Mirae Asset Management's 'Mirae Asset India Bond Fund' Surpasses 100 Billion KRW in Net Assets

Mirae Asset Global Investments announced on the 14th that its Mirae Asset India Bond Fund, the only public fund investing in Indian bonds in Korea, has surpassed 100 billion KRW in net assets.

According to fund evaluator KG Zeroin, as of the 11th, the net assets of the ‘Mirae Asset India Bond Securities Investment Trust No.1 (Bond)’ stand at 117.8 billion KRW. Established in 2015, the fund has increased its net asset size by more than 90 billion KRW this year alone, based on stable performance.

The ‘Mirae Asset India Bond Securities Investment Trust No.1 (Bond)’ is the only public fund in Korea that invests in high-interest Indian bonds. It invests in bonds issued in the local Indian currency (Rupee), as well as government bonds, public enterprise bonds (corporate bonds), and supranational bonds issued by international organizations. Indian Rupee-denominated bonds offer higher interest rates compared to Korean Won bonds, making them advantageous for long-term investment. They are also considered stable due to relatively low exchange rate volatility among emerging market currencies. However, caution is advised as the fund is exposed to currency risk by investing in emerging market currencies.

Supported by India’s rapid growth, the ‘Mirae Asset India Bond Securities Investment Trust No.1 (Bond)’ has recorded stable performance in both the short and long term. As of the 11th, the year-to-date return is 9.60%, and the cumulative return over the past three years is 17.75%. This has attracted strong interest not only from individual investors but also from institutional investors. Of the approximately 94.1 billion KRW increase in assets this year, about 30 billion KRW came from individual investors investing through pension assets such as personal pensions and retirement pensions, while the remaining 60 billion KRW was purchased by institutional investors.

Son Su-jin, Head of WM Pension Marketing at Mirae Asset Global Investments, said, “When investing in the growing Indian market, stock investments through funds and ETFs are usually considered first. However, for investors with a stable investment preference, investing in high-interest Indian bonds can also be considered. Long-term investment through pension assets will provide a compound investment vehicle with better performance compared to domestic bonds.”