Mirae Asset's TIGER US+% Premium ETF 3 Types Surpass 1 Trillion KRW in Net Assets

Mirae Asset Global Investments announced on the 28th that the total net assets of the three types in the ‘TIGER US +% Premium ETF’ series have surpassed 1 trillion KRW. By investing in these ETFs together, investors can create a portfolio that pays dividends twice a month, increasing interest in the ‘biweekly dividend solution.’

According to the Korea Exchange, as of the closing price on the 27th, the net assets of the ‘TIGER US Dividend +7% Premium Dow Jones ETF (458760)’ amounted to 695.6 billion KRW. It is the largest covered call ETF listed domestically. The ‘TIGER US Tech TOP10 +10% Premium ETF’ and the ‘TIGER US Dividend +3% Premium Dow Jones ETF’ recorded 302.9 billion KRW and 55.5 billion KRW, respectively.

The ‘TIGER US +% Premium ETF’ series is a covered call ETF introduced by Mirae Asset Global Investments in June 2023, the first in the world to adopt the ‘+% Premium’ strategy. Unlike typical covered call ETFs that sell 100% call options, the ‘+% Premium’ strategy adjusts the proportion of option sales to maintain a targeted premium. Investors can expect dividend yields that add a certain percentage (+%) to the underlying index’s annual average dividend yield. The extent of stock price appreciation and dividend income varies depending on the proportion of option sales.

The ‘TIGER US Tech TOP10 +10% Premium ETF’ is notable as the first domestic ETF to pay dividends in the middle of each month. In January, Mirae Asset Global Investments set the dividend payment date of this ETF to mid-month as part of the ‘biweekly dividend solution.’ Consequently, by investing together in the ‘TIGER US Dividend +7% Premium Dow Jones ETF,’ which pays dividends at the end of the month, and the ‘TIGER US Tech TOP10 +10% Premium ETF,’ investors can create a monthly dividend portfolio that pays dividends twice a month. When dividend payment cycles are staggered biweekly, investors are expected to benefit from portfolio stabilization and be able to devise various reinvestment strategies.

Kim Su-myeong, Senior Manager of the Strategic ETF Management Division at Mirae Asset Global Investments, said, “This ETF series invests broadly in high-quality dividend stocks with strong defensive capabilities in bear markets and big tech stocks with high upward momentum, balancing growth and dividend stocks.” He added, “Receiving dividends biweekly can improve cash flow, allowing for diverse investment strategies and more stable responses to stock market fluctuations.”