Samsung Asset, KODEX India ETFs 3 Types..."Individuals Net Buy 100 Billion Won"

Samsung Asset Management announced on the 5th that individual investors have recorded net purchases exceeding 100 billion KRW this year in three KODEX India Exchange-Traded Funds (ETFs). As of the closing price on the 4th, the cumulative net purchase amount by individuals reached 105.4 billion KRW.

Samsung Asset Management currently holds three India ETFs: the KODEX India Nifty50 ETF and KODEX India Nifty50 Leverage ETF, which invest in India’s representative indices and were listed last year, and the KODEX India Tata Group ETF, which was launched last month as Korea’s first India-themed product. Since the beginning of this year, individual investors have net purchased 86.2 billion KRW in KODEX India Nifty50, 6.4 billion KRW in KODEX India Nifty50 Leverage, and 12.8 billion KRW in KODEX India Tata Group. In the past month alone, funds inflows amounted to 21.8 billion KRW, 1.1 billion KRW, and 12.8 billion KRW respectively, totaling 35.7 billion KRW.

The KODEX India Tata Group, listed last month, surpassed 10 billion KRW in net purchases by individuals within just 13 trading days. Since its listing, the average daily trading volume exceeded 1.01 million shares, surpassing the 880,000 shares of the KODEX India Nifty50, which has a net asset size exceeding 300 billion KRW, demonstrating strong investor interest.

The KODEX India Tata Group ETF invests in the top 10 companies of the Tata Group, known as the “Samsung of India.” Tata Group is India’s largest conglomerate with a 150-year history and over 100 subsidiaries.

It consists of companies with the greatest competitiveness in India’s three major high-growth industries: consumer goods, IT, and infrastructure. Representative subsidiaries of Tata Group include Tata Motors, which owns the global premium automobile brands Jaguar and Land Rover; Tata Consumer Products, which operates Starbucks in India; Trent, which manages the Zara and Massimo Dutti brands; Tata Consultancy Services, a world-leading IT services company; and Tata Steel, India’s largest and one of the world’s top 10 steel companies.

India is currently experiencing economic growth led by mega conglomerates based on Prime Minister Modi’s economic policy (Modinomics). Last year, India recorded a real GDP growth rate of 7.8%, surpassing the UK to become the world’s 5th largest economy. Investors widely expect that Prime Minister Modi, who secured a third term in the recent general election, will continue his pro-business, growth-focused policies to fulfill his election pledge of making India a “developed country by 2047.”

Ga-hyun Lee, a manager at Samsung Asset Management, said, “India is a market worthy of attention not only for the short-term momentum of the general election but also for its long-term growth potential compared to other countries. In particular, since consumer goods, IT, and infrastructure are India’s three major high-growth industries, we expect investors to show strong interest in the KODEX India Tata Group ETF, which focuses on the top 10 companies of India’s largest conglomerate, Tata Group, that have strengths in these sectors.”