[Asia Economy Reporter Minji Lee] Mirae Asset Global Investments announced on the 27th that the net assets of the ‘TIGER Global Lithium & Secondary Battery SOLACTIVE ETF’ have surpassed 500 billion KRW. This was achieved in just 25 trading days since its listing on July 20, marking the shortest period among overseas investment ETFs listed in Korea.
According to the Korea Exchange, as of the closing price on the 26th, the net assets of the TIGER Global Lithium & Secondary Battery SOLACTIVE ETF stood at 520 billion KRW. Individual investors led the growth by net buying 392.7 billion KRW. Previously, the ETF had exceeded 100 billion KRW in net assets just four days after its listing.
The TIGER Global Lithium & Secondary Battery SOLACTIVE ETF invests across the global battery-related industry, from lithium mining to secondary battery production and finished vehicle manufacturers. Secondary batteries continue to grow based on eco-friendly policies worldwide, and the market for core battery materials is also expected to expand. Among these, lithium is highly utilized in various industries, earning the nickname ‘white petroleum’ and establishing itself as an irreplaceable raw material.
The ETF tracks the ‘SOLACTIVE Global Lithium Index.’ The index consists of 20 to 40 global companies involved in lithium exploration and mining, as well as battery production, including Albemarle, Yunnan Energy New Material, CATL, EVE Energy, and BYD. Among Korean companies, Samsung SDI is also included.
Namgi Kim, Executive Director of the ETF Management Division at Mirae Asset Global Investments, stated, “The transition to eco-friendly vehicles, including electric vehicles, will occur rapidly and strongly in the future. The TIGER Global Lithium & Secondary Battery SOLACTIVE ETF allows diversified investment in global companies related to electric vehicles and secondary batteries, from lithium to batteries, making it a good alternative for investors who find China-heavy China Electric Vehicle ETFs burdensome.”
The TIGER Global Lithium & Secondary Battery SOLACTIVE ETF can be traded through pension accounts such as retirement pensions and pension savings. ETFs are exempt from transaction tax, and when traded through pension accounts, capital gains and dividends are subject to low-rate separate taxation as pension income tax upon pension receipt, providing tax-saving benefits.
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