Shinhan Asset Management Holds Event Celebrating 3 Consecutive Months of Net Buying in 'SOL US Dividend Dow Jones'

[Asia Economy Reporter Kwangho Lee] Shinhan Asset Management SOL ETF announced on the 23rd that it will hold a certification event to celebrate three consecutive months of net individual purchases of the ‘SOL U.S. Dividend Dow Jones ETF.’ By attaching a screenshot of the monthly dividend deposit details for certification, participants will be entered into a draw to receive Starbucks Americano gifticons (up to 3 cups).

The Korean version of SCHD, ‘SOL U.S. Dividend Dow Jones,’ is a product that tracks the same index as SCHD (Schwab US Dividend Equity ETF), a representative U.S. dividend growth ETF, while incorporating a monthly dividend strategy. Since its listing in November last year, net purchases by individual investors have continued daily, growing more than eightfold in size within three months.

Riding on word of mouth among investors, the speed of fund inflow has also noticeably increased. The net inflow, which was 5.1 billion KRW in the first month of listing (November), rose to 15.3 billion KRW in January this year, and in February, 20.2 billion KRW flowed in within just 21 days.

Looking at the Dow Jones U.S Dividend 100 Index, the underlying index of SOL U.S. Dividend Dow Jones, it has recorded an average annual dividend growth rate of 12% and a stable dividend yield in the mid-3% range over the past 10 years. Unlike SCHD, the SOL U.S. Dividend Dow Jones ETF has the advantage of being investable through tax-exempt accounts, including pension accounts.

The event is being held through the SOL ETF blog. Among investors who register their name and contact information on the event page along with certification photos of monthly dividends from SOL U.S. S&P 500 and SOL U.S. Dividend Dow Jones, 333 people will receive Starbucks Americano gifticons (up to 3 cups).

A Shinhan Asset Management official stated, “As the events in January and February were conducted on a first-come, first-served basis, early closure caused some disappointment among investors whose dividends were deposited late depending on their brokerage firms, so we decided to change to a lottery system.”

The event period is from March 2 to March 15. Investors must purchase SOL U.S. S&P 500 and SOL U.S. Dividend Dow Jones ETFs by February 24, 2023, and hold them in their accounts on the dividend payment record date, February 28. Dividends will be paid on March 2, 2023, the first business day of March, and payment times may vary by brokerage firm.

After the event ends, winners will be individually notified for prize delivery, with gifticon distribution scheduled for March 20, 2023. Detailed information about the event and prizes can be found on the SOL ETF blog.