ETF Returns in Q1 This Year Dominated by 'TIGER'

TIGER Secondary Battery Theme 3-Month Return 59.36%
‘TIGER’ ETFs Take 1st to 4th Place

Although stock market volatility was high in the first quarter of this year, Mirae Asset Global Investments' exchange-traded funds (ETFs) led the ETF market by showing high returns. According to the Korea Exchange on the 30th, an analysis of returns over the past three months showed that Mirae Asset Global Investments' ETF brand 'TIGER' ranked first through fourth.

TIGER Secondary Battery Theme recorded a three-month return of 59.36%, ranking first. Following that, TIGER US Philadelphia Semiconductor Leverage (Synthetic) posted a return of 55.47% during the same period, TIGER KRX Secondary Battery K-New Deal Leverage 52.57%, and TIGER KOSDAQ 150 Leverage 48.96%. Next, Kiwoom Asset Management's KOSEF KOSDAQ150 Futures Leverage recorded a return of 48.07%, ranking fifth.

The high investment proportion in secondary battery material companies, whose stock prices have recently surged, and the use of leverage strategies are analyzed as the reasons for the high returns. TIGER Secondary Battery Theme has a large investment proportion in companies such as EcoPro BM and EcoPro. KOSDAQ 150 Leverage and Secondary Battery K-New Deal Leverage also have a large proportion of the secondary battery sector and are operated as leverage products.

The US Philadelphia Semiconductor Leverage is analyzed to have recorded high returns due to the sharp rise in stock prices of artificial intelligence (AI) semiconductor companies benefiting from ChatGPT. Leverage ETFs invest in derivatives such as futures to pursue higher returns than the index. While they can expect high returns in a rising market, losses can also increase in a falling market.

Meanwhile, there are a total of 157 listed TIGER ETFs, with net assets of about 33 trillion won, accounting for 37% of the domestic ETF market. Since Mirae Asset Global Investments first introduced TIGER ETFs in 2006, it has led innovative growth theme ETFs by launching Korea's first 'TIGER US Nasdaq 100' tracking the US Nasdaq 100 index, and has introduced various ETFs. Recently, TIGER ETFs related to new trends such as ChatGPT have been attracting attention among investors.