Korea Investment Trust Management announced on the 30th that individual investors' net buying of two ACE India Active Exchange-Traded Funds (ETFs) has continued since their listing.
The two ACE India Active ETFs are the ACE India Consumer Power Active ETF and the ACE India Market Representative BIG5 Group Active ETF, the first active India ETFs in Asia. Since their listing, these products have consistently attracted individual investors' interest, recording net purchases for 11 consecutive trading days. According to the Korea Exchange on the 27th of this month, individual investors net bought 4.3 billion KRW and 3 billion KRW of the ACE India Consumer Power Active ETF and the ACE India Market Representative BIG5 Group Active ETF, respectively, during this period, with net asset values of 28.1 billion KRW and 10.9 billion KRW.
The ACE India Consumer Power Active ETF selectively invests in 15 companies within India's discretionary consumer sectors, including △home appliances △automobiles △healthcare. The discretionary consumer sector is expected to see rapidly expanding demand due to income growth alongside India's economic development.
The fund is managed by Hyun Dong-sik, Head of Overseas Business at Korea Investment Trust Management, reflecting an analysis of India's growth potential based on China's growth case. Since its listing on September 10, the ACE India Consumer Power Active ETF has recorded a return of 4.84%, the highest among domestically listed India ETFs during the same period (excluding leveraged ETFs).
The ACE India Market Representative BIG5 Group Active ETF focuses on investing in the top five representative groups in India and 15 to 20 core affiliates of these groups. The five groups include △TATA △Reliance △Adani △L&T △BAJAJ.
It emphasizes the infrastructure and renewable energy sectors, which have outperformed market index performance over the past five years. The fund is managed by Oh Hye-yoon, Head of Overseas Investment Management at Korea Investment Trust Management.
Head Hyun Dong-sik stated, "The two ACE India Active ETFs are products launched by selecting stocks expected to directly benefit from India's economic growth," adding, "It is analyzed that investors prefer to invest in core Indian sectors with high growth potential rather than investing in 50 blue-chip companies included in the Nifty 50."
He continued, "Both products can be invested in through pension accounts such as defined contribution (DC) and individual retirement pension (IRP) plans," and added, "By utilizing these, if systematic investment is made, it is possible to invest long-term in India, which offers tax deduction benefits and is expected to be 'Beyond China.'"
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