February Discretionary ISA Cumulative Return 12.31%... Down 1%p from Previous Month Due to COVID-19

[Asia Economy Reporter Oh Ju-yeon] The cumulative return of discretionary Individual Savings Accounts (ISA) fell in February compared to the previous month. This was due to the sharp decline in global stock markets amid concerns over the spread of the novel coronavirus infection (COVID-19).

According to the Korea Financial Investment Association on the 31st, the cumulative return of 205 ISA model portfolios (MPs) launched by 25 securities firms and banks for more than three months as of the end of February this year recorded an average of 12.31%. This is a 1 percentage point decrease from 13.31% in January.

By type, the cumulative return of ultra-high-risk products was the highest at 19.5%, followed by high-risk (15.92%), medium-risk (10.92%), low-risk (8.41%), and ultra-low-risk (6.14%).

Among the return aggregation targets, 188 MPs (91.7%) exceeded a cumulative return of 5%, and 204 MPs (99.6%) recorded positive returns.

The MP with the highest cumulative return was Kiwoom Securities' "Basic Investment Type (Ultra-High Risk)" at 49.57%, and the company with the highest average cumulative return was NH Investment & Securities at 19.71%.