KODEX Money Market Active Surpasses 3 Trillion Won in Shortest Time

Samsung Asset Management announced on the 29th that ‘KODEX Money Market Active’ has achieved net assets of 3.1161 trillion KRW.

It set a new record for the shortest period in Korea, reaching this milestone just 76 business days after its listing on August 6. The explanation is that amid policy changes following the U.S. presidential election and a domestic interest rate cut trend, investors’ demand for short-term fund management has increased, leading to a concentration of funds in products that combine relative stability with high returns.

KODEX Money Market Active is designed based on the operation method of MMF (Money Market Fund), investing in ultra-short-term bonds and CP (commercial paper), among others. It minimizes price change risks due to interest rate fluctuations while adopting a more flexible management approach compared to traditional MMFs, allowing for additional expected returns. Unlike conventional MMFs, which have restrictions on investment proportions by product despite similar portfolio composition, stock selection, and duration, this product applies market valuation without operational restrictions, enabling higher returns compared to general MMFs.

In the current situation where the base interest rate has dropped to around 3.0% per annum, the product is designed to pursue higher returns than general MMFs, attracting investor interest. Since its listing in August, KODEX Money Market Active has recorded an annual yield of 3.75%, outperforming similar ETFs as well as public MMF products. Consequently, individual investors have continuously net purchased the product since its listing, accumulating net purchases of 59.3 billion KRW over 76 business days.

For institutional investors who can set up and redeem over-the-counter, there is the advantage of next-day redemption, allowing funds to be received the day after selling, making this product actively used as a short-term fund management option.

‘KODEX Money Market Active’ was listed at 100,000 KRW per share, designed to keep actual transaction costs relatively lower than competing products. The bid unit is also set at 5 KRW, providing dense buy and sell LP quotes to enhance investor convenience.

Yoon Sung-in, a manager at Samsung Asset Management, said, "As the Bank of Korea cuts interest rates and the Trump administration’s policies become more concrete, asset volatility has increased, leading to a significant rise in investor demand for ultra-short-term products with high stability." He added, "KODEX Money Market Active maintains the stability of existing MMFs while pursuing additional returns, becoming a new standard for short-term fund management."

KODEX Money Market Active is a product created by incorporating the operational know-how of Samsung Asset Management, which ranks first in the public MMF sector. Samsung Asset Management currently manages 12 trillion KRW in assets, including the Samsung MMF Corporate No. 1, a representative public MMF fund, and holds a total of 24 trillion KRW in public MMFs.