Samsung Asset Management, Samsung Global Semiconductor Fund... Net Assets Surpass 100 Billion Won

Samsung Asset Management announced on the 31st that the Samsung Global Semiconductor Fund has surpassed 100 billion KRW in net assets, reaching 103.2 billion KRW.

Launched in September 2021, the Samsung Global Semiconductor Fund invests in global semiconductor companies expected to directly benefit from the highly spotlighted theme of the artificial intelligence (AI) industry. It focuses intensively on the top 20 global companies based on semiconductor sales.

The hedge (H) and unhedge (UH) types of the Samsung Global Semiconductor Fund recorded returns of 60.6% and 67.03%, respectively, last year. Year-to-date returns are also strong at 4.7% and 7.1%. Unlike ETFs, this product offers both a hedge (H) type that avoids currency exposure risk depending on exchange rate forecasts and an unhedge (UH) type that can expect additional currency gains from exchange rate increases, allowing investors to choose according to their exchange rate outlook.

The Samsung Global Semiconductor Fund is the industry's first public offering fund composed of a global semiconductor portfolio including Korea. It has the advantage of diversified investment in global semiconductor companies from Korea, Taiwan, Japan, and Europe, including U.S. semiconductor companies such as NVIDIA and AMD, as well as Samsung Electronics, TSMC, Tokyo Electron, and ASML.

Unlike index funds or ETFs that track existing U.S. Philadelphia Semiconductor Indexes, it enables investment encompassing leading domestic semiconductor companies with global technological competitiveness such as Samsung Electronics and SK Hynix.

Additionally, the Samsung Global Semiconductor Fund monitors rapidly growing semiconductor companies in emerging markets as well as leading companies in the market and is characterized by its flexible response to market changes. First, it selects the top 20 semiconductor-related stocks based on sales from the most recent fiscal year and determines weights based on market capitalization. Then, considering various quantitative indicators such as sales and profit growth rates and return on equity (ROE), it selects about 10 additional stocks and conducts rebalancing regularly.

Jonghee Lee, manager at Samsung Asset Management, said, “There is explosive global interest in AI-related stocks recently. The AI industry is still in its early stages, and the winners cannot be predicted in advance, but if customized investments are made in semiconductor companies essential to AI industry development while considering exchange rate forecasts, the fruits of growth can be obtained more effectively.”