ETF Net Asset Value and Market Share Continue to Grow
Result of Introducing Differentiated Products
Korea Investment Trust Management announced on the 25th that the net asset value of the ACE Exchange-Traded Fund (ETF) has surpassed 10 trillion won. This is the first time that Korea Investment Trust Management's ETF net assets have exceeded 10 trillion won.
According to the Korea Exchange, as of the 24th, the net asset value of the ACE ETF was 10.0543 trillion won, with a market share of 6.63%. Compared to the end of last year, when the ACE ETF's net asset value was 5.9179 trillion won (market share 4.89%), it increased by 69.90%. The market share rose by 1.74%.
Korea Investment Trust Management's ACE ETF has steadily increased its net asset value and market share this year. The monthly average growth rate of the net asset value compared to the previous month recorded by the ACE ETF is 9.27%. The market share has increased by an average of 0.29 percentage points per month. Among asset managers operating ETFs with net assets over 5 trillion won, Korea Investment Trust Management is the only one whose net asset value and market share have increased this year.
The growth of the ACE ETF is attributed to differentiated product offerings. Since changing its ETF brand to ACE in October 2022, Korea Investment Trust Management has focused on providing differentiated products such as the ▲ACE Global Semiconductor TOP4 Plus SOLACTIVE ETF ▲ACE US Big Tech TOP7 Plus ETF ▲ACE US Stock 15% Premium Distribution ETF series ▲ACE Big Tech Value Chain Active ETF series.
The ACE Global Semiconductor TOP4 Plus SOLACTIVE ETF differs from existing semiconductor ETFs by dividing the semiconductor industry into four sectors: memory, non-memory, foundry, and semiconductor equipment, and concentrating investments in leading companies. This is to fully benefit from the growth of the semiconductor industry. As a result, since its listing in November 2022, the ACE Global Semiconductor TOP4 Plus SOLACTIVE ETF has recorded a return of 167.93%.
Big tech investment products are also offered with various strategies. Launched in September last year, the ACE US Big Tech TOP7 Plus ETF employs a strategy that focuses on the top seven global big tech companies by market capitalization. Additionally, the ACE US Big Tech 7 +15% Premium Distribution (Synthetic) ETF is the first covered call product in Korea utilizing zero-day-to-expiration (0DTE) options, allowing investors to receive up to 15% annual distributions while investing in big tech.
By launching big tech value chain products including the ACE Apple Value Chain Active ETF, a focused investment vehicle centered on leading companies in the artificial intelligence (AI) industry value chain has been established.
Besides global equity products, ACE ETFs also feature distinctive bond products. The ACE US 30-Year Treasury Active (H) ETF and ACE US High Yield Active (H) ETF are the first domestic products to physically include US long-term treasury bonds and US high-yield bonds. The ACE Maturity Auto-Extension Corporate Bond ETF series is recognized as a new type of maturity-matching bond ETF exclusively held by Korea Investment Trust Management.
Jae-gyu Bae, CEO of Korea Investment Trust Management, said, "By aiming for 'investments that help customers make money' and striving to provide products suitable for long-term investment in a timely manner, ACE ETF was able to achieve a net asset value of 10 trillion won."
He added, "Going forward, ACE ETF will continue to analyze long-term growth industries such as big tech and semiconductors to offer products that investors can steadily include in their portfolios through systematic and diversified investments."
These products are performance-distributing types, and past performance does not guarantee future results. Additionally, investors should be aware that principal loss may occur depending on management outcomes.
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