Hantoo Asset Management, Korea Investment TDF Self-Managed ETF Focus Surpasses 100 Billion KRW in Assets Under Management

Korea Investment Trust Management announced on the 26th that the assets under management of the Korea Investment TDF Alseora ETF Focus Fund series have surpassed 100 billion KRW.

According to FnGuide, as of the closing price on the 26th, the assets under management of the Korea Investment TDF Alseora ETF Focus Fund series (including TIF) reached 102 billion KRW, marking an approximately 72% increase since the beginning of the year. This fund series recorded the highest one-year returns in five vintages: 2035, 2040, 2045, 2055, and 2060.

Among them, the Korea Investment TDF Alseora ETF Focus 2060 (C-Re class) posted a one-year return of 24.65%, ranking first among domestic TDF retirement pension online classes. This significantly exceeds the overall average TDF return of 14.78%. The six-month returns of the Korea Investment TDF Alseora ETF Focus Fund series range from 13.12% to 16.30%, and the one-year returns range from 17.39% to 24.95%.

The performance of the Korea Investment TDF Alseora ETF Focus Fund series is attributed to its focused investment in U.S. growth stock ETFs with currency exposure and inclusion of domestic bond ETFs, managing asset classes with low correlations to respond stably to market volatility. Additionally, based on the Long-Term Capital Market Assumptions (LTCMA) and research independently developed by Korea Investment Trust Management, the fund achieved high returns through effective asset allocation and strict risk management.

Target Date Funds (TDFs) are products that automatically adjust portfolios according to the target date (vintage) to provide stable performance until the investor’s retirement. Korea Investment Trust Management offers a total of eight vintage TDF product lineups: 2030, 2035, 2040, 2045, 2050, 2055, 2060, and Gold 2080. Among these, the 2060 and 2080 vintages are uniquely managed by Korea Investment Trust Management among domestic asset management companies.

In April of this year, Korea Investment Trust Management attracted attention by newly launching the Korea Investment TDF Alseora Gold 2080 Fund. This fund is the first ultra-long-term TDF product in Korea targeting the retirement year 2080. It sets the initial risk asset allocation at 99% to increase expected returns and includes “gold,” which has a low correlation with stocks, to improve the fund’s risk-adjusted returns. Compared to most domestic TDF products that set risk asset allocations below 80%, this fund’s risk asset allocation is relatively high. Therefore, it is suitable for investors with an aggressive investment style seeking high long-term returns, investors who find it difficult to select products among stock-type investments by theme or region, and investors considering global asset allocation stock investments.

Wonseok Oh, Executive Director in charge of pensions at Korea Investment Trust Management, explained, “The performance of the Korea Investment TDF Alseora ETF Focus Fund series is due to consistently excellent results since inception. The concept of maximizing long-term returns stably by lowering fees, risks, and turnover according to a passive strategy has proven successful.”

He added, “Since pension investment is an ultra-long-term investment that should be viewed over 30 years or more, we recommend steady installment investments in lifecycle-type global asset allocation funds like TDFs from a long-term perspective.” He also stated, “We plan to continue expanding the lineup of various TDF products and increase the number of distributors.”