[2024 Capital Investment Target] KB Asset Management's TDF Assets Under Management Surpass 1.5 Trillion Won... Product Diversification Advances

Best Fund KB Asset Management 'KB On Gukmin TDF2055'

Kim Young-sung, CEO of KB Asset Management. Photo by KB Asset Management

KB Asset Management received the Best Fund Award at the ‘2024 Asia Capital Investment Awards’ in recognition of its excellent Target Date Fund (TDF) performance.

With the full implementation of the default option for retirement pensions (pre-designated management system), interest in TDF products has increased, and as of the end of October, KB Asset Management's total TDF assets under management surpassed 1.5 trillion KRW. It absorbed more than 300 billion KRW in lump-sum investments this year alone.

Among the top five asset management companies in the TDF industry, KB Asset Management is the only one that has increased its market share since the beginning of the year. KB Asset Management's TDF market share rose by 0.9 percentage points from 12.5% at the end of last year to 13.4% as of the 5th of last month.

It especially boasted excellent performance even in volatile market conditions. The one-year return of the entire vintage (target date) of ‘KB On Gukmin·Dynamic TDF’ exceeds an average of 18%. The one-year return of ‘On Gukmin TDF 2055,’ which has the highest equity ratio, recorded 26.91%.

KB Asset Management operates two types of TDF products, ‘KB On Gukmin TDF’ and ‘KB Dynamic TDF,’ considering customers' investment preferences. KB On Gukmin TDF is a passive (index-tracking) fund, which has low fees and low volatility, allowing for high compound interest effects in long-term investments. KB Dynamic TDF is an active fund that actively responds to market volatility and invests in various assets such as real estate and commodities to respond swiftly to changing situations.

Last August, the product lineup was strengthened to expand investors' pension product choices. A customized product, ‘KB On Gukmin·Dynamic TDF 2060,’ was newly launched for investors targeting retirement in 2060. It is worth noting for young investors who want to maximize long-term investment effects with more than 30 years remaining until the target date.

KB Asset Management holds a rich lineup of pension products such as the ‘KB Target Return OCIO Series’ and ‘KB Didim Dynamic Asset Allocation Fund’ so that investors can build a retirement pension portfolio solely with KB Asset Management products. Additionally, to proactively offer stable products specialized for the pension market using alternative assets, it launched Korea’s first native public infrastructure fund, the ‘KB Balhae Infrastructure Fund.’ The KB Balhae Infrastructure Fund is suitable as a pension investment tool, offering a stable dividend yield of about 7% and providing a separate tax exemption benefit of up to 100 million KRW if held for more than one year.