Hantoo Asset Management, '1 Year Since Listing' ACE US Big Tech TOP7 Plus ETF... "Top Performer in Big Tech ETF Returns"

Korea Investment Trust Management announced on the 12th that the ACE US Big Tech TOP7 Plus Exchange-Traded Fund (ETF) is currently ranked first in returns among big tech ETFs over the past year.

The ACE US Big Tech TOP7 Plus ETF is a product listed by Korea Investment Trust Management on September 12, 2023. Based on the closing price as of the day before the first anniversary of its listing, the ACE US Big Tech TOP7 Plus ETF recorded a one-year return of 36.42%, ranking first among 19 big tech ETFs excluding leveraged products.

Including leveraged products, the ACE US Big Tech TOP7 Plus Leveraged (Synthetic) ETF, which was listed on the same day as the ACE US Big Tech TOP7 Plus ETF, recorded an overwhelming first place with a return of 69.64%. During the same period, the average return of big tech ETFs was only 30.63%.

The year-to-date returns are also excellent. The year-to-date returns of the ACE US Big Tech TOP7 Plus Leveraged (Synthetic) ETF and the ACE US Big Tech TOP7 Plus ETF were 60.16% and 31.19%, respectively. Including leveraged products, the ACE US Big Tech TOP7 Plus Leveraged (Synthetic) ETF ranks first in big tech ETF returns year-to-date, while excluding leveraged products, the ACE US Big Tech TOP7 Plus ETF holds the top spot.

The outstanding performance of the two ACE US Big Tech TOP7 Plus series ETFs is attributed to their selective and concentrated investment strategy. Korea Investment Trust Management focuses its investments on the top seven companies by market capitalization listed on the US Nasdaq Stock Exchange, known as the "Magnificent 7 (M7)." The seven stocks are △Apple △Microsoft △Amazon △Google (Alphabet A) △NVIDIA △Meta Platforms △Tesla, with a combined weighting of approximately 95% (as of the 11th for the ACE US Big Tech TOP7 Plus ETF).

Seunghyun Kim, head of ETF consulting at Korea Investment Trust Management, explained, "The way to succeed in investing in a growing market is to invest in areas where benefits are more concentrated. In the era of technology stocks, it is efficient to select investment targets based on strong fundamentals that can sustain research and development (R&D) investment and robust shareholder-friendly policies."

He added, "Although big tech companies may show short-term volatility due to market conditions such as interest rate cuts, the long-term growth trend remains unchanged. Since the ACE US Big Tech TOP7 Plus ETF is available for investment through pension accounts such as defined contribution (DC) retirement pensions and individual retirement pensions (IRP), it is a good option for long-term holding."