,220~2,538 Fixed cost (won) 0~2,004 Fixed cost (won) 0~1,655 - Variable cost: Distribution of contract variable cost compared to imported
insurance premium
Damage investigation cost (%) Damage investigation cost (%) Damage investigation cost - Fixed cost: Fixed cost distribution for contract conclusion compared to
11.65~14.30 8.38~26.9 (%) 20.7~30.7 the number of new contracts
Contract maintenance cost

- Variable cost: Variable cost allocation for contract maintenance compared
to earned insurance premiums
- Fixed cost: Fixed cost allocation for contract maintenance compared to
the number of contracts held
Damage investigation cost: Amount of damage investigation cost

allocated to the amount of damage incurred
*In case of long-term new products, application assumptions are
statistics of the consolidated entity
Discount rate 4.55~4.80 4.71~4.95 1.546~4.95 Interest rate term structure based on Financial Supervisory Service
disclosure standards
Risk adjustment confidence 75.00 75.00 75.00 Under the assumption that the probability distribution of the
level for non-financial risks present value of future cash flows at each reporting time follows a
normal distribution, the portion where the 75% percentile exceeds
the probability-weighted average of the present value of future
cash flows is calculated as risk adjustment.
240
(c) The details of changes in the remaining coverage elements and occurrence elements of net insurance contract liabilities that did not apply the premium distribution for the years
ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Remaining coverage elements Accident factors that
Excluding loss factors Loss factor occur Total
Beginning balance Insurance contract assets W - - - -
Insurance contract liabilities 43,128,619 880,115 1,810,028 45,818,762
Net insurance contract liabilities 43,128,619 880,115 1,810,028 45,818,762
Insurance income Retroactive modification method (1,484,047) - - (1,484,047)

Fair value method (958,369) - - (958,369)
Etc. (417,542) - - (417,542)
(2,859,958) - - (2,859,958)
Accrued insurance premiums and other
Insurance service expenses
incurred insurance service expenses - - 1,513,580 1,513,580
Changes in incident fulfillment cash flow - - 11,468 11,468
Costs related to onerous contracts - (35,360) - (35,360)
Amortization of insurance acquisition
cash flows 262,280 - - 262,280
Etc. (21,048) (16,548) - (37,596)
241,232 (51,908) 1,525,048 1,714,372
Investment factors and insurance premium refund (5,281,435) - 5,281,435 -
Insurance finance income and expenses Current profit or loss 2,134,312 21,300 62,861 2,218,473
Other comprehensive income 2,924,797 35,025 1,172 2,960,994
W 5,059,109 56,325 64,033 5,179,467
241
(c) The details of changes in the remaining coverage elements and occurrence elements of net insurance contract liabilities that did not apply the premium distribution approach for the
years ended December 31, 2023 and 2022 are as follow (continued)
December 31, 2023

Cash flow for the period Insurance premium received W 6,209,129 - - 6,209,129
Insurance acquisition cash flow payment (979,176) - - (979,176)
Payment of insurance benefits and other
insurance service expenses (715) - (1,497,502) (1,498,217)
Receipt (payment) of investment
elements and refund of insurance
premiums - - (5,355,137) (5,355,137)
5,229,238 - (6,852,639) (1,623,401)
Other increase/decrease 269 (490) 101 (120)
Ending balance Insurance contract assets (493) - 49 (444)
Net insurance contract liabilities W 45,517,074 884,042 1,828,006 48,229,122
242
years ended December 31, 2023 and 2022 are as follow (continued):
December 31, 2022

Beginning balance Insurance contract assets W - - - -
Net insurance contract liabilities 50,883,599 984,570 1,861,002 53,729,171
Insurance income Retroactive modification method (1,653,048) - - (1,653,048)

fair value law (945,620) - - (945,620)
Etc. (132,798) - - (132,798)
(2,731,466) - - (2,731,466)
incurred insurance service expenses 165 - 1,478,369 1,478,534
Changes in incident fulfillment cash flow - - (37,104) (37,104)
Costs related to loss-bearing contracts - (7,810) - (7,810)
Cash flows 214,103 - - 214,103
Etc. 15,772 (14,929) - 843
230,040 (22,739) 1,441,265 1,648,566
Investment factors and insurance premium refund (5,790,725) - 5,790,725 -
Insurance finance income and expenses Current profit or loss 785,938 19,074 58,382 863,394
Other comprehensive income (6,290,667) (101,576) (4,093) (6,396,336)
W (5,504,729) (82,502) 54,289 (5,532,942)
243
years ended December 31, 2023 and 2022 are as follow (continued):
December 31, 2022

Cash flow for the period Insurance premium received W 6,875,883 - - 6,875,883
Insurance acquisition cash flow payment (841,325) - - (841,325)
insurance service expenses 5,221 - (1,463,750) (1,458,529)
premiums - - (5,873,670) (5,873,670)
6,039,779 - (7,337,420) (1,297,641)
Business combination 2,058 849 167 3,074
Other increase/decrease 63 (63) - -
Ending balance Insurance contract assets - - - -
Net insurance contract liabilities W 43,128,619 880,115 1,810,028 45,818,762
244
(d) The changes in the remaining coverage elements and occurrence elements of net insurance contract liabilities applying the premium allocation approach for the years ended
December 31, 2023 and 2022 are as follow:
December 31, 2023
Accident factors that
Remaining coverage elements occur
Present value estimate Risk adjustment for
Excluding loss factors Loss factor of future cash flows non-financial risks Total
Beginning balance Insurance contract assets W - - - - -
Insurance contract liabilities 78,665 3,139 5,372 451 87,627
Net insurance contract liabilities 78,665 3,139 5,372 451 87,627
Insurance income (39,641) - - - (39,641)

incurred insurance service expenses 33 - 29,966 1,093 31,092
Changes in incident fulfillment cash flow - - (2,669) (684) (3,353)
Costs related to loss-bearing contracts 23 2,449 - - 2,472
Cash flows 4,126 - - - 4,126
Etc. - - 70 - 70
4,182 2,449 27,367 409 34,407
Investment factors and insurance premium refund (9) - 9 - -
Insurance finance income and expenses Current profit or loss 2,412 - 67 10 2,489
Other comprehensive income - - 23 2 25
2,412 - 90 12 2,514
Cash flow for the period Insurance premium received 46,680 - - - 46,680
Insurance acquisition cash flow payment (12,751) - - - (12,751)
insurance service expenses - - (22,643) - (22,643)
premiums - - 288 - 288
33,929 - (22,355) - 11,574
Other increase/decrease (1,684) (770) 307 122 (2,025)
Ending balance Insurance contract assets (10,670) 3 450 7 (10,210)
Net insurance contract liabilities W 77,854 4,818 10,790 994 94,456
245
(d) The changes in the remaining coverage elements and occurrence elements of net insurance contract liabilities applying the premium allocation approach for the years ended
December 31, 2023 and 2022 are as follow (continued):
December 31, 2022
Accident factors that
Remaining coverage elements occur
Present value estimate Risk adjustment for
Excluding loss factors Loss factor of future cash flows non-financial risks Total
Beginning balance Insurance contract assets W - - - - -
Insurance contract liabilities 219 - 348 23 590
Net insurance contract liabilities 219 - 348 23 590
Insurance income (10,264) - - - (10,264)

incurred insurance service expenses 8,187 - 3,903 5 12,095
Changes in incident fulfillment cash flow - - 1,257 225 1,482
Costs related to loss-bearing contracts (178) 2,364 - - 2,186
Cash flows 3,541 - - - 3,541
Etc. - - - - -
11,550 2,364 5,160 230 19,304
Investment factors and insurance premium refund (2) - 2 - -
Insurance finance income and expenses Current profit or loss 618 - (5) - 613
Other comprehensive income - - (1) - (1)
618 - (6) - 612
Cash flow for the period Insurance premium received 31,741 - - - 31,741
Insurance acquisition cash flow payment (8,488) - - - (8,488)
insurance service expenses (7,396) - (3,514) - (10,910)
premiums - - (2) - (2) -
15,857 - (3,516) - 12,341
Business Combination 60,687 775 3,384 198 65,044
Ending balance Insurance contract assets - - - - -
Net insurance contract liabilities W 78,665 3,139 5,372 451 87,627
246
(e) Changes by measurement element in net insurance contract liabilities without applying the premium allocation approach for the years ended December 31, 2023 and 2022 are as
follow:
December 31, 2023

Present value estimate Risk adjustment for Contractual service margin
of future cash flows non-financial risks Retrospective method Fair value method Etc. Sub-total Total
Beginning balance Insurance contract assets W - - - - - - -
Insurance contract liabilities 34,851,591 1,151,768 6,765,720 2,351,146 698,537 9,815,403 45,818,762
Net insurance contract
liabilities 34,851,591 1,151,768 6,765,720 2,351,146 698,537 9,815,403 45,818,762
Changes related to future Change in contractual
services service margin adjustment
estimate 350,007 (84,549) (659,780) 570,862 (176,540) (265,458) -
Change in unadjusted
estimate of contractual
service margin (46,697) (4,196) - - (158) (158) (51,051)
Initial recognition effect of
new contracts for the
current period (991,607) 105,353 - - 901,945 901,945 15,691
(688,297) 16,608 (659,780) 570,862 725,247 636,329 (35,360)
Changes related to Contractual service margin
current service amortization - - (536,399) (215,795) (162,449) (914,643) (914,643)
Risk-adjusted change - (101,902) - - - - (101,902)
Experience adjustment (105,141) (8) - - - - (105,149)
(105,141) (101,910) (536,399) (215,795) (162,449) (914,643) (1,121,694)
Changes related to past Adjustment of accident
services factors 21,880 (10,412) - - - - 11,468
247
follow (continued):
December 31, 2023

Insurance finance
Current profit or loss
income and expenses W 1,848,652 42,200 203,297 76,583 47,741 327,621 2,218,473
Other comprehensive
income 2,907,587 53,407 - - - - 2,960,994
4,756,239 95,607 203,297 76,583 47,741 327,621 5,179,467
Cash flow for the period Insurance premium received 6,209,129 - - - - - 6,209,129
Insurance acquisition cash
flow payment (979,176) - - - - - (979,176)
Payment of insurance
benefits and other
insurance service
expenses (1,498,217) - - - - - (1,498,217)
Receipt (payment) of
investment elements and
refund of insurance
premiums (5,355,137) - - - - - (5,355,137)
(1,623,401) - - - - - (1,623,401)
Other increase/decrease (117) (3) - - - - (120)
Ending balance Insurance contract assets (743) 124 - - 175 175 (444)
Insurance contract liabilities 37,213,497 1,151,534 5,772,838 2,782,796 1,308,901 9,864,535 48,229,566
liabilities W 37,212,754 1,151,658 5,772,838 2,782,796 1,309,076 9,864,710 48,229,122
248
(e) Changes by measurement element in net insurance contract liabilities without applying the premium allocation approach as of December 31, 2023 and 2022 are as follow (continued):
December 31, 2022

Beginning balance Insurance contract assets W - - - - - - -
Insurance contract liabilities 42,860,167 1,273,126 7,528,543 2,067,335 - 9,595,878 53,729,171
liabilities 42,860,167 1,273,126 7,528,543 2,067,335 - 9,595,878 53,729,171
Changes related to future Change in contractual
services service margin adjustment
estimate (46,515) 7,259 (370,905) 434,892 (24,732) 39,255 (1)
Change in unadjusted
estimate of contractual
service margin (75,617) (808) - - - - (76,425)
current period (792,097) 106,962 - - 753,751 753,751 68,616
(914,229) 113,413 (370,905) 434,892 729,019 793,006 (7,810)
Changes related to Contractual service margin
current service amortization - - (632,727) (218,251) (50,830) (901,808) (901,808)
Risk-adjusted change - (109,301) - - - - (109,301)
Experience adjustment (26,844) - (33) - - (33) (26,877)
(26,844) (109,301) (632,760) (218,251) (50,830) (901,841) (1,037,986)
Changes related to past Adjustment of accident
services factors (27,113) (9,991) - - - - (37,104)
249
follow (continued):
December 31, 2022

Insurance finance
Current profit or loss
income and expenses W 501,746 36,907 240,829 67,170 16,742 324,741 863,394
Other comprehensive
income (6,243,862) (152,474) - - - - (6,396,336)
(5,742,116) (115,567) 240,829 67,170 16,742 324,741 (5,532,942)
Cash flow for the period Insurance premium received 6,875,883 - - - - - 6,875,883
Insurance acquisition cash
flow payment (841,325) - - - - - (841,325)
Payment of insurance
benefits and other
insurance service
expenses (1,458,529) - - - - - (1,458,529)
Receipt (payment) of
investment elements and
refund of insurance
premiums (5,873,670) - - - - - (5,873,670)
(1,297,641) - - - - - (1,297,641)
Business Combination (633) 88 13 - 3,606 3,619 3,074
Ending balance Insurance contract assets - - - - - - -
Insurance contract liabilities 34,851,591 1,151,768 6,765,720 2,351,146 698,537 9,815,403 45,818,762
liabilities W 34,851,591 1,151,768 6,765,720 2,351,146 698,537 9,815,403 45,818,762
250
(f) Details of insurance contracts that did not apply the premium allocation approach recognized for the first time for the years ended December 31, 2023 and 2022 are as follow:
December 31, 2023

Present value estimate of future cash outflows
Other than insurance
acquisition cash flow Insurance acquisition Present value estimate Risk adjustment for Contractual service
amount cash flow amount of future cash inflows non-financial risks margin Total
Contract recognized for the Except for loss burden contract set W 2,790,412 975,895 (4,766,973) 98,721 901,945 -
first time in the period Loss burden contract set 154,524 63,685 (209,150) 6,632 - 15,691
W 2,944,936 1,039,580 (4,976,123) 105,353 901,945 15,691
December 31, 2022

Contract recognized for the Except for loss burden contract set W 2,314,596 783,758 (3,948,951) 96,846 753,751 -
first time in the period Loss burden contract set 705,278 120,272 (767,050) 10,116 - 68,616
W 3,019,874 904,030 (4,716,001) 106,962 753,751 68,616
251
(g) The amount expected to be recognized in profit or loss in the future as contractual service margin for insurance contracts that do not apply the premium distribution approach as of
December 31, 2023 and 2022 are as follow:
December 31, 2023

Less than 1~2 2~5 5~10
1 year years years years More than 10 years Total
Contractual Service Margin W 867,208 759,132 1,851,145 2,185,854 4,201,371 9,864,710
December 31, 2022

Less than 1~2 2~5 5~10
1 year years years years More than 10 years Total
Contractual Service Margin W 834,346 738,947 1,820,472 2,179,243 4,242,395 9,815,403
(h) The composition details and fair value amounts of basic items of insurance contracts with direct participation characteristics as of December 31, 2023 and 2022 are as follow:
(*) December 31, 2023 December 31, 2022

Cash and amortized cost measurement deposits W 322,933 381,923
Financial assets measured at fair value through profit or loss 3,934,491 3,831,526
Amortized cost loan receivables 66,790 44,319
derivatives 674 (961)
Etc. 81,468 79,950
W 4,406,356 4,336,757
(*) As of December 31, 2023 and 2022, the book value of financial assets (liabilities) of variable insurance is W 5,940,453 million and W 5,695,788 million.
252
(i) The details of changes in the remaining coverage elements and occurrence elements of reinsurance contract assets (liabilities) for which the premium distribution approach was not
applied for the years ended December 31, 2023 and 2022 are as follow:
December 31, 2023

Beginning balance Reinsurance contract assets W 8,453 5,236 45,328 59,017
Reinsurance contract liabilities (106,247) 22,662 20,815 (62,770)
Net reinsurance contract assets
(liabilities) (97,794) 27,898 66,143 (3,753)
Reinsurance revenue Accrued reinsurance amount - - 72,651 72,651

Etc. (1) (115) - (116)
(1) (115) 40,551 40,435
Reinsurance service expense Fair value method (52,637) - - (52,637)
Etc. (19,767) 318 - (19,449)
(72,404) 318 - (72,086)
Recovery of investment elements and reinsurance premiums (152,684) - 152,684 -
Reinsurance finance income and expense Current profit or loss (2,156) 29 1,263 (864)
Other comprehensive income (28,793) 384 116 (28,293)
W (30,949) 413 1,379 (29,157)
253
applied for the years ended December 31, 2023 and 2022 are as follow (continued) :
December 31, 2023

Remaining coverage elements
Excluding loss recovery Accident factors that
factors Loss recovery factor occur Total
Cash flow for the period Reinsurance premium paid W 229,319 - - 229,319
Recovery of reinsurance proceeds and
other reinsurance profits - - (43,405) (43,405)
Receipt of investment elements and
recovery of reinsurance premiums - - (152,052) (152,052)
229,319 - (195,457) 33,862
Other increase/decrease 745 (347) (47) 351
Ending balance Reinsurance contract assets 19,436 5,055 38,323 62,814
(liabilities) W (123,768) 28,167 65,253 (30,348)
254
December 31, 2022

Beginning balance Reinsurance contract assets W - - - -
(liabilities) (372,952) 31,824 59,364 (281,764)
Reinsurance revenue Accrued reinsurance amount - - 66,383 66,383

Etc. - (5,724) - (5,724)
- (5,724) 40,706 34,982
Reinsurance service expense Fair value method (53,430) - - (53,430)
Etc. (8,898) - - (8,898)
(62,328) - - (62,328)
Recovery of investment elements and reinsurance premiums (146,377) - 146,377 -
Reinsurance finance income and expense Current profit or loss (1,852) 73 600 (1,179)
Other comprehensive income 45,085 1,725 (490) 46,320
W 43,233 1,798 110 45,141
255
December 31, 2022

Remaining coverage elements
Excluding loss recovery Accident factors that
factors Loss recovery factor occur Total
Cash flow for the period Reinsurance premium paid W 440,630 - - 440,630
Recovery of reinsurance proceeds and
other reinsurance profits - - (35,130) (35,130)
Receipt of investment elements and
recovery of reinsurance premiums - - (145,284) (145,284)
440,630 - (180,414) 260,216
Ending balance Reinsurance contract assets 8,453 5,236 45,328 59,017
(liabilities) W (97,794) 27,898 66,143 (3,753)
256
(j) Details of changes in the remaining coverage elements and occurrence elements of reinsurance contract assets (liabilities) applying the premium distribution approach for the years
ended December 31, 2023 and 2022 are as follow:
December 31, 2023
Remaining coverage elements Accident factors that occur
Excluding loss Present value estimate Risk adjustment for
recovery factors Loss recovery factor of future cash flows non-financial risks Total
Beginning balance Reinsurance contract assets W 26,901 75 2,659 120 29,755
Reinsurance contract liabilities - - (33) - (33)
Net reinsurance contract assets (liabilities) 26,901 75 2,626 120 29,722
Reinsurance revenue
Accrued reinsurance amount
- - 2,813 79 2,892
Changes in incident fulfillment cash flow - 1,194 318 (71) 1,441
Etc. 217 - - - 217
217 1,194 3,131 8 4,550
Reinsurance service expense (10,104) - - - (10,104)
Recovery of investment elements and reinsurance premiums - - - - -
Reinsurance finance income and expense Current profit or loss 915 - 27 3 945
Other comprehensive income - - 9 1 10
915 - 36 4 955
Cash flow for the period Reinsurance premium paid 3,716 - - - 3,716
Recovery of reinsurance proceeds and other
reinsurance profits - - (1,079) - (1,079)
Receipt of investment elements and recovery
of reinsurance premiums - - - - -
3,716 - (1,079) - 2,637
Other increase/decrease (1,733) (49) (489) (28) (2,299)
Ending balance Reinsurance contract assets 19,971 1,220 4,244 104 25,539
Reinsurance contract liabilities (59) - (19) - (78)
Net reinsurance contract assets (liabilities) W 19,912 1,220 4,225 104 25,461
257
(j) Details of changes in the remaining coverage elements and occurrence elements of reinsurance contract assets (liabilities) applying the premium distribution approach for the years
ended December 31, 2023 and 2022 are as follow (continued):
December 31, 2022

Remaining coverage elements Accident factors that occur
Excluding loss Present value estimate Risk adjustment for
recovery factors Loss recovery factor of future cash flows non-financial risks Total
Beginning balance Reinsurance contract assets W - - - - -
Reinsurance contract liabilities - - - - -
Net reinsurance contract assets (liabilities) - - - - -
Reinsurance revenue
Accrued reinsurance amount
- - 614 (8) 606
Changes in incident fulfillment cash flow - (65) 667 84 686
Etc. - - - - -
- (65) 1,281 76 1,292
Reinsurance service expense (1,582) - - - (1,582)
Recovery of investment elements and reinsurance premiums - - - - -
Reinsurance finance income and expense Current profit or loss 255 - (6) - 249
Other comprehensive income - - - - -
255 - (6) - 249
Cash flow for the period Reinsurance premium paid 14,052 - - - 14,052
Recovery of reinsurance proceeds and other
reinsurance profits - - (447) - (447)
Receipt of investment elements and recovery
of reinsurance premiums - - - - -
14,052 - (447) - 13,605
Business Combination 14,176 140 1,798 44 16,158
Ending balance Reinsurance contract assets 26,901 75 2,659 120 29,755
Reinsurance contract liabilities - - (33) - (33)
Net reinsurance contract assets (liabilities) W 26,901 75 2,626 120 29,722
258
(k) Changes by measurement element in reinsurance contract assets (liabilities) for which the premium distribution approach was not applied for the years ended December 31, 2023
and 2022 are as follow:
December 31, 2023

of future cash flows non-financial risks Fair value method Etc. Sub-total Total
Beginning balance Reinsurance contract assets W (52,365) 16,522 47,211 47,649 94,860 59,017
liabilities (168,825) 22,870 68,110 15,075 83,185 (62,770)
Net reinsurance contract
assets (liabilities) (221,190) 39,392 115,321 62,724 178,045 (3,753)
Changes related to future services Change in contractual
service margin adjustment
estimate 42,958 4,630 (71,099) 24,721 (46,378) 1,210
current period (10,008) 1,254 - 8,924 8,924 170
32,950 5,884 (71,099) 33,645 (37,454) 1,380
Changes related to current service Contractual service margin
amortization - - (8,120) (7,269) (15,389) (15,389)
Risk-adjusted change - (2,485) - - - (2,485)
Experience adjustment 16,943 - - - - 16,943
16,943 (2,485) (8,120) (7,269) (15,389) (931)
Changes related to past services Adjustment of accident
factors W (31,062) (1,038) - - - (32,100)
259
and 2022 are as follow (continued) :
December 31, 2023

Reinsurance finance income and
Current profit or loss W
expenses (8,686) 1,711 3,188 2,923 6,111 (864)
Other comprehensive
income (31,987) 3,694 - - - (28,293)
(40,673) 5,405 3,188 2,923 6,111 (29,157)
Cash flow for the period Reinsurance premium paid 229,319 - - - - 229,319
Recovery of reinsurance
proceeds and other
reinsurance profits (43,405) - - - - (43,405)
Receipt of investment
elements and refund of
insurance premiums (152,052) - - - - (152,052)
33,862 - - - - 33,862
Other increase/decrease 351 - - - - 351
Ending balance Reinsurance contract assets (26,683) 18,538 15,224 55,735 70,959 62,814
liabilities (182,136) 28,620 24,066 36,288 60,354 (93,162)
assets (liabilities) W (208,819) 47,158 39,290 92,023 131,313 (30,348)
260
and 2022 are as follow (continued):
December 31, 2022

Beginning balance Reinsurance contract assets W - - - - - -
liabilities (421,703) 42,240 97,699 - 97,699 (281,764)
assets (liabilities) (421,703) 42,240 97,699 - 97,699 (281,764)
Changes related to future services Change in contractual
service margin adjustment
estimate (34,424) 3,218 26,001 468 26,469 (4,737)
current period (68,578) 6,142 - 64,486 64,486 2,050
(103,002) 9,360 26,001 64,954 90,955 (2,687)
Changes related to current service Contractual service margin
amortization - - (11,589) (4,433) (16,022) (16,022)
Risk-adjusted change - (2,445) - - - (2,445)
Experience adjustment 19,485 - - - - 19,485
19,485 (2,445) (11,589) (4,433) (16,022) 1,018
Changes related to past services Adjustment of accident
factors W (24,999) (678) - - - (25,677)
261
and 2022 are as follow (continued) :
December 31, 2022

Reinsurance finance income and Current profit or loss W (8,125) 1,533 3,210 2,203 5,413 (1,179)
expense Other comprehensive
income 56,938 (10,618) - - - 46,320
48,813 (9,085) 3,210 2,203 5,413 45,141
Cash flow for the period Reinsurance premium paid 440,630 - - - - 440,630
Recovery of reinsurance
proceeds and other
reinsurance profits (35,130) - - - - (35,130)
Receipt of investment
elements and refund of
insurance premiums (145,284) - - - - (145,284)
260,216 - - - - 260,216
Ending balance Reinsurance contract assets (52,365) 16,522 47,211 47,649 94,860 59,017
liabilities (168,825) 22,870 68,110 15,075 83,185 (62,770)
assets (liabilities) W (221,190) 39,392 115,321 62,724 178,045 (3,753)
262
(l) Details of reinsurance contracts that did not apply the premium allocation approach recognized for the first time for the years ended December 31, 2023 and 2022 are as follow:
December 31, 2023

Contract recognized for the first Except for net profit contract set W 71,470 - (61,101) (1,104) (9,307) (42)
time in the period Net profit contract set 6,322 - (6,683) (150) 383 (128)
W 77,792 - (67,784) (1,254) (8,924) (170)
December 31, 2022

Contract recognized for the first Except for net profit contract set W 443,000 - (371,957) (5,557) (65,860) (374)
time in the period Net profit contract set 24,043 - (26,508) (585) 1,374 (1,676)
W 467,043 - (398,465) (6,142) (64,486) (2,050)
263
(m) The amount of contractual service margin for reinsurance contracts that do not apply the premium allocation approach as of December 31, 2023 and 2022 is expected to be
recognized in profit or loss in the future as follows:
December 31, 2023

Less than 1~2 2~5 5~10
1 year years year year More than 10 year Total
Reinsurance contract assets W (5,256) (4,777) (12,166) (15,305) (33,455) (70,959)
Reinsurance contract liabilities (5,692) (4,947) (11,507) (12,251) (25,957) (60,354)
W (10,948) (9,724) (23,673) (27,556) (59,412) (131,313)
December 31, 2022

Less than 1~2 2~5 5~10
1 year years year year More than 10 year Total
Reinsurance contract assets W (7,364) (6,682) (16,987) (21,143) (42,684) (94,860)
Reinsurance contract liabilities (7,487) (6,495) (15,387) (17,968) (35,848) (83,185)
W (14,851) (13,177) (32,374) (39,111) (78,532) (178,045)
264
(n) Details of insurance profits and losses for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Retroactive modification
method Fair value method Etc. Total
Expected insurance premiums and other
Unapplied premium allocation approach
expected insurance service expenses W 776,917 706,136 90,916 1,573,969
Risk-adjusted change amount 55,712 36,036 24,797 116,545
Contractual service margin amortization 536,399 215,795 162,449 914,643
Recovery of insurance acquisition cash
flows 133,781 337 128,162 262,280
Etc. (*) (18,762) 65 11,218 (7,479)
1,484,047 958,369 417,542 2,859,958
Premium allocation approach 29,504 - 10,137 39,641
Insurance revenue subtotal 1,513,551 958,369 427,679 2,899,599

incurred insurance service expenses 794,824 644,118 74,638 1,513,580
Changes in incident fulfillment cash flow (5,104) 14,944 1,628 11,468
Costs related to loss-bearing contracts (74,960) 8,286 31,314 (35,360)
cash flows 133,868 337 128,075 262,280
Etc. (*) (10,235) 1,451 (28,812) (37,596)
838,393 669,136 206,843 1,714,372
Premium allocation approach 37,657 - (3,250) 34,407
Insurance service expense subtotal W 876,050 669,136 203,593 1,748,779
265
(n) Details of insurance profits and losses for the years ended December 31, 2023 and 2022 are as follows (continued):
December 31, 2023

Unapplied premium allocation approach Accrued reinsurance amount W 27 67,051 5,573 72,651
Changes in incident fulfillment cash flow 2 (29,952) (2,150) (32,100)
Etc. (*) (1) (2,021) 1,906 (116)
28 35,078 5,329 40,435
Premium allocation approach 4,550 - - 4,550
Reinsurance revenue subtotal 4,578 35,078 5,329 44,985
Unapplied premium allocation approach Expected reinsurance amount - 41,537 7,324 48,861
Risk-adjusted change amount - 3,227 626 3,853
Contractual service margin amortization - 8,120 7,269 15,389
Etc. (*) - (247) 4,230 3,983
- 52,637 19,449 72,086
Premium allocation approach 5,375 - 4,729 10,104
Reinsurance service expense subtotal 5,375 52,637 24,178 82,190
W 636,704 271,674 205,237 1,113,615
266
December 31, 2022

Expected insurance premiums and other
expected insurance service expenses W 772,251 690,905 28,087 1,491,243
Risk-adjusted change amount 71,839 36,260 12,115 120,214
Contractual service margin amortization 632,727 218,251 50,830 901,808
Recovery of insurance acquisition cash
flows 169,488 216 44,399 214,103
Others (*) 6,743 (12) (2,633) 4,098
1,653,048 945,620 132,798 2,731,466
Premium allocation approach 9,915 - 349 10,264
Insurance revenue subtotal 1,662,963 945,620 133,147 2,741,730

incurred insurance service expenses 790,309 647,065 41,160 1,478,534
Changes in incident fulfillment cash flow (425) (36,823) 144 (37,104)
Costs related to onerous contracts (69,089) (5,444) 66,723 (7,810)
cash flows 169,488 216 44,399 214,103
Others (*) 21,764 2,691 (23,612) 843
912,047 607,705 128,814 1,648,566
Premium allocation approach 18,450 - 854 19,304
Insurance service expense subtotal W 930,497 607,705 129,668 1,667,870
267
December 31, 2022

Unapplied premium allocation approach Accrued reinsurance amount W - 62,436 3,947 66,383
Changes in incident fulfillment cash flow - (26,236) 559 (25,677)
Etc. (*) - (7,804) 2,080 (5,724)
- 28,396 6,586 34,982
Reinsurance revenue subtotal 1,292 28,396 6,586 36,274
Unapplied premium allocation approach Expected reinsurance amount - 39,103 1,949 41,052
Risk-adjusted change amount - 3,242 270 3,512
Contractual service margin amortization - 11,589 4,433 16,022
Etc. (*) - (504) 2,246 1,742
- 53,430 8,898 62,328
Reinsurance service expense subtotal 1,582 53,430 8,898 63,910
W 732,176 312,881 1,167 1,046,224
(*) Include amounts allocated to loss components, etc.
268
29. Insurance finance income and expense
Details of insurance finance income and expense for the years ended December 31, 2023 and 2022 are as follow:
December 31, 2023

General Variable Retirement Long-term General Car Total
Insurance finance Insurance contract
income Exchange rate fluctuation effect W 13,656 - - - - - 13,656
Discount rate change effect - - - - - - -
Etc. 38,384 91,062 - - - - 129,446
52,040 91,062 - - - - 143,102
Reinsurance contract Discount rate change effect - - - - (38) - (38)
52,040 91,062 - - (38) - 143,064
Insurance finance
expense Insurance contract Exchange rate fluctuation effect 19,345 - - - - - 19,345
Discount rate change effect - - - - - - -
Etc. 935 638,881 - - - - 639,816
20,280 638,881 - - - - 659,161
Total insurance finance income and expense recognized in current profit or loss 31,760 (547,819) - - (38) - (516,097)
Insurance finance income and expense recognized as other comprehensive income (*) (2,970,845) 9,841 - (15) - - (2,961,019)
Reinsurance finance income and expense recognized in other comprehensive income
(*) (28,276) - - (7) - - (28,283)
Total insurance finance income and expense recognized in profit or loss and other
comprehensive income W (2,967,361) (537,978) - (22) (38) - (3,505,399)
(*) Finance income and expense recognized as other comprehensive income are before deducting corporate tax effects.
269
29. Insurance finance income and expense (continued)
Details of insurance finance income and expense for the years ended December 31, 2023 and 2022 are as follow (continued):
December 31, 2022

General Variable Retirement Long-term General Car Total
Insurance finance Insurance contract
- - - - 2,364
income Exchange rate fluctuation effect W 2,364 -
Discount rate change effect - - - 27 10 - 37
Etc. 21,162 827,377 - - - - 848,539
23,526 827,377 - 27 10 - 850,940
Insurance finance
- - - -
expense Insurance contract Exchange rate fluctuation effect 25,870 - 25,870
Etc. 219 16,881 - - - 17,100
26,089 16,881 - - - - 42,970
Reinsurance contract Exchange rate fluctuation effect - - - - 6 - 6
26,089 16,881 - - 6 - 42,976
Total insurance finance income and expense recognized in current profit or loss (2,563) 810,496 - 27 4 - 807,964
Insurance finance income and expense recognized as other comprehensive income (*) 6,330,587 65,750 - - - - 6,396,337
Reinsurance finance income and expense recognized in other comprehensive income
(*) 46,320 - - - - - 46,320
Total insurance finance income and expense recognized in profit or loss and other
comprehensive income W 6,374,344 876,246 - 27 4 - 7,250,621
(*) Finance income and expense recognized as other comprehensive income are before deducting corporate tax effects.
270
30. Investment contract liabilities
Details of investment contract liabilities as of December 31, 2023 and 2022 are as follow:

Financial liabilities measured at amortized cost (*) W 1,572,685 2,133,586
(*) This is retirement pension policyholder reserve.
31. Other liabilities
Other liabilities as of December 31, 2023 and 2022 are as follows:

Lease liabilities (*) W 613,914 623,339
Accounts payable 18,917,257 12,343,884
Accrued expenses 5,877,135 4,418,363
Dividend payable 8,809 34,698
Advance received 168,940 186,134
Unearned income 492,886 448,094
Withholding value-added tax and other taxes 876,814 751,695
Securities deposit received 2,552,266 2,451,521
Foreign exchange settlement pending 302,322 359,422
Domestic exchange settlement pending 9,238,159 2,308,574
Payable from trust account 6,537,565 6,579,457
Due to agencies 801,976 718,082
Deposits for subscription 30,729 18,931
Sundry liabilities 2,394,202 2,149,160
Others 45,221 42,824
Present value discount (135,855) (97,703)
W 48,722,340 33,336,475
(*) As of December 31, 2023, the Group accounts for the lease liabilities as other liabilities. For the year ended
December 31, 2023, the amount of variable lease payments that are not included in the measurement of lease liabilities
is W 23,272 million, cash outflows from leases are W 293,240 million, and interest expense on lease liabilities is W
18,855 million. For the year ended December 31, 2022, the amount of variable lease payments that are not included
in the measurement of lease liabilities is W 12,337 million, cash outflows from leases are W 279,406 million, and
interest expense on lease liabilities is W 13,379 million
271
32. Equity
(a) Equity as of December 31, 2023 and 2022 are as follows:

Capital stock:
Common stock (*1) W 2,695,586 2,608,176
Preferred stock (*1) 274,055 361,465
2,969,641 2,969,641
Hybrid bond 4,001,731 4,196,968
Capital surplus:
Share premium 11,352,744 11,352,819
Others 742,224 742,224
12,094,968 12,095,043
Capital adjustments (658,664) (582,859)
Accumulated other comprehensive income, net of tax:

Loss on financial assets at fair value through other comprehensive
income (3,503,542) (6,669,931)
Equity in other comprehensive loss of associates (970) (8,126)
Foreign currency translation adjustments for foreign operations (118,517) (112,283)
Net loss from cash flow hedges (35,108) (96,388)
Remeasurement of net defined benefit liabilities (assets) (292,328) (91,993)
Changes in own credit risk on financial liabilities designated under fair
value option (3,884) (5,155)
Net finance income on insurance contract assets (liabilities) 2,866,623 5,039,081
Net finance income on reinsurance contract assets (liabilities) 13,273 34,045
(1,074,453) (1,910,750)
Retained earnings (*2),(*3),(*4) 36,387,314 33,963,799
Non-controlling interest (*5),(*6) 2,601,328 2,691,716

W 56,321,865 53,423,558
(*1) Convertible preferred shares of 17,482,000 that were issued on May 1, 2019 have been converted into common
shares at a 1:1 ratio on May 1, 2023.
(*2) As of December 31, 2023 and 2022, profits reserved by the Group in accordance with Article 53 of the Financial
Holding Companies Act amounted to W 2,698,360 million and W2,573,435 million, respectively.
(*3) As of December 31, 2023 and 2022, the regulatory reserve for loan losses the Group appropriated in retained
earnings are W 21,078 million and W18,524 million, respectively.
(*4) As of December 31, 2023, profit dividends within retained earnings of subsidiaries of the Group restricted in
accordance with laws, etc. are amounted to W 7,543,306 million.
(*5) As of December 31, 2023 and 2022, the total amounts of hybrid bonds that Shinhan Bank, Jeju Bank, Shinhan
Capital Co,.Ltd. and Shinhan Life Insurance Co., Ltd. issued are W 2,437,561 million and W2,537,569 million,
respectively, and are recognized as non-controlling interests. And, for the years ended December 31, 2023 and 2022,
the amounts of dividends paid for the hybrid bonds of Shinhan Bank, Jeju Bank, Shinhan Capital Co,.Ltd. and Shinhan
Life Insurance Co., Ltd. W 106,715 million and W81,262 million, respectively, are allocated to profit attributed to
non-controlling interest.
(*6) During the year ended December 31, 2022, non-controlling interests decreased by W 89,912 million due to the
acquisition of remaining shares by Shinhan Asset Trust Co., Ltd., and non-controlling interests increased by W 19,454
million due to paid-in capital increase of Shinhan EZ General Insurance Co., Ltd.
272
(In millions of won, except per share data)
32. Equity (continued)
(b) Capital stock
i) Capital stock of the Group as of December 31, 2023 and 2022 are as follows:

Number of authorized shares 1,000,000,000 1,000,000,000
Common Preferred Common Preferred
Types of stock
stocks stocks stocks stocks
Par value per share in won W 5,000 - 5,000 5,000
Number of issued common stocks 512,759,471 - 508,784,869 17,482,000
Capital stock (*) W 2,695,586 274,055 2,608,176 361,465
(*) Due to profit retirement, the capital is different from the total face value of issued stocks.
(ii) The details of changes in the number of common shares outstanding as of December 31, 2023 and 2022 are as
follows:

Beginning balance 508,778,517 516,593,202
Increase 17,482,000 -
Decrease (13,507,398) (7,814,685)
Ending balance 512,753,119 508,778,517
(iii) The details of convertible preferred stock as of December 31, 2023 and 2022 are as follows:
Beginning balance 17,482,000 17,482,000
Decrease (*) (17,482,000) -
Ending balance - 17,482,000
(*) Convertible preferred shares of 17,482,000 that were issued on May 1, 2019 have been converted into common
shares at a 1:1 ratio on May 1, 2023.
(c) Hybrid bonds
Hybrid bonds classified as other equity instruments as of December 31, 2023 and 2022 are as follows:
Interest December 31, December 31,

Issue date Maturity date rate (%) 2023 2022
June 25, 2015 June 25, 2045 4.38 W 199,455 199,455
September 15, 2017 Perpetual bond 4.25 89,783 89,783
April 13, 2018 Perpetual bond - - 134,678
April 13, 2018 Perpetual bond 4.56 14,955 14,955
August 29, 2018 Perpetual bond - - 398,679
June 28, 2019 Perpetual bond 3.27 199,476 199,476
September 17, 2020 Perpetual bond 3.12 448,699 448,699
KRW March 16, 2021 Perpetual bond 2.94 429,009 429,009
March 16, 2021 Perpetual bond 3.30 169,581 169,581
January 25, 2022 Perpetual bond 3.90 560,438 560,438
January 25, 2022 Perpetual bond 4.00 37,853 37,853
August 26, 2022 Perpetual bond 4.93 343,026 343,026
August 26, 2022 Perpetual bond 5.15 55,803 55,803
January 30, 2023 Perpetual bond 5.14 398,831 -
July 13, 2023 Perpetual bond 5.40 498,815 -
August 13, 2018 Perpetual bond - - 559,526
USD
May 12, 2021 Perpetual bond 2.88 556,007 556,007
W 4,001,7314,196,968
(*) For the year ended December 31, 2023, the deduction for capital related to hybrid bonds issued is W 2,354
million.
273
(c) Hybrid bonds (continued)
The hybrid bonds above can be repaid early after 5 or 10 years from the date of issuance, and the controlling company
has an unconditional right to extend the maturity under the same condition or change them to perpetual bonds.
(d) Capital adjustments
(i) Changes in capital adjustments for the years ended December 31, 2023 and 2022 are as follows:

Beginning balance W (582,859) (664,429)
Acquisition of treasury stocks (485,947) (300,000)
Disposal and retirement of treasury stocks 485,947 300,000
The acquisition commitment amount for subsidiaries’ remaining shares - 86,711
Repayments of hybrid bonds (102,350) (317)
Other transactions with owners 26,545 (4,824)
Ending balance W (658,664) (582,859)
(ii) Details of treasury stock acquisition for the years ended December 31, 2023 and 2022 are as follows:

The number of The number of
Carrying amount Carrying amount
share share
Beginning balance 6,352 W 227 6,352 W 227
Acquisition 13,507,398 485,947 7,814,685 300,000
Retirement (*) (13,507,398) (485,947) (7,814,685) (300,000)
Ending balance 6,352 W 227 6,352 W 227
(*) For the year ended December 31, 2023, the Group acquired treasury stocks for retirement, and the retirement of 3,676,470
shares, 4,243,281 shares, 2,842,929 shares and 2,744,718 shares was completed on March 28, 2023, June 16, 2023, August 31,
2023 and December 27, 2023, respectively. For the year ended December 31, 2022, treasury stocks were acquired for retirement,
and the retirement of 3,665,423 shares and 4,149,262 shares was completed on April 25, 2022 and November 23, 2022, respectively.
274
(e) Accumulated other comprehensive income
Changes in accumulated other comprehensive income for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Items that are or may be reclassified to profit or loss Items that will never be reclassified to profit or loss
Gain (loss) on
financial
Gain (loss) on Equity in Foreign Net finance Net finance Equity in Gain (loss) on s Liabilities
securities at other currency Net gain Income (expens Income (expens Remeasure other ecurities at measured at
fair value comprehensiv translation (loss) e) on insurance e) on reinsuranc -ments of comprehensiv fair value FVTPL
through other e income adjustments from cash contract e contract assets the defined e income through other attributable to
comprehensive (expense) of for foreign flow assets benefit (expense) of comprehensive i changes in
income associates operations hedges (liabilities) (liabilities) plans associates ncome credit risk Total
Beginning balance W (6,786,650) (8,135) (112,283) (96,388) 5,039,081 34,045 (91,993) 9 116,719 (5,155) (1,910,750)
Change due to fair value 3,862,277 9,738 - - (2,961,019) (28,283) - - 1,459 4,011 888,183
Reclassification:
Change due to
impairment or
disposal 465,343 - - - - - - - 4,199 5,077 474,619
Effect of hedge
accounting - - - (69,484) - - - - - - (69,484)
Hedging (28,044) - (3,903) 152,927 - - - - - - 120,980
Effects from changes in
foreign exchange rate - - 2,316 - - - - - 2,862 - 5,178
Remeasurements of the
net defined benefit
plans - - - - - - (272,792) - - - (272,792)
Deferred income taxes (1,137,032) (2,582) (4,658) (22,163) 788,561 7,511 71,935 - (3,402) (465) (302,295)
Transfer to other
account - - - - - - - - 3,055 (7,352) (4,297)
Non-controlling
interests (4,328) - 11 - - - 522 - - - (3,795)
Ending balance W (3,628,434) (979) (118,517) (35,108) 2,866,623 13,273 (292,328) 9 124,892 (3,884) (1,074,453)
275
(e) Accumulated other comprehensive income (continued)
Changes in accumulated other comprehensive income for the years ended December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Items that are or may be reclassified to profit or loss Items that will never be reclassified to profit or loss
Gain (loss) on
financial
Gain (loss) on Equity in Foreign Net finance Net finance Equity in Gain (loss) on s Liabilities
securities at other currency Net gain Income (expens income (expens Remeasure other ecurities at measured at
fair value comprehensiv translation (loss) e) on insurance e) on reinsuranc -ments of comprehensiv fair value FVTPL
through other e income adjustments from cash contract e contract assets the defined e income through other attributable to
comprehensive (expense) of for foreign flow assets benefit (expense) of comprehensive i changes in
income associates operations hedges (liabilities) (liabilities) plans associates ncome credit risk Total
Beginning balance W (867,680) 7,623 (125,219) (26,124) 333,178 - (343,124) (28) 117,967 (1,816) (905,223)
Change due to fair value (8,059,410) (16,914) - - 6,396,337 46,320 - 9 10,880 (5,919) (1,628,697)
Reclassification:
Change due to
impairment or
disposal (37,142) (7,333) - - - - - - - - (44,475)
Effect of hedge
accounting - - - (190,372) - - - - - - (190,372)
Hedging 63,480 - (25,793) 87,491 - - - - - - 125,178
Effects from changes in
foreign exchange rate - - 40,679 - - - - - (823) - 39,856
Remeasurements of the
net defined benefit
plans - - - - - - 348,017 - - - 348,017
Deferred income taxes 2,110,516 8,489 (154) 32,617 (1,690,434) (12,275) (96,026) (14) (9,171) 1,170 344,718
Transfer to other
account - - - - - - - 42 (2,134) 1,410 (682)
Non-controlling
interests 3,586 - (1,796) - - - (860) - - - 930
Ending balance W (6,786,650) (8,135) (112,283) (96,388) 5,039,081 34,045 (91,993) 9 116,719 (5,155) (1,910,750)
276
(f) Appropriation of retained earnings
The appropriation of retained earnings for the years ended December 31, 2023 and 2022 are as follows:

Date of appropriation: March 26, 2024 March 23, 2023
Unappropriated retained earnings:
Balance at beginning of year W 5,033,475 5,461,771
Retirement of treasury stock (486,999) (300,661)
Dividend to hybrid bonds (189,672) (156,277)
Interim dividends (817,122) (637,598)
Net income 1,671,011 1,249,251
5,210,693 5,616,486
Transfer from voluntary reserves

Loan loss reserve reversal amount 422 -
5,211,115 5,616,486
Appropriation of retained earnings:

Legal reserve 167,101 124,925
Dividends
Dividends on common stocks paid 268,697 440,093
Dividends on preferred stocks paid - 15,122
Regulatory reserve for loan losses - 2,554
Loss on repayments of hybrid bonds 102,667 317
538,465 583,011
Unappropriated retained earnings
to be carried over to subsequent year W 4,672,650 5,033,475
(*) These statements of appropriation of retained earnings are based on the separate financial statements of Shinhan
Financial Group.
(g) Regulatory reserve for loan losses
In accordance with Regulations for the Supervision of Financial Institutions, the Group reserves the difference
between allowance for credit losses by K-IFRS and that as required by the Regulations at the account of regulatory
reserve for loan losses in retained earnings.
i) Changes in regulatory reserve for loan losses including non-controlling interests as of December 31, 2023 and

Expected reversal of regulatory reserve for loan losses (153,364) (38,121)
Ending balance W 3,456,487 3,609,851
277
(g) Regulatory reserve for loan losses (continued)
ii) Profit attributable to equity holders of Shinhan Financial Group and earnings per share after factoring in
regulatory reserve for loan losses for the years ended December 31, 2023 and 2022 are as follows:

Profit attributable to equity holders of Shinhan Financial Group W 4,368,035 4,665,643
Provision for regulatory reserve for loan losses 151,357 38,508
Profit attributable to equity holders of Shinhan Financial Group adjusted
for regulatory reserve W 4,519,392 4,704,151
Basic and diluted earnings per share adjusted for regulatory reserve in
won (*) 8,361 8,571
(*) Dividends for hybrid bonds are deducted.
278
33. Dividends
(a) The interim dividends paid for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Dividend base date Amount
March 31, 2023 (1 st Quarter) Common stock (W525 per share) W 265,179
Convertible preferred stock (W525 per share) 9,178
W 274,357
June 30, 2023 (2nd Quarter) Common stock (W525 per share) W 272,129
September 30, 2023 (3rd Quarter) Common stock (W525 per share) W 270,636
W 817,122
December 31, 2022

Dividend base date Amount
Common stock (W400 per share) W 206,277
March 31, 2022 (1st Quarter)
W 213,270

June 30, 2022 (2nd Quarter)
W 212,164

September 30, 2022 (3rd Quarter)
W 212,164
W 637,598
(b) Details of dividends recognized as distributions to stockholders for the years ended December 31, 2023 and 2022
are as follows:
December 31, 2023(*1) December 31, 2022

Common Stock:
Total number of shares issued and outstanding W 512,759,471 508,784,869
Par value per share in won 5,000 5,000
Dividend per share in won (*3) 525 865
Dividends (*2) W 268,697 440,093
Dividend rate per share (*3) % 10.5 17.3
Preferred Stock:
Total number of shares issued and outstanding - 17,482,000
Par value per share in won - 5,000
Dividend per share in won - 865
Dividends W - 15,122
Dividend rate per share % - 17.3
Record date (*4) 2024-02-23 2022-12-31
(*1) The current dividend(plan) will be decided on March 26, 2024. The amount of dividends was not recognized as
a distribution to the owner during the period.
(*2) Dividends on own shares held by the Group are excluded.
(*3) Excluding quarterly dividends, including quarterly dividends, dividends per share are KRW 2,100 and KRW
2,065 for the years ended December 31, 2023 and 2022, respectively, and dividend rate per share are 42.0% and
41.3%, for the years ended December 31, 2023 and 2022, respectively.
(*4) At the regular stockholders' general meeting on March 23, 2023, the Articles of Incorporation were revised to
allow the dividend base date to be determined by resolution of the Board of Directors, and the dividend base date for
the 2023 annual dividend is February 23, 2024.
279
33. Dividends (continued)
(c) The details of dividends paid by the Group related to the preferred stock issued for the years ended December 31,
December 31, 2023

Dividend per Issue price per
Total Dividend rate per
Number of shares share share
dividend paid issue price (%)
(in won) (in won)
Convertible
preferred stock
(*) 17,482,000 525 9,178 42,900 1.22
(*) Convertible preferred shares of 17,482,000 that were issued on May 1, 2019 have been converted into common
shares at a 1:1 ratio on May 1, 2023, and dividends were paid before conversion.
December 31, 2022

Dividend per Issue price per
Total Dividend rate per
Number of shares share share
dividend paid issue price (%)
(in won) (in won)
Convertible
preferred stock 17,482,000 2,065 36,101 42,900 4.81
(d) Dividends for hybrid bond is calculated as follows for the years ended December 31, 2023 and 2022:

Amount of hybrid bond W 4,014,550 4,212,700
Interest rate (%) % 2.88 ~ 5.40 2.88 ~ 5.88
Dividends W 189,672 156,277
280
34. Net interest income
Net interest income for the years ended December 31, 2023 and 2022 are as follows:

Interest income:
Cash and due from banks at amortized cost W 590,831 281,575
Deposits at FVTPL - 1,329
Securities at FVTPL 1,396,409 924,346
Securities at FVOCI 2,357,108 1,846,888
Securities at amortized cost 1,062,110 691,798
Loans at amortized cost 21,676,818 16,064,617
Loans at FVTPL 120,815 69,146
Insurance finance interest income 240,534 119,801
Others 134,586 92,825
27,579,211 20,092,325
Interest expense:
Deposits 9,790,811 4,642,670
Financial liabilities designated at FVTPL 9,804 1,296
Borrowings 1,895,913 938,641
Debt securities issued 2,735,421 1,901,458
Insurance finance interest expense 1,945,318 1,792,702
Others 384,022 218,705
16,761,289 9,495,472
Net interest income W 10,817,922 10,596,853
281
35. Net fees and commission income
Net fees and commission income for the years ended December 31, 2023 and 2022 are as follows:

Fees and commission income:
Credit placement fees W 75,930 68,101
Commission received as electronic charge receipt 146,037 147,727
Brokerage fees 369,175 340,367
Commission received as agency 134,432 136,114
Investment banking fees 165,366 232,512
Commission received in foreign exchange activities 295,722 295,161
Trust management fees 299,600 308,353
Credit card fees 1,378,200 1,202,129
Operating lease fees (*) 600,283 478,374
Others 710,498 675,508
4,175,243 3,884,346
Fees and commission expense:
Credit-related fee 45,739 37,313
Credit card fees 930,044 895,787
Others 552,254 537,704
1,528,037 1,470,804
Net fees and commission income W 2,647,206 2,413,542
(*) Among operating lease fees recognized for the years ended December 31, 2023 and 2022, there is no variable lease
fee income which does not vary by index or rate.
36. Dividend income
Dividend income for the years ended December 31, 2023 and 2022 are as follows:

Securities at FVTPL W 121,347 144,869
Securities at FVOCI 60,139 32,700
W 181,486 177,569
282
37. Net gain (loss) on financial instruments measured at fair value through profit or loss
Net gain (loss) on financial instruments measured at fair value through profit or loss for the ended December 31,

Net gain (loss) on due from banks measured at FVTPL
Gain (loss) on valuation W 3,964 (10,600)
Net gain (loss) on loans measured at FVTPL

Loss on valuation (6,562) (35,653)
Gain on sale 36,774 14,062
30,212 (21,591)
Net gain (loss) on securities measured at FVTPL
Debt securities
Gain (loss) on valuation 755,501 (677,327)
Gain (loss) on sale 197,148 (244,263)
Other gains 624,282 590,933
1,576,931 (330,657)
Equity securities
Gain (loss) on sale 428,947 (284,267)
969,135 (621,569)
Other
Gain on valuation 11,635 2,089
2,557,701 (950,137)
Net gain (loss) on financial liabilities measured at FVTPL

Debt securities
Gain (loss) on valuation (60,144) 41,316
Gain (loss) on disposal (88,398) 53,066
(148,542) 94,382
Other
Loss on valuation (60,565) (38,996)
Gain on disposal 1,606 2,726
(58,959) (36,270)
(207,501) 58,112
Derivatives:
Gain (loss) on transaction (183,233) 466,118
109,250 (236,617)
W 2,493,626 (1,160,833)
283
38. Net gain (loss) on financial instruments designated at fair value through profit or loss
Net gain (loss) on financial instruments designated at fair value through profit or loss for the years ended December
31, 2023 and 2022 are as follows:

2023 2022
Financial liabilities designated at fair value through profit or loss:
Debt securities issued:
Gain on valuation W 2,495 2,673
Compound financial instruments:
Gain on valuation 51,750 804,068
Loss on sale and redemption (492,025) (229,799)
(440,275) 574,269
W (437,780) 576,942
39. Reversal of (provision for) credit loss allowance
Reversal of (provision for) credit loss allowance on financial assets for the years ended December 31, 2023 and 2022
are as follows:

Allowance provided:
Loans at amortized cost W (2,114,442) (1,244,351)
Other financial assets at amortized cost (90,770) (32,831)
Securities at fair value through other comprehensive income (2,271) -
Unused credit line and financial guarantee (37,156) (19,106)
Securities at amortized cost - (538)
(2,244,639) (1,296,826)
Allowance reversed:
Securities at fair value through other comprehensive income W - 5,013
Securities at amortized cost 136 -
136 5,013
W (2,244,503) (1,291,813)
284
40. General and administrative expenses
General and administrative expenses for the years ended December 31, 2023 and 2022 are as follows:

Employee benefits:
Salaries W 3,247,162 3,218,540
Severance benefits:
Defined contribution 35,679 35,290
Defined benefit 109,444 156,181
Termination benefits 197,184 154,012
3,589,469 3,564,023
Entertainment 46,050 46,374

Depreciation 514,100 462,024
Amortization 225,900 186,448
Taxes and utility bills 245,723 206,421
Advertising 285,495 339,915
Research 21,494 20,703
Others 967,106 818,252
W 5,895,337 5,644,160
285
41. Share-based payments
(a) Performance shares granted as of December 31, 2023 are as follows:
Expired Not expired

Type Cash-settled share-based payment
Performance conditions Relative stock price linked (20.0%), management index (80.0%)
4 years from the commencement date of the year

Exercising period
to which the grant date belongs
Estimated number of shares vested at December 31, 2023 730,250 2,480,651
W 44,222, W 33,122,
W 37,387, W 37,081 and W
Fair value per share in Korean won (*) 38,156 for the expiration of W 40,150
exercising period from 2019
to 2023
(*) Based on performance-based stock compensation, the reference stock price (the arithmetic average of the
weighted average share price of transaction volume for the past two months, the past one month, and the past one
week from the day before the base date) of four years after the commencement of the grant year is paid in cash, and
the fair value of the reference stock price to be paid in the future is assessed as the closing price of the settlement.
286
41. Share-based payments (continued)
(b) Share-based compensation costs for the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Employees of
The controlling
company The subsidiaries Total
Performance shares W 5,123 36,751 41,874
December 31, 2022

Employees of
The controlling
(c) Accrued expenses recognized related to share-based payment transactions as of December 31, 2023 and 2022 are
as follows:
December 31, 2023

Employees of
The controlling
December 31, 2022

Employees of
The controlling
287
42. Other operating expenses, net
Other operating income and other operating expense for the years ended December 31, 2023 and 2022 are as follows:

Other operating income
Gain on disposal of assets:
Loans at amortized cost W 178,158 33,147
Others:
Gain on hedged items 422,074 1,122,823
Reversal of allowance for guarantees and acceptances 4,856 410
Gain on other trust accounts 2 142
Reversal of other allowance 1,790 388
Others 547,573 461,660
976,295 1,585,423
W 1,154,453 1,618,570
Other operating expense
Loss on disposal of assets:
Loans at amortized cost W 19,723 5,533
Others:
Loss on hedged items 448,664 1,091,195
Fund contribution 470,227 440,715
Provision for other debt allowances 15,516 22,415
Depreciation of operating lease assets 445,006 351,208
Others (*) 1,942,047 1,407,824
3,321,460 3,313,357
W 3,341,183 3,318,890
Other operating expenses, net W (2,186,730) (1,700,320)
(*) Includes W 293,824 million for vulnerable groups such as self-employed people, small business owners and
institutions supporting vulnerable groups, etc. in accordance with the “Banking financial support plan for people’s
livelihood” for the year ended December 31, 2023.
288
43. Net other non-operating income
Other non-operating income and other non-operating expense for the years ended December 31, 2023 and 2022 are
as follows:

Other non-operating income
Gain on disposal of assets:
Property and equipment W 4,944 67,411
Investment property 56,640 29,305
Assets held for sale (*1) 1,753 448,770
Lease assets 9 36
Right-of-use assets 3,388 4,131
66,734 549,653
Investments in associates:
Gain on disposal 12,435 8,965
Reversal of impairment loss - 5,924
12,435 14,889
Others:
Rental income on investment property 24,472 33,366
Reversal of impairment losses on intangible asset 50 396
Gain from assets contributed - 4
Gain from bargain purchase - 12,349
Others 66,546 75,511
91,068 121,626
170,237 686,168
Other non-operating expense

Loss on disposal of assets:
Property and equipment 6,009 2,546
Lease assets - 9
Right-of-use assets 1,063 737
Others 29 183
7,101 3,475
Loss on disposal 19,266 19,045
Impairment loss 15,583 7,529
34,849 26,574
Others:
Donations 100,201 67,558
Depreciation of investment properties 15,058 18,115
Impairment loss on property and equipment 1,409 -
Impairment loss on intangible assets 10,732 3,158
Write-off of intangible assets 446 1,822
Expenses on collection of special bonds 9,130 10,259
Others (*2) 252,289 215,842
389,265 316,754
431,215 346,803
Net other non-operating gain (loss) W (260,978) 339,365
(*1) Gain and loss on disposal of sale-and-leaseback are included in gain and loss on disposal of property and
equipment, gain and loss on disposal of investment property and gain on assets held for sale, respectively. Gain on
disposal of sale-and-leaseback for the years ended December 31, 2022 is W 443,780.
(*2) It includes W 51,948 million and W 168,020 million, respectively, for the years ended December 31, 2023 and
2022 of estimated claim for damages that are highly probable to be paid in case of customer losses expected due to
redemption delays of Lime CI funds, etc.
289
44. Income tax expense
(a) Income tax expense for the years ended December 31, 2023 and 2022 are as follows:

Current income tax expense W 1,301,802 1,663,188
Temporary differences 493,026 (397,017)
Income tax recognized in other comprehensive income (307,868) 344,941
Income tax expenses W 1,486,960 1,611,112
(b) Income tax expense calculated by multiplying net income before tax with the tax rate for the years ended
December 31, 2023 and 2022 are as follows:

Profit before income taxes W 5,964,960 6,366,626
Income taxes at statutory tax rates 1,564,388 1,740,460

Adjustments:
Non-taxable income (10,350) (13,902)
Non-deductible expense 16,514 16,762
Tax credit (1,185) (1,233)
Others (82,407) (130,975)
Income tax expense W 1,486,960 1,611,112
Effective tax rate % 24.93 25.31
290
44. Income tax expense (continued)
(c) Deferred tax expenses by origination and reversal of deferred assets and liabilities and temporary differences for
the years ended December 31, 2023 and 2022 are as follows:
December 31, 2023

Other
Beginning comprehensive Ending
Balance Profit or loss income (loss) Balance
Unearned income W (350,772) (81,504) - (432,276)
Account receivable (23,695) 2,341 - (21,354)
Financial assets measured at fair
value 1,006,441 587,125 (1,139,313) 454,253
Investment in associates and etc. 183,410 7,439 (2,581) 188,268
Valuation and depreciation of
property and equipment (100,618) (3,460) - (104,078)
Derivative asset 262,353 (81,234) (28,731) 152,388
Deposits 37,047 (3,494) - 33,553
Accrued expenses 209,728 11,730 - 221,458
Defined benefit obligation 475,777 (1,566) 70,456 544,667
Plan assets (635,981) 16,645 1,353 (617,983)
Other provisions 398,873 111,731 - 510,604
Allowance for acceptances and
guarantees 24,423 (2,406) - 22,017
Allowance related to asset
revaluation (47,891) 182 - (47,709)
Allowance for expensing
depreciation (202) 62 - (140)
Accrued contributions 37,039 630 - 37,669
Financial assets (liabilities)
designated at fair value through
profit of loss (279,089) 46,492 - (232,597)
Allowances 166,078 57,988 - 224,066
Constructive dividend 17,187 531 - 17,718
Liability under insurance contracts 93,537 (82,092) - 11,445
Others (1,588,403) (754,058) 790,948 (1,551,513)
(114,758) (166,918) (307,868) (589,544)
Expired unused tax losses:
Extinguishment of deposit and
insurance liabilities 219,558 (18,890) - 200,668
W 104,800 (185,808) (307,868) (388,876)
(*1) Deferred tax assets from overseas subsidiaries are decreased by W 650 million due to foreign exchange rate
movements.
(*2) The Group does not recognize deferred tax assets and liabilities related to global minimum tax laws by applying
the temporary exception provision for deferred tax in K-IFRS No. 1012.
291
(c) Deferred tax expenses by origination and reversal of deferred assets and liabilities and temporary differences for
the years ended December 31, 2023 and 2022 are as follows (continued):
December 31, 2022

Other
Beginning comprehensive Ending
Balance Profit or loss income (loss) Balance
Unearned income W (340,992) (9,780) - (350,772)
Account receivable (26,580) 2,885 - (23,695)
Financial assets measured at fair
value 57,933 (1,152,836) 2,101,344 1,006,441
Investment in associates and etc. 178,262 (3,550) 8,698 183,410
Valuation and depreciation of
property and equipment (135,375) 34,757 - (100,618)
Derivative asset 22,215 207,521 32,617 262,353
Deposits 24,430 12,617 - 37,047
Accrued expenses 154,716 55,012 - 209,728
Defined benefit obligation 549,950 23,960 (98,133) 475,777
Plan assets (601,844) (36,244) 2,107 (635,981)
Other provisions 389,570 9,303 - 398,873
Allowance for acceptances and
guarantees 32,462 (8,039) - 24,423
Allowance related to asset
revaluation (49,713) 1,822 - (47,891)
Allowance for expensing
depreciation (274) 72 - (202)
Accrued contributions 36,114 925 - 37,039
Financial liabilities designated at
fair value through profit of loss (74,655) (204,434) - (279,089)
Allowances 132,239 33,839 - 166,078
Constructive dividend 16,737 450 - 17,187
Liability under insurance contracts 96,760 (3,223) - 93,537
Others (1,017,980) 1,131,269 (1,701,692) (1,588,403)
(556,025) 96,326 344,941 (114,758)
Expired unused tax losses:
Extinguishment of deposit and
insurance liabilities 266,605 (47,047) - 219,558
W (289,420) 49,279 344,941 104,800
(*) Deferred tax assets from overseas subsidiaries are decreased by W 2,797 million due to foreign exchange rate
movements.
292
(d) Deferred tax assets and liabilities that are directly charged or credited to equity for the years ended December 31,
January 1, 2023 Changes December 31, 2023

OCI Tax effect OCI Tax effect OCI Tax effect
Gain (loss) on valuation of financial assets
measured at FVOCI W (9,032,747) 2,362,816 4,305,703 (1,139,313) (4,727,044) 1,223,503
Gain (loss) on financial liabilities measured at
FVTPL attributable to changes in credit risk (7,014) 1,859 1,736 (466) (5,278) 1,393
Foreign currency translation adjustments for
foreign operations (103,767) (8,516) (1,576) (4,658) (105,343) (13,174)
Gain (loss) on cash flow hedges (138,634) 42,246 90,011 (28,731) (48,623) 13,515
associates (11,059) 2,933 9,738 (2,581) (1,321) 352
Remeasurements of the defined benefit liability (126,394) 34,400 (272,144) 71,809 (398,538) 106,209
Net finance income (expense) on insurance
contract 6,902,211 (1,829,086) (2,989,301) 796,072 3,912,910 (1,033,014)
W (2,517,404) 606,652 1,144,167 (307,868) (1,373,237) 298,784
January 1, 2022 Changes December 31, 2022

OCI Tax effect OCI Tax effect OCI Tax effect
Gain (loss) on valuation of financial assets
measured at FVOCI W (1,011,185) 261,472 (8,021,562) 2,101,344 (9,032,747) 2,362,816
Gain (loss) on financial liabilities measured at
FVTPL attributable to changes in credit risk (2,506) 689 (4,508) 1,170 (7,014) 1,859
Foreign currency translation adjustments for
foreign operations (116,857) (8,362) 13,090 (154) (103,767) (8,516)
Gain (loss) on cash flow hedges (35,753) 9,629 (102,881) 32,617 (138,634) 42,246
associates 13,361 (5,765) (24,420) 8,698 (11,059) 2,933
Remeasurements of the defined benefit liability (473,551) 130,426 347,157 (96,026) (126,394) 34,400
Net finance income (expense) on insurance
contract 459,556 (126,378) 6,442,655 (1,702,708) 6,902,211 (1,829,086)
W (1,166,935) 261,711 (1,350,469) 344,941 (2,517,404) 606,652
293
(e) The amount of deductible temporary differences that are not recognized as deferred tax assets as of December 31,

Temporary differences related to
W
Shinhan EZ General Insurance Co., Ltd. (*1) 112,293 119,553
Shinhan AI Co., Ltd. (*2) 13 -
112,306 119,553
(*1) Shinhan EZ General Insurance Co., Ltd., a subsidiary of the Group, suffered a net loss for the current period, etc.
As of the end of 2023, deferred corporate tax assets were not recognized as it was determined that the temporary
difference to be deducted in excess of the temporary difference to be added and the tax loss were not feasible.
(*2) Shinhan AI Co., Ltd, a subsidiary of the Group, did not recognize deferred corporate tax assets for temporary
differences in consideration of liquidation in 2024.
(*3) The expiration date of unused carried tax losses not recognized as deferred tax assets as of the end of the reporting
period is as follows:
Less than 1~2 2~3 More than 3

1 year years years years Total
Tax loss carried-forward W 19,979 9,006 7,444 68,786 105,215
(f) The amount of temporary difference regarding investment in subsidiaries that are not recognized as deferred tax
liabilities as of December 31, 2023 and 2022 are as follows:

Investment in subsidiaries, etc. W (9,331,214) (8,888,268)
(g) The Group set off a deferred tax asset against a deferred tax liability of the same taxable entity if, and only if,
they relate to income taxes levied by the same taxation authority and the entity has a legally enforceable right to set
off current tax assets against current tax liabilities. Deferred tax assets and liabilities presented on a gross basis prior
to any offsetting as of December 31, 2023 and 2022 are as follows:

Deferred tax assets W 1,300,568 1,620,246
Deferred tax liabilities 1,689,444 1,515,446
(h) As of the end of 2023, the Group is in the process of litigation for cases where tax uncertainty exists (claim amount:
W 30,590 million). The Group determined that there is a high probability of winning the case and reflected it as current
corporate tax assets and corporate tax expenses.
(i) The Group is reviewing the impact on the consolidated financial statements following the implementation of the
Global Minimum Tax Act. Due to the complexity of the application of the global minimum tax law, it is difficult to
reasonably estimate the impact on the consolidated financial statements, and the Group is estimating the impact with
a tax expert.
294
45. Earnings per share
(a) Basic and diluted earnings per share for the years ended December 31, 2023 and 2022 are as follows:

Profit attributable to equity holders of Shinhan Financial Group W 4,368,035 4,665,643
Less:
Dividends to hybrid bond (189,672) (156,277)
Net profit available for common stock W 4,178,363 4,509,366
Weighted average number of common shares outstanding (*) 519,207,776 530,638,621
Basic and diluted earnings per share in won W 8,048 8,498
(*) The number of common shares outstanding is 512,759,471 shares. The above weighted-average stocks are calculated by
reflecting 17,482,000 shares of convertible preferred shares issued on May 1, 2019 and then converted into common shares on
May 1, 2023, and 13,507,398 shares and 7,814,685 shares of treasury stock acquired and canceled during the periods ended
December 31, 2023 and December 31, 2022.
(b) The calculation details of the weighted average number of ordinary shares for the years ended December 31, 2023
December 31, 2023

Accumulated number of
Number of shares shares
Number of common shares issued 512,759,471 187,756,015,279
Shares of convertible preferred stock - 2,097,840,000
Shares of treasury stock (6,352) (343,017,080)
Average number of ordinary shares 512,753,119 189,510,838,199
Days 365 days
Weighted average number of ordinary shares 519,207,776
December 31, 2022

Accumulated number of
Number of shares shares
Number of common shares issued 508,784,869 187,476,994,819
Shares of convertible preferred stock 17,482,000 6,380,930,000
Shares of treasury stock (6,352) (174,828,329)
Average number of ordinary shares 526,260,517 193,683,096,490
Days 365 days
Weighted average number of ordinary shares 530,638,621
295
46. Commitments and contingencies
(a) Guarantees, acceptances and credit commitments as of December 31, 2023 and 2022 are as follows:

Guarantees and purchase agreements:
Outstanding guarantees W 12,503,445 12,154,088
Contingent guarantees 4,337,751 4,565,829
ABS and ABCP purchase agreements 1,533,047 1,496,604
18,374,243 18,216,521
Commitments to extend credit:
Loan commitments in won 88,913,555 83,451,887
Loan commitments in foreign currency 26,970,371 25,052,284
Other agreements (*) 96,194,944 96,984,654
212,078,870 205,488,825
Endorsed bills:
Secured endorsed bills 44 10,025
Unsecured endorsed bills 10,519,665 7,046,806
10,519,709 7,056,831
W 240,972,822 230,762,177
(*) Unused credit commitments provided to the card customers are included, the amounts are W 90,832,893 million
for the year ended December 31, 2023 and W 90,452,012 million for the year ended December 31, 2022.
296
46. Commitments and contingencies (continued)
(b) Pending litigations
The Group’s pending lawsuits as a defendant as of December 31, 2023 are as follows:
Number Claim
Case of claim amount Description Status
The Plaintiff believes that the group of lenders The first trial is
including the Group unfairly sold two oil drilling ongoing as of
vessels that are the core assets for borrowers and December 31, 2023
Return of unjust
1 W 33,096 it caused losses to other bankrupt creditors of the
earning
borrower. Therefore, the Plaintiff filed a lawsuit
for damages.
The first trial is

Loss claim 1 64,748 Joint Tort liability and Vicarious liability ongoing as of
December 31, 2023
The first trial is
Loss claim 1 36,436 Joint Tort liability and Vicarious liability ongoing as of
December 31, 2023
Sinmun-ro, Jongno-gu The plaintiff, who claims to be the original owner The first trial is
Agency work of the trust building, claims that the currently ongoing as of
PFV fraudulent trusts registered trust registration should be canceled as December 31, 2023
1 43,630
Cancellation lawsuit fraudulent trust, and requested payment of
(Geosam Co., Ltd.) approximately KRW 43.6 billion in value
compensation.
Others 749 553,663 includes various cases, such as compensation for loss claim.
It
753 W 731,573
As of the December 31, 2023, the Group has recorded W 31,371 million and W 3,594 million, respectively, as
provisions and incurred claims element of insurance contract liabilities for litigations, etc., which have been decided
to lose at the first trial. The outcome of the remaining litigations other than those accounted for provisions, etc. are
not expected to have a material impact on the consolidated financial statements, but additional losses may result from
future litigation.
297
(c) As a Prime Brokerage Service operator, the Group entered into a total return swap agreement (“TRS”, derivatives
that exchange profits and losses from underlying assets such as stocks, bonds and funds) with a fund operated by
Lime Asset Management ("Lime Fund"). Through TRS with the Group, the Lime Fund invested approximately $200
million in IIG Global Trade Finance Fund, IIG Trade Finance Fund, and IIG Trade Finance Fund-FX Hedge ("IIG
Fund") from May 2017 to September 2017. The Group invested the IIG Fund in LAM Enhanced Finance III L.P
("LAM III Fund") in kind and acquired the LAM III Fund's beneficiary certificates in accordance with the
management instructions of Lime Asset Management in 2019. The recoverable value of the LAM III Fund
beneficiary certificates is affected by the recoverable value of the IIG Fund invested in kind.
Meanwhile, IIG Fund received cancellation of registration and asset freeze from the US Securities and Exchange
Commission in November 2019. The Financial Supervisory Service (FSS) announced in its interim inspection of
Lime Fund in February 2020 that the Group is charged of being involved in poor concealment and fraud of Lime
Fund while operating TRSs with Lime Fund, and a related prosecution investigation has been under way since then.
Institutional sanctions (banned from the sale of new private equity funds and etc. for six months) against the Group
was finalized by the Financial Services Commission on November 12, 2021.
In addition, the prosecution arrested and indicted the former director of Prime Brokerage Services for fraud charges
and violation of the Capital Market and Financial Investment Services Act. Finally, the former director of Prime
Brokerage Services was found guilty.
The prosecution indicted the Group and the former director of Prime Brokerage Services on January 22, 2021 for
violating ‘Financial Investment Services and Capital Markets Act’, and the Group was sentenced to a fine of W 50
million for neglection its duty of supervision. However, the Group believes that additional legal liability that may
arise in the future in relation to the above incident is not high.
Considering the board resolutions and the results of the Financial Supervisory Service's dispute settlement committee,
the Group has been completed or will be carried out the compensation and liquidity supply for some of the Lime Fund
sales in the future.
(d) The Group has sold Gen2 related trust instruments from May 2014 to November 2019. As of December 31, 2023,
approximately W420 billion, the entire outstanding balance, is suspended from redemption and delayed in repayment.
In accordance with a resolution of the Board of Directors on September 28, 2021, the Group has decided to pay 40%
of the investment principal to the customers who have agreed to the suspension of redemption and settle the amount
upon investment recovery. On August 29, 2023, the Board of Directors decided to proceed with privatization using
the post-settlement method. In addition, on December 8, 2023, the Board of Directors decided to privatize NH-UK
Peterborough Power Plant Trust and others through a post-settlement method.
298
(e) The Group is responsible for the completion of construction when the contractor fails to fulfill its responsibilities.
In case the Group fails to fulfill its responsibility, it is in the process of a responsible-for-completion land trust project
(133 cases other than the new residential and commercial apartment project in Mugeo-dong Nam-gu, Ulsan (excluding
completed workplaces)) to compensate for damages incurred to the financial institutions, and for the period ended
December 31, 2023, the total PF commitment amount of PF loan financial institutions is W 3,284.2 billion on a
temporary basis, W 3,846.4 billion on a limit basis, and the total PF loans amounted to W 5,567.6 billion.
The amount of claim for damages of the Group is determined after identifying whether it is a damage caused by the
Group’s failure to fulfill its responsibilities, and the scope of damages to be compensated by the Group may change
depending on the results of lawsuits that are in progress as of December 31, 2023 or that will proceed after the end of
the current period. As of December 31, 2022, the risk of the Group to bear the responsibility to complete the project
is low, and the loss cannot be reliably measured, hence this was not reflected in the financial statements for the period
ended December 31, 2022. Meanwhile, the process of each business sites will be continuously monitored.
Meanwhile, the construction company’s responsibility for completion of a total of 56 land trust projects, including 9-
1 Sihwa MTV Bandalseom, Ansan-si, Gyeonggi-do, which the consolidated entity is in progress as of the end of the
current period, has not been fulfilled. The total PF commitment amount of PF loan financial institutions invested in
the relevant business site at the end of the current period is W 774.7 billion on a temporary basis and W 831.5 billion
on a limit basis, and the PF loan amount is W 1,520.2 billion.
In addition, the completion deadline for a total of 8 land trust projects, including the Sanho-dong multiplex in Masan
Happo-gu, Changwon-si, Gyeongsangnam-do, which the consolidated entity is in progress as of the end of the current
period, has passed. The total PF commitment amount of PF loan financial institutions invested in the relevant business
site at the end of the current period is W 166.1 billion on a temporary basis and W 149.6 billion on a limit basis, and
the PF loan amount is W 304 billion.
(f) An investigation by the Financial Supervisory Service regarding the sale of Equity Linked Trust (ELT) and an
investigation by the Fair Trade Commission regarding unfair collaborative practices by four commercial banks are in
progress, and the results cannot be predicted at this moment.
299
47. Statement of cash flows
(a) Cash and cash equivalents in the consolidated statements of cash flows as of December 31, 2023 and 2022 are as
follows:
Cash and due from banks at amortized cost W 34,650,390 30,070,043
Adjustments:
Due from financial institutions with a maturity over three months from
date of acquisition (1,322,274) (1,956,179)
Restricted due from banks (2,911,232) (3,699,918)
(4,233,506) (5,656,097)
W 30,416,884 24,413,946
(b) Significant non-cash activities for the years ended December 31, 2023 and 2022 are as follows:
Transfers from construction-in-progress to property and equipment W 82,179 33,983
Transfers between property and equipment and investment property 16,678 9,554
Transfers between assets held for sale and property and equipment 2,442 101,757
Transfers between investment property and assets held for sale 6,057 83,664
Accounts payable for purchase of intangible assets, etc. 374,685 117,743
Transaction for right-of-use assets 299,672 293,590
300
47. Statement of cash flows (continued)
(c) Changes in assets and liabilities arising from financing activities for the years ended December 31, 2023 and 2022
are as follows:
December 31, 2023
Financial
Net Debt liabilities
Derivative securities Lease designated
liabilities Borrowings issued liabilities at FVTPL Total
Beginning balance W 531,934 49,279,175 77,288,783 623,339 47,327 127,770,558
Changes from cash
flows 79,563 8,153,087 3,865,582 (262,055) 209,969 12,046,146
Changes from
non-cash flows
Amortization of
discount on
borrowings and
debentures - (61,561) 33,295 18,855 - (9,411)
Changes in
foreign currency - 90,914 197,895 (4,331) 32 284,510
Other (253,480) (560,263) 176,170 238,106 (2,496) (401,963)
Ending balance W 358,017 56,901,352 81,561,725 613,914 254,832 139,689,840
December 31, 2022

Financial
Net Debt liabilities
Derivative securities Lease designated
liabilities Borrowings issued liabilities at FVTPL Total
Beginning balance W (81,407) 43,167,065 80,149,363 612,690 - 123,847,711
Changes from cash
flows 71,629 6,145,271 (2,255,974) (259,913) 49,993 3,751,006
Changes from
non-cash flows
Amortization of
discount on
borrowings and
debentures - (94,209) 45,713 13,379 - (35,117)
Changes in
foreign currency - 294,867 58,406 19,032 - 372,305
Other 541,712 (233,819) (708,725) 237,049 (2,666) (166,449)
Business
combination - - - 1,102 - 1,102
Ending balance W 531,934 49,279,175 77,288,783 623,339 47,327 127,770,558
301
48. Related parties
Intra-group balances, and income and expenses arising from intra-group transactions are eliminated in preparing the
consolidated financial statements. In accordance with K-IFRS No. 1024, the Group defines the retirement benefit
plans of the associates, key management and their families, the consolidation group and related parties as the scope
of related parties. The amount of profit and loss, bond and debt balance between the Group and the related parties
are disclosed. For details of the subsidiaries and associates, refer to 'Note 16'.
(a) Balances with the related parties as of December 31, 2023 and 2022 are as follows:

Related party Account
2023 2022
BNP Paribas Cardif Life Insurance Other assets W 32 38
〃 Credit card loans 105 117
〃 ACL (1) -
〃 Deposits 2,984 18,745
Allowance for Undrawn
〃
Commitment 2 1
Partners 4th Growth Investment Fund (*1) Deposits - 742
Incorporated association Finance Saving Information
Center Deposits 7 2
Nomura-Rifa Private Real Estate Investment Trust
No.19 Loans 11,529 11,880
〃 Other assets 51 44
SH MAIN Professional Investment Type Private Mixed
Asset Investment Trust No.3 Other assets 310 427
KOREA FINANCE SECURITY CO., LTD Deposits 132 415
Hermes Private Investment Equity Fund (*1) Deposits - 218
Korea Credit Bureau Deposits 640 721
Goduck Gangil1 PFV Co., Ltd Loans - 6,825
〃 ACL - (20)
〃 Deposits 11 3
SBC PFV Co., Ltd Deposits 13,113 21,163
Sprott Global Renewable Private Equity Fund I (*1) Deposits - 100
Goduck Gangil10 PFV Co., Ltd Loans 1,100 3,100
〃 ACL (5) (9)
〃 Deposits 7,568 26,880
Shinhan Global Healthcare Fund 2 Deposits 1 1
IMM Special Situation 1-2 PRIVATE EQUITY FUND
(*1) Deposits - 151
Future-Creation Neoplux Venture Capital Fund Account receivables 3,600 3,949
Neoplux Market-Frontier Secondary Fund Account receivables 592 904
Gyeonggi-Neoplux Superman Fund Account receivables 1,174 623
Shinhan-Neoplux Energy Newbiz Fund Account receivables 1,883 978
302
48. Related parties (continued)
(a) Balances with the related parties as of December 31, 2023 and 2022 are as follows (continued):

Related party Account 2023 2022
Investments in associates (continued):
SHINHAN-NEO Core Industrial Technology
W
Fund Account receivables 123 124
KTC-NP Growth Champ 2011-2 Private Equity
Fund (*1) Account receivables - 2,675
Neoplux No.3 Private Equity Fund Account receivables 5,866 3,190
NV Station Private Equity Fund (*1) Deposits - 21
Korea Digital Asset Custody Deposits 34 153
SW-S Fund (*1) Deposits - 112
Shinhan Smilegate Global PEF I Unearned revenue 7 9
WaveTechnology co.Ltd Deposits 17 41
SHINHAN-NEO Market-Frontier 2nd Fund Account receivables 1,596 513
iPIXEL Co.,Ltd. Deposits 11 225
CJL No.1 Private Equity Fund Deposits 265 603
NewWave 6th Fund Account receivables 984 849
Nova New Technology Investment Fund No.1 (*1) Deposits - 215
DS Power Semicon Private Equity Fund (*1) Deposits - 100
Genesis No.1 Private Equity Fund (*1) Deposits - 19
DDI LVC Master Real Estate Investment Trust Co., Ltd. Deposits 923 59
Newlake Growth Capital Partners2 PEF (*1) Deposits - 353
Logisvalley Shinhan REIT Co.,Ltd. Loans 33,000 43,000
〃 ACL (36) (28)
〃 Account receivables - 81
〃 Accrued income 81 -
〃 Deposits 1,134 1,421
Shinhan-Albatross tech investment Fund Deposits 2,229 3,402
Shinhan Global Active REIT Co.Ltd Deposits 206 393
Shinhan VC tomorrow venture fund 1 Account receivables 730 850
SH Sustainable Management ESG Short term Bond
Security Feeder Investment Trust No.1 (*2) Accrued income - 1
SH Global Net Zero Solution Security Investment Trust Accrued income 2 2
SEOKWANG T&I Deposits 1 1
Shinhan Time 1st Investment fund Deposits 151 238
DeepBlue No.1 Private Equity Fund (*1) Deposits - 400
Shinhan-Cognitive Start-up Fund L.P. Unearned revenue 52 -
NH-J&-IBKC Label Technology Fund Deposits 301 -
Shinhan-JW Mezzanin New Technology Fund 1st Unearned revenue 7 -
Shinhan M&A-ESG Investment fund Account receivables 285 -
Shinhan General Private Real Estate Investment Trust
No.3 Accrued income 13 -
Capston General Private Real Estate Investment Trust
No.26(Professional) Deposits 1 -
SHINHAN Mid and SMALL-SIZED OFFICE VALUE-
ADDED MO REIT Co., Ltd. Accrued income 21 -
Key management personnel
and their immediate relatives: Loans 5,003 6,561
Assets 68,038 86,674
Liabilities W 29,797 76,907
(*1) Excluded from the associates due to disposal and liquidation for the year ended December 31, 2023.
303
(b) Transactions with the related parties for the years ended December 31, 2023 and 2022 are as follows:

Investments in associates
BNP Paribas Cardif Life Insurance Fees and commission income W 4,125 1,890
〃 Provision for credit loss (2) -
〃 Interest expense (57) (52)
〃 General and administrative expenses - (1)
Equity Fund Fees and commission income - 42
Shinhan EZ General Insurance Co., Ltd.
(*2) Fees and commission income - 2
〃 Reversal for credit loss - 5
〃 Interest expense - (1)
Partners 4th Growth Investment Fund
(*3) Interest expense - (12)
Shinhan-Albatross tech investment Fund Fees and commission income 115 146
Interest expense (4) (7)
Shinhan-Midas Dong-A Secondary Fund Fees and commission income - 121
Shinhan-Nvestor Liquidity Solution Fund Fees and commission income 173 181
Shinhan-PS Investment Fund No.1 Fees and commission income 25 15
Investment Trust No.19 Interest income 568 522
No.3 Fees and commission income 1,262 1,550
KOREA FINANCE SECURITY CO., LTD Fees and commission income 4 6
Investment Fund No.1 Fees and commission income 589 140
Shinhan-Rhinos 1 Fund (*1) Fees and commission income - 61
Kiwoom-Shinhan Innovation Fund I Fees and commission income 140 118
One Shinhan Global Fund1 Fees and commission income - 104
Fund 1 Fees and commission income 56 227
Korea Credit Bureau Fees and commission income 14 13
Goduck Gangil1 PFV Co., Ltd Interest income 143 377
〃 Reversal for credit loss 20 31
SBC PFV Co., Ltd Fees and commission income - 808
304
(b) Transactions with the related parties for the years ended December 31, 2023 and 2022 are as follows (continued):

Investments in associates (continued)
Goduck Gangil10 PFV Co., Ltd Interest income W 69 171
〃 Reversal for credit loss 4 14
Korea Omega Project Fund I Fees and commission income 166 180
Sparklabs-Shinhan Opportunity Fund 1 Fees and commission income 39 202
EDNCENTRAL Co.,Ltd. Interest income - 267
〃 Fees and commission income - 3,212
Kakao-Shinhan 1st TNYT Fund Fees and commission income 386 386
Fund Interest income 86 74
〃 Fees and commission income - 53
Fund Fees and commission income 592 904
Gyeonggi-Neoplux Superman Fund Fees and commission income 551 623
Shinhan-Neoplux Energy Newbiz Fund Fees and commission income 906 978
NewWave 6th Fund Fees and commission income 984 1,014
Technology Fund Fees and commission income 496 498
Equity Fund (*3) Interest income 36 59
Neoplux No.3 Private Equity Fund Fees and commission income 2,676 3,190
Shinhan Smilegate Global PEF I Fees and commission income - 49
Fund Fees and commission income 1,596 2,050
SWK-Shinhan New Technology
Investment Fund 1st Fees and commission income 61 76
Ulmus SHC innovation investment fund Fees and commission income 91 94
iPIXEL Co.,Ltd. Interest income - 1
CJL No.1 Private Equity Fund Interest expense (10) (7)
Reverent-Shinhan Vista Fund Fees and commission income 80 40
Kiwoom-Shinhan Innovation Fund 2 Fees and commission income 268 279
ETRI Holdings-Shinhan 1st Unicorn Fund Fees and commission income 100 100
Shinhan-Time mezzanine blind Fund Fees and commission income 226 107
Shinhan VC tomorrow venture fund 1 Fees and commission income 3,280 3,400
JS Shinhan Private Equity Fund Fees and commission income 600 587
Fund Fees and commission income 444 591
Shinhan-Kunicorn first Fund Fees and commission income 232 261
Shinhan-Quantum Startup Fund Fees and commission income 153 125
Shinhan Simone Fund Ⅰ Fees and commission income 78 78
Investment Association Fees and commission income 85 59
Trust Co., Ltd. Interest expense (1) (1)
Logisvalley Shinhan REIT Co.,Ltd. Interest income 1,841 1,018
〃 Fees and commission income 163 458
〃 Provision for credit loss (8) (28)
Shinhan-Dev healthcare Fund I Fees and commission income 77 66
Shinhan-Cognitive Start-up Fund L.P. Fees and commission income 188 192
Global Commerce Fund Fees and commission income 30 10
305
Related party Account December 31, 2023 December 31, 2022

Investments in associates (continued)
Shinhan-HGI Social Enterprise Fund Fees and commission income W 63 27
Shinhan-WWG Energy Fund New
Technology Venture Investment Fund Fees and commission income 45 22
IGIS-Shinhan New Technology Fund 1 Fees and commission income 36 36
Shinhan-G.N.Tech Smart Innovation Fund Fees and commission income 260 81
Trust No.1(*4) Fees and commission income - 6
SH Global Net Zero Solution Security
Investment Trust Fees and commission income 75 82
Security Investment Trust No.2 Fees and commission income 16 -
Newlake Growth Capital Partners2 PEF (*3) Interest expense - (1)
Shinhan Global Active REIT Co.Ltd Fees and commission income 17 -
DeepBlue No.1 Private Equity Fund (*3) Interest expense - (2)
DS SHINHAN Content Investment Fund 1 Fees and commission income 18 18
Shinhan Time 1st Investment fund Fees and commission income 26 4
SHINHAN SGC ESG Fund No.1 Fees and commission income 115 5
Shinhan-Sneak Peek Bio&Healthcare
Bounce Back Fund Fees and commission income 125 4
Shinhan-isquare Venture PEF 1 Fees and commission income 100 3
Shinhan-Gene and New Normal First Mover Fees and commission income
Venture Investment Equity Fund 1st 42 -
DS-Shinhan-JBWoori New Media New Fees and commission income
Tehcnology Investment Fund No.1 216 -
NH-J&-IBKC Label Technology Fund Interest expense (12) -
Bonanza-Shinhan GIB Innovative Semiconductor Fees and commission income
Investment Fund 55 -
2023 Shinhan-JB Woori-Daeshin Listed Fees and commission income
Companies New Technology Fund 113 -
Shinhan M&A-ESG Investment fund Fees and commission income 726 -
Shinhan-JW Mezzanin New Technology Fund 1st Fees and commission income 46 -
K REITS Infra Real estate Fees and commission income 25 -
MAN Global Strategy Bond(H) Fees and commission income 2 -
Shinhan Time Secondary Blind New Technology Fees and commission income
Investment Trust 71 -
Shinhan-openwater pre-IPO Investment Trust 1 Fees and commission income 36 -
Shinhan-CJ Technology Innovation Fund No. 1 Fees and commission income 88 -
Shinhan-Eco Venture Fund 2nd Fees and commission income 49 -
Heungkuk-Shinhan the1st Visionary Technology Fees and commission income
Investment Trust no. 1 87 -
Hantoo Shinhan Lake K-beauty Technology Fees and commission income
Investment Trust 94 -
Shinhan HB Wellness 1st Investment Trust Fees and commission income 35 -
Shinhan JN Wave Technology Investment Trust Fees and commission income 2 -
Shinhan General Private Real Estate Investment Fees and commission income
Trust No.3 13 -
Shinhan-Timefolio Bio Accelerator Fund Fees and commission income 163 -
Shinhan DS Secondary Investment Fund Fees and commission income 139 -
Fortress-shinhan New Tech Fund No.1 Fees and commission income 27 -
Shinhan-Ulmus Sobujang hyeokshin Enterprise Fees and commission income
Investment Association No.7 18 -
SHINHAN Mid and SMALL-SIZED OFFICE Fees and commission income
VALUE-ADDED MO REIT Co., Ltd. 25 -
Key management personnel and their immediate relatives
Interest income 242 205
W 26,270 27,443
306
(*1) Excluded from the associates due to disposal and liquidation for the year ended December 31, 2022
(*2) It is incorporated into the consolidation target as the Group held control due to increased equity ratio and BNP
Paribas Cardif General Insurance, Ltd. has changed its name to Shinhan EZ General Insurance Co., Ltd for the
year ended December 31, 2022. The transaction amount for the year ended December 31, 2022 is the amount
before being incorporated into the consolidation target.
(*3) Excluded from the associates due to disposal and liquidation for the year ended December 31, 2023.
(*4) It is incorporated into the consolidation target as the Group held control due to increased equity ratio for the
year ended December 31, 2023.
307
(c) Key management personnel compensation
Key management personnel compensation for the years ended December 31, 2023 and 2022 are as follows:

2023 2022
Short-term employee benefits W 25,007 27,591
Severance benefits 809 817
Share-based payment transactions (*) 11,862 9,777
W 37,678 38,185
(*) The expenses of share-based payment transactions are the renumeration expenses during the vesting period.
(d) The guarantees and purchase agreement provided between the related parties as of December 31, 2023 and 2022
are as follows:
Amount of guarantees
Guarantor Guaranteed Parties 2023 2022 Account
Shinhan Bank BNP Paribas Cardif Life Insurance W 10,000 10,000 Unused loan limit
〃 Key Management Personnel 3,241 2,143 Unused loan limit
Shinhan Card BNP Paribas Cardif Life Insurance 895 883 Unused credit line
The Group Structured entities 326,830 296,118 Purchase agreement
W 340,966 309,144
(e) Details of collaterals provided by the related parties as of December 31, 2023 and 2022 are as follows:
Amount of assets pledged

Provided to Provided by Pledged assets 2023 2022
BNP Paribas Cardif Life Government
Insurance bonds W 2,400 12,400
Electronic credit
iPIXEL Co.,Ltd.
guarantee - 190
Logisvalley Shinhan REIT
Shinhan Bank Co.,Ltd. Collateral trust 39,600 51,600
Key Management Personnel Properties 4,417 8,073
〃 Deposits and etc. 1,127 1,306
〃 Guarantee 1,308 3,092
6,852 12,471
W 48,852 76,661
308
(f) Details of significant loan transactions with related parties as of December 31, 2023 and 2022 are as follows:
December 31, 2023

Classification Company Beginning Execution Collection Others (*) Ending
Nomura-Rifa Private
Real Estate
Investment Trust
No.19 W 11,880 - - (351) 11,529
Investments Goduck Gangil1 PFV
in associates Co., Ltd. 6,825 - (6,825) - -
Goduck Gangil10 PFV
Co., Ltd. 3,100 - (2,000) - 1,100
Logisvalley Shinhan
REIT Co.,Ltd. 43,000 33,000 (43,000) - 33,000
Key Management Personnel 6,563 3,154 (4,712) - 5,005
Total W 71,368 36,154 (56,537) (351) 50,634
(*) The effect on changes in allowance for credit loss is included.
December 31, 2022

Classification Company Beginning Execution Collection Others (*) Ending
Nomura-Rifa Private
Real Estate
Investment Trust
No.19 W 11,880 - - - 11,880
EDNCENTRAL
Co.,Ltd. 19,739 - (20,000) 261 -
Investments
Goduck Gangil1 PFV
in associates
Co., Ltd. 12,000 - (5,175) - 6,825
Goduck Gangil10 PFV
Co., Ltd. 7,600 - (4,500) - 3,100
iPIXEL Co.,Ltd. 55 - - (55) -
Logisvalley Shinhan
REIT Co.,Ltd. - 43,000 - - 43,000
Key Management Personnel 6,150 4,590 (4,177) - 6,563
Total W 57,424 47,590 (33,852) 206 71,368
(*) The effect on changes in allowance for credit loss is included.
309
49. Interests in unconsolidated structured entities
(a) The nature and extent of interests in unconsolidated structured entities
The Group involved in assets-backed securitization, structured financing, beneficiary certificates (primarily
investment funds) and other structured entities and characteristics of these structured entities are as follows:
Description
Assets-backed Securitization vehicles are established to buy assets from originators and issue asset-
securitization backed securities in order to facilitate the originators’ funding activities and enhance
their financial soundness. The Group is involved in the securitization vehicles by
purchasing (or committing to purchase) the asset-backed securities issued and/or
providing other forms of credit enhancement.
The Group does not consolidate a securitization vehicle if (i) the Group is unable to
make or approve decisions as to the modification of the terms and conditions of the
securities issued by such vehicle or disposal of such vehicles’ assets, (ii) (even if the
Group is so able) if the Group does not have the exclusive or primary power to do
so, or (iii) if the Group does not have exposure, or right, to a significant amount of
variable returns from such entity due to the purchase (or commitment to purchase)
of asset-backed securities so issued or subordinated obligations or by providing
other forms of credit support.
Structured financing Structured entities for project financing are established to raise funds and invest in
a specific project such as M&A (mergers and acquisitions), BTL (build-transfer-
lease), shipping finance, etc. The Group is involved in the structured entities by
originating loans, investing in equity, or providing credit enhancement.
Investment fund Investment fund means an investment trust, a PEF (private equity fund) or a
partnership which invests in a group of assets such as stocks or bonds by issuing a
type of beneficiary certificates to raise funds from the general public, and distributes
its income and capital gains to their investors. The Group manages assets by
investing in shares of investment fund or playing a role of an operator or a GP
(general partner) of investment fund, on behalf of other investors.
The size of unconsolidated structured entities as of December 31, 2023 and 2022 are as follows:

Total assets:
Asset-backed securitization W 214,750,119 238,433,221
Structured financing 427,272,034 343,861,213
Investment fund 364,272,967 353,801,189
W 1,006,295,120 936,095,623
310
49. Interests in unconsolidated structured entities (continued)
(b) Nature of risks
i) The carrying amounts of the assets and liabilities relating to its interests in unconsolidated structured entities as
of December 31, 2023 and 2022 are as follows:
December 31, 2023

Assets-backed Structured Investment
securitization financing fund Total
Assets under consolidated financial
statements:
Loans measured at fair value
through profit or loss W 9,598 309,635 123,282 442,515
Loan at amortized cost 1,061,060 16,604,162 227,185 17,892,407
profit or loss 4,366,192 129,795 13,304,176 17,800,163
Derivate assets 674 - - 674
through other
comprehensive income 4,041,459 183,517 3,315 4,228,291
Securities at amortized cost 4,806,904 - 65 4,806,969
Other assets 4,636 79,822 11,935 96,393
W 14,290,523 17,306,931 13,669,958 45,267,412
Liabilities under consolidated
financial statements:
Derivate liabilities W 9,939 315 - 10,254
Other liabilities 301 1,628 - 1,929
W 10,240 1,943 - 12,183
December 31, 2022

Assets under consolidated financial
statements:
Loans measured at fair value
through profit or loss W 9,269 693,630 498 703,397
Loan at amortized cost 869,478 15,725,255 183,263 16,777,996
profit or loss 2,504,857 256,696 14,112,703 16,874,256
Derivate assets 4,432 - - 4,432
through other
comprehensive income 4,183,987 179,714 - 4,363,701
Securities at amortized cost 4,182,846 - - 4,182,846
Other assets 4,337 44,448 41,588 90,373
W 11,759,206 16,899,743 14,338,052 42,997,001
Liabilities under consolidated
financial statements:
Derivate liabilities W 24,902 91 - 24,993
Other liabilities 788 18,840 100 19,728
W 25,690 18,931 100 44,721
311
49. Interests in unconsolidated structured entities (continued)
(b) Nature of risks (continued)
ii) The maximum risk exposure of the Group relating to its interests in unconsolidated structured entities as of
December 31, 2023 and 2022 are as follows:
December 31, 2023

Assets held W 14,290,523 17,306,931 13,669,958 45,267,412
ABS and ABCP
purchase agreements 1,029,819 10,462 2,134,239 3,174,520
Loan commitments 353,790 913,252 - 1,267,042
Others - 429,549 - 429,549
W 15,674,132 18,660,194 15,804,197 50,138,523
December 31, 2022

Assets held W 11,759,206 16,899,743 14,338,052 42,997,001
ABS and ABCP
purchase agreements 1,014,702 104,773 2,271,063 3,390,538
Loan commitments 419,039 988,331 - 1,407,370
Guarantees 15,000 80,000 - 95,000
Others - 103,039 - 103,039
W 13,207,947 18,175,886 16,609,115 47,992,948
50. Events after the reporting period
The controlling company decided to acquire and retire treasury stocks that worth W 150 billion through a resolution
of the Board of Directors on February 8, 2024, in order to enhance shareholder value.
51. LIBOR Interest rates
The effective interest rate, not the carrying amount, is adjusted when replacing the interest rate index of a financial
instrument measured at amortized cost in relation to the reform of the interest rate index. It includes exceptions, such
as allowing hedge accounting to continue uninterrupted even if an interest rate indicator replacement occurs in a
hedging relationship. As of the end of the current term, the Group has completed most of its conversion and
replacement plans in relation to the discontinuation of LIBOR interest rate calculation and aims to conclude the
response plan in accordance with the response guidelines of the supervisory authorities.
312
52. Adoption of K-IFRS 1117 ‘Insurance Contracts’
The Group begins to apply K-IFRS 1117 ‘Insurance Contracts’ on accounting periods beginning on 1 January 2023.
The prior year’s financial statements were retrospectively restated in accordance with the transition requirement of
this Standard. This Standard replaces K-IFRS 1104 ‘Insurance Contracts’. K-IFRS 1117 provides new or revised
requirements relating to recognition, measurement, presentation and disclosure principles of insurance contracts,
reinsurance contracts and investment contracts with discretionary participation features. The Standard significantly
changed the insurer's accounting by requiring groups of insurance contracts to be measured at current estimates of
future cash flows expected to occur in the performance of the contract and at risk adjustments and contractual service
margins for separate non-financial risks.
The Group applied a retrospective application as described below in accordance with K-IFRS 1117 to insurance
contracts, to the extent practicable, from the beginning date of the annual reporting period (the transition date) before
its initial application date commences. The Group applied either the modified retrospective approach or the fair value
approach to the insurance contracts impracticable to be applied with 1) below.
1) To identify, recognize and measure each group of insurance contracts issued as if this Standard had always
applied;
1-1) To identify, recognize and measure any assets for insurance acquisition cash flows as if this Standard
had always applied (except that an entity is not required to apply the recoverability assessment before
the transition date);
2) To derecognize any existing balances that would not exist had this Standard always applied; and
3) To recognize all net differences arising from the initial application of this Standard as an adjustment to the
retained earnings (or, if appropriate, other components of equity) at the date of initial application, without
adjusting goodwill recognized from the past business combinations.
In addition, the Group changed the classification and measurement of financial instruments related to the insurance
business to manage the volatility of equity arising from the market value of insurance contract liabilities according to
K-IFRS 1117. For the financial instruments, their classification and measurement changed in accordance with the
transition requirement of K-IFRS 1117, the Group prepared the statement of financial position at the date of initial
application of K-IFRS 1117 by adjusting the classification and measurement of financial assets removed between the
transition date of K-IFRS 1117 and the initial application date in order to present comparative information as if K-
IFRS 1109 had been applied to the financial instruments.
Separate account assets and liabilities from the statements of financial position and revenues or expenses in separate
accounts from the statements of comprehensive income, which had been presented as one line item in accordance with
the Enforcement Rules of the Insurance Business Act under K-IFRS 1104, are combined with the Group’s general
account and presented as related assets, liabilities, incomes, and expenses under K-IFRS 1117 with the elimination of
intra-group transactions between the general account and the separate account.
313
52. Adoption of K-IFRS 1117 ‘Insurance Contracts’ (continued)
(a) Significant effects in the financial statement at the transition date, January 1, 2022 under K-IFRS 1117 are as
follows:
i) Significant effects in the financial position at the transition date, January 1, 2022 under K-IFRS 1117 are as
follows:
Amount Amount Increase

(A) (*1) (B) (*2) (B-A)
Assets: Assets:
Cash and due from banks at Cash and due from banks
amortized cost W 28,453,404 at amortized cost W 29,049,341 W
Financial assets at fair
Financial assets at fair value
62,403,759 loss 68,161,348
Securities at fair value Securities at fair value
through other through other
comprehensive income 64,838,323 comprehensive income 90,893,467
Securities at amortized cost
49,930,076 cost 26,164,942
Loans at amortized cost 389,137,156 Loans at amortized cost 384,810,774
Other assets (*3) 53,389,467 Other assets 42,784,650
W 648,152,185 W 641,864,522 (6,287,663)
Liabilities: Liabilities:
Deposits W 364,896,675 Deposits W 364,874,652
Borrowing 43,167,065 Borrowing 43,167,065
Debt securities issued 80,149,362 Debt securities issued 80,149,362
Insurance contract
Insurance contract liabilities
54,333,498 liabilities 53,774,915
liabilities 281,763
Investment contract
liabilities 2,953,698
Other liabilities (*3) 56,067,163 Other liabilities 46,447,117
598,613,763 591,648,572 (6,965,191)
Equity W 49,538,422 Equity W 50,215,950 W 677,528
(*1) Prepared in accordance with K-IFRS 1109 ‘financial instruments’, K-IFRS 1104 ‘Insurance Contracts’, and
Enforcement Rules of the Insurance Business Act. (Application of the overlay approach under K-IFRS 1104 to
financial assets related to insurance contracts)
(*2) Prepared in accordance with K-IFRS 1109 ‘financial instruments’ and K-IFRS 1117 ‘Insurance Contracts’
(changed business model is applied to financial assets related to insurance contracts under K-IFRS 1117)
(*3) Other assets and other liabilities under K-IFRS 1104 include separate account assets amounted to W 9,501,135
million and separate account liabilities amounted to W 9,834,894 million, respectively.
314
ii) Classification of financial assets (derivatives excluded) on January 1, 2022 as the transition date in accordance with
K-IFRS 1117 is as follows:
January 1,2022
Transition Classifica- Transition
date (Jan. tion due to date (Jan.
1, 2022) Separate Policy loan new 1, 2022)
under K- account excluded business under K-
Classification IFRS 1104 (*1) (*2) model IFRS 1117
Cash and due Financial assets
from banks at at amortized
amortized cost cost W 28,453,404 595,937 - - 29,049,341
Due from banks Financial assets
at fair value at fair value
through profit through profit
or loss or loss 34,262 - - - 34,262
Financial assets
Securities at fair
at fair value
value through
through profit
profit or loss
or loss 60,686,153 6,121,716 - (364,127) 66,443,742
Financial assets
Loans at fair
at fair value
value through
through profit
profit or loss
or loss 1,683,344 - - - 1,683,344
Securities at fair Financial assets
value through at fair value
other through other
comprehensive comprehensive
income income 64,838,323 2,035,462 - 24,019,681 90,893,466
Financial assets
Securities at
at amortized
amortized cost
cost 49,930,076 - - (23,765,134) 26,164,942
Financial assets
Loans at
at amortized
amortized cost
cost 389,137,156 768,256 (5,094,638) - 384,810,774
(*1) Consisted of the total of separate account and intercompany transactions that are eliminated.
(*2) Policy loans, which used to be recognized as separate assets under K-IFRS 1104 ‘Insurance Contracts’ and
Enforcement Rules of the Insurance Business Act., are measured as part of insurance contracts in accordance with K-
IFRS 1117.
315
iii) Significant adjustments to assets, liabilities and equity under K-IFRS 1117 on January 1, 2022 as the transition
date are as follows:
January 1, 2022
Assets Liabilities Equity
Application of K-IFRS 1104 on January 1, 2022 W 648,152,185 598,613,763 49,538,422
Elimination of carrying amount of K-IFRS 1104 items: -
Loans at amortized cost (policy loans) (5,094,638) - (5,094,638)
Unamortized acquisition cost (954,949) - (954,949)
Insurance contract liabilities - (61,187,386) 61,187,386
Intercompany transactions with separate account for the
consolidation presentation 45,458 44,919 539
Others (*) (161,677) (124,117) (37,560)
Application of K-IFRS 1117:
Reclassification of financial assets (109,579) - (109,579)
Recognition of insurance contract liabilities - 53,774,915 (53,774,915)
Recognition of reinsurance contract liabilities - 281,763 (281,763)
Tax effects from adjustments (12,278) 244,715 (256,993)
Total of adjustments for transition date (6,287,663) (6,965,191) 677,528
Application of K-IFRS 1117 on January 1, 2022 (the
transition date) W 641,864,522 591,648,572 50,215,950
(*) Consisted of elimination of accounts receivable (payable) and others that are measured as part of insurance
contracts under K-IFRS 1117.
iv) Significant adjustments to accumulated other comprehensive income (loss) and retained earnings as part of the
statement of changes in equity under K-IFRS 1117 on January 1, 2022 as the transition date are as follows:
January 1, 2022
Accumulated other
(loss) Retained earnings
Application of K-IFRS 1104 on January 1, 2022 (the transition date)
W (984,936) 30,541,300
Recognition of net difference from initial application of K-IFRS
1117 (42,601) 627,174
Elimination of financial assets at fair value through profit or loss
(overlay approach) (209,645) 209,645
Reclassification of financial instruments under K-IFRS 1117 (99,607) (10,001)
Recognition of net insurance finance income from insurance contract
assets (liabilities) 459,556 -
Tax effects from adjustments (27,990) (229,003)
Total of adjustments for transition date 79,713 597,815
Application of K-IFRS 1117 on January 1, 2022 (the transition date) W (905,223) 31,139,115
316
(b) Significant effects in the primary financial statements such as the financial position as of December 31, 2022 and
comprehensive income statement for the period ended December 31, 2022 under K-IFRS 1117 are as follows:
i) The statement of financial position as of December 31, 2022
Amount under Adjustment Amount under

K-IFRS 1104 for K-IFRS 1117 K-IFRS 1117
Assets
Cash and due from banks at amortized cost W 29,532,235 518,605 30,050,840
Financial assets at fair value through profit or
loss 56,643,669 4,864,612 61,508,281
comprehensive income 63,661,719 21,807,442 85,469,161
Securities at amortized cost 57,971,492 (24,600,294) 33,371,198
Loans at amortized cost 412,291,511 (4,392,539) 407,898,972
Reinsurance contract assets - 88,772 88,772
Other assets 55,783,655 (9,737,649) 46,046,006
675,884,281 (11,451,051) 664,433,230
Liabilities
Deposits 383,010,745 (22,451) 382,988,294
Borrowings 49,279,175 - 49,279,175
Debt securities issued 77,288,783 - 77,288,783
Insurance contract liabilities 54,315,124 (8,410,351) 45,904,773
Reinsurance contract liabilities - 62,803 62,803
Investment contract liabilities - 2,133,586 2,133,586
Other liabilities 60,860,032 (7,507,774) 53,352,258
624,753,859 (13,744,187) 611,009,672
Equity W 51,130,422 2,293,136 53,423,558
ii) The statement of comprehensive income for the period ended December 31, 2022

Operating income
Net interest income W 12,463,681 (1,866,828) 10,596,853
Net fees and commission income 2,525,566 (112,024) 2,413,542
Net insurance income (expense) (827,233) 1,873,457 1,046,224
Net insurance finance income - 807,964 807,964
Other operating expenses (8,273,935) (685,084) (8,959,019)
5,888,079 17,485 5,905,564
Equity method income 121,697 - 121,697
Other non-operating income, net 339,475 (110) 339,365
Profit before income taxes 6,349,251 17,375 6,366,626
Income tax expense (1,617,088) 5,976 (1,611,112)
Profit for the period 4,732,163 23,351 4,755,514
Other comprehensive loss for the period, net of
income tax (2,598,032) 1,592,257 (1,005,775)
Total comprehensive income for the period W 2,134,131 1,615,608 3,749,739
317
(b) Significant effects in the primary financial statements such as the financial position as of December 31, 2022 and
comprehensive income statement for the period ended December 31, 2022 under K-IFRS 1117 are as follows
iii) The statement of cash flows for the period ended December 31, 2022

Cash flows from operating activities W 7,592,560 (404,120) 7,188,440
Cash flows from investing activities (11,031,456) 335,529 (10,695,927)
Cash flows from financing activities 3,394,715 - 3,394,715
Effect of exchange rate changes on cash and
cash equivalents held (57,837) (1,118) (58,955)
Cash and cash equivalents at the beginning
of the period 24,103,443 482,230 24,585,673
Cash and cash equivalents at the end of the
period W 24,001,425 412,521 24,413,946
318
152, Teheran-ro, Gangnam-gu, Seoul 06236
(Yeoksam-dong, Gangnam Finance Center 27th Floor)
Republic of Korea
Independent Auditors’ Report on Internal Control over Financial Reporting

for Consolidation Purposes
Based on a report originally issued in Korean
The Board of Directors and Stockholders
Shinhan Financial Group Co., Ltd.
Opinion on Internal Control over Financial Reporting for Consolidation Purposes
We have audited the internal control over financial reporting (“ICFR”) for consolidation purposes of
Shinhan Financial Group Co., Ltd. and its subsidiaries (“the Group”) as of December 31, 2023 based on
the criteria established in the Conceptual Framework for Designing and Operating ICFR (“ICFR Design
and Operation Framework”) issued by the Operating Committee of Internal Control over Financial
Reporting in the Republic of Korea (the “ICFR Committee”).
In our opinion, the Group maintained, in all material respects, effective internal control over financial
reporting for consolidation purposes as of December 31, 2023, based on ICFR Design and Operation
Framework.
We have also audited, in accordance with Korean Standards on Auditing (KSAs), the consolidated financial
statements of the Group, which comprise the consolidated statement of financial position as of December
31, 2023, the consolidated statements of comprehensive income, changes in equity and cash flows for the
year then ended, and notes, comprising a summary of material accounting policies and other explanatory
information, and our report dated March 4, 2024 expressed an unmodified opinion on those consolidated
Basis for Opinion on Internal Control over Financial Reporting for Consolidation Purposes
We conducted our audit in accordance with KSAs. Our responsibilities under those standards are further
described in the Auditors’ Responsibilities for the Audit of the Internal Control over Financial Reporting
for Consolidation Purposes section of our report. We are independent of the Group in accordance with the
ethical requirements that are relevant to our audit of the internal control over financial reporting for
consolidation purposes in the Republic of Korea, and we have fulfilled our other ethical responsibilities in
accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our opinion.
Responsibilities of Management and Those Charged with Governance for the Internal Control over
Financial Reporting for Consolidation Purposes
The Group’s management is responsible for designing, operating and maintaining effective internal control
over financial reporting for consolidation purposes and for its assessment of the effectiveness of internal
control over financial reporting for consolidation purposes, included in the accompanying ‘ICFR Operating
Status Report for Consolidation Purposes by CEO and IAM.’
Those charged with governance are responsible for overseeing the Group’s internal control over financial
reporting for consolidation purposes.
Auditors’ Responsibilities for the Audit of the Internal Control over Financial Reporting for Consolidation
Purposes
Our responsibility is to express an opinion on the Group’s internal control over financial reporting for
consolidation purposes based on our audit. We conducted our audit in accordance with KSAs. Those
standards require that we plan and perform the audit to obtain reasonable assurance about whether effective
internal control over financial reporting for consolidation purposes was maintained in all material respects.
Auditors’ Responsibilities for the Audit of the Internal Control over Financial Reporting for Consolidation
Purposes
Our audit of internal control over financial reporting for consolidation purposes included obtaining an
understanding
Our of internal
responsibility control over
is to express financial
an opinion onreporting for consolidation
the Group’s purposes,
internal control assessingreporting
over financial the risk that
for
a material weakness exists, and testing and evaluating the design and operating effectiveness of internal
consolidation purposes based on our audit. We conducted our audit in accordance with KSAs. Those
control based on the assessed risk.
standards require that we plan and perform the audit to obtain reasonable assurance about whether effective
internal control over financial reporting for consolidation purposes was maintained in all material respects.
Definition and Limitations of Internal Control over Financial Reporting for Consolidation Purposes
Our audit of internal control over financial reporting for consolidation purposes included obtaining an
A company’s internal control over financial reporting for consolidation purposes is a process designed to
understanding of internal control over financial reporting for consolidation purposes, assessing the risk that
provide reasonable assurance regarding the reliability of financial reporting and the preparation of
a material weakness exists, and testing and evaluating the design and operating effectiveness of internal
consolidated financial statements for external purposes in accordance with Korean International Financial
control based on the assessed risk.
Reporting Standards (“K-IFRS”). A company’s internal control over financial reporting for consolidation
purposes includes those policies and procedures that (1) pertain to the maintenance of records that, in
Definition and Limitations of Internal Control over Financial Reporting for Consolidation Purposes
reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Group;
(2)company’s
A provide reasonable assurance
internal control over that transactions
financial reportingareforrecorded as necessary
consolidation purposestois permit preparation
a process designed ofto
consolidated financial statements in accordance with K-IFRS, and that receipts and
provide reasonable assurance regarding the reliability of financial reporting and the preparation expenditures of the
of
Group are being
consolidated made statements
financial only in accordance
for externalwithpurposes
authorizations of management
in accordance and directors
with Korean of the
International Group;
Financial
and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized
Reporting Standards (“K-IFRS”). A company’s internal control over financial reporting for consolidation acquisition,
use, or disposition
purposes of thepolicies
includes those Group’sand
assets that could
procedures thathave
(1) apertain
material effect
to the on the consolidated
maintenance of recordsfinancial
that, in
statements.
reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Group;
(2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of
Because of its inherent limitations, internal control over financial reporting for consolidation purposes may
consolidated financial statements in accordance with K-IFRS, and that receipts and expenditures of the
not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods
Group are being made only in accordance with authorizations of management and directors of the Group;
are subject to the risk that controls may become inadequate because of changes in conditions, or that the
and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition,
degree of compliance with the policies or procedures may deteriorate.
use, or disposition of the Group’s assets that could have a material effect on the consolidated financial
statements.
Because of its inherent limitations, internal control over financial reporting for consolidation purposes may
not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods
are subject to the risk that controls may become inadequate because of changes in conditions, or that the
degree of compliance with the policies or procedures may deteriorate.
Seoul, Korea
March 4, 2024
have a material impact on the internal control over financial reporting for consolidation purposes.
Accordingly,
Seoul, Korea the readers of the audit report should understand that the above audit report has not been
March 4, 2024
have a material impact on the internal control over financial reporting for consolidation purposes.
Accordingly, the readers of the audit report should understand that the above audit report has not been
320
321

SFG Consolidated FY23

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SFG Consolidated FY23

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SHINHAN FINANCIAL GROUP CO., LTD.

Consolidated Financial Statements

(With Independent Auditor’s Report Thereon)

Independent Auditors’ Report 1

Consolidated Statements of Financial Position 6

Consolidated Statements of Comprehensive Income 8

Consolidated Statements of Changes in Equity 10

Consolidated Statements of Cash Flows 12

Notes to the Consolidated Financial Statements 15

Independent Auditors’ Report on Internal Control over Financial Reporting

Independent Auditors’ Report

The Board of Directors and Stockholders

Basis for Opinion

Key Audit Matters

(1) Assessment of allowance for credit losses for loans

(3) Measurement of Insurance Liabilities’ Current Fulfilment Value

Auditors’ Responsibilities for the Audit of the Consolidated Financial Statements

KPMG Samjong Accounting Corp.

(In millions of won) December 31, December 31, January 1,

Total assets W 691,795,333 664,433,230 641,864,522

(In millions of won) December 31, December 31, January 1,

Total liabilities 635,473,468 611,009,672 591,648,572

Total liabilities and equity W 691,795,333 664,433,230 641,864,522

(In millions of won) Note 2023 2022

Interest income W 27,579,211 20,092,325

Fees and commission income 4,175,243 3,884,346

Insurance income 2,899,599 2,741,730

Insurance finance income 143,064 850,940

Dividend income 36 181,486 177,569

Operating income 6,100,850 5,905,564

Equity method income 16 125,088 121,697

Income tax expense 44 1,486,960 1,611,112

Other comprehensive income for the year, net of

Total comprehensive income for the year W 5,322,389 3,749,739

Profit attributable to:

Earnings per share: 32, 45

Other changes in equity

Other changes in equity

(In millions of won) Note 2023 2022

Cash flows from operating activities

Changes in assets and liabilities:

(In millions of won) Note 2023 2022

Deposits W (1,380,003) 18,309,172

Income taxes paid (1,931,943) (1,693,408)

Net cash inflow from operating activities 529,846 7,188,440

Cash flows from investing activities

(In millions of won) Note 2023 2022

Cash flows from financing activities

Cash and cash equivalents at beginning of year 47 24,413,946 24,585,673

Cash and cash equivalents at end of year 47 W 30,416,884 24,413,946

(a) Controlling company

1. Reporting entity (continued)

Date of Ownership (%)

1. Reporting entity (continued)

(c) Consolidated structured entities

Consolidated structured entities are as follows:

(a) Statement of compliance

(b) Basis of measurement

- derivative financial instruments measured at fair value

(c) Functional and presentation currency

(d) Use of estimates and judgments

2. Basis of preparation (continued)

(e) Standards and amendments adopted by the Group