NH-Amundi Asset Management Launches Global Gold Mining Companies ETF

NH-Amundi Asset Management announced that it will list the HANARO Global Gold Mining Companies ETF on the 18th. This ETF is the first gold mining company-related ETF to be launched in the domestic market.

Recently, with the price of gold approaching $2,000 per ounce and showing continuous strength, interest in gold investment among individual investors is increasing. Gold is a representative safe asset that can be expected to rise in price during periods of falling interest rates and can serve as a risk hedge in uncertain market environments. There are two main ways to invest in gold: investing in physical gold or investing in related financial products.

For investors considering gold investment, investing in gold mining companies can be a good investment method. The stock prices of gold mining companies tend to be more volatile than physical gold due to fixed costs associated with gold mining and processing, but they can offer good investment returns when gold prices rise. Another advantage of investing in gold mining companies is the ability to regularly receive dividends.

The HANARO Global Gold Mining Companies ETF tracks the NYSE Arca Gold Miner Index as its benchmark. This index diversifies investment across 51 stocks related to gold mining globally, including in the United States, Canada, Australia, and South America. The VanEck Gold Miners ETF (GDX) in the U.S., which tracks the same index, is very popular with total assets reaching approximately 17 trillion KRW.

NH-Amundi Asset Management recommends using tax-advantaged accounts such as pension savings accounts, retirement pension accounts, and ISAs as investment methods for this ETF. While investing in gold mining company ETFs listed overseas incurs capital gains tax, using domestic tax-advantaged accounts can provide a tax advantage.

Kim Hyun-bin, Head of ETF Investment at NH-Amundi Asset Management, said, "At this time when interest rate hike cycles are expected to end and interest in gold investment is increasing, investment in gold mining companies should also be considered." He added, "The HANARO Global Gold Mining Companies ETF combines the advantages of gold investment and stock investment, making it a differentiated investment method."