Hanhwa Investment & Securities Asset Management "Outstanding Public Fund Returns and Capital Inflows in 2024"

Korea Investment Trust Management announced on the 9th that it achieved both returns and capital inflow in the public fund market last year. Korea Investment Trust Management showed balanced performance across various types, including overseas equity funds, overseas bond funds, and domestic corporate bond funds.

According to FnGuide on the 8th, based on the year 2024, three public funds of Korea Investment Trust Management ranked first in returns for overseas equity IT sector and domestic corporate bond funds, and first in asset growth for overseas bond funds.

The Korea Investment Global AI & Semiconductor TOP10 (UH) (S-R Class) recorded a return of 59.59% last year, ranking first among overseas equity funds investing in the IT sector (6-month return 13.18%). This figure significantly outperformed the average return of the same type of funds during the same period (30.89%), as well as the returns of the US Nasdaq 100 (24.88%) and S&P 500 (23.31%).

Thanks to its excellent returns, the Korea Investment Global AI & Semiconductor TOP10 (UH) grew its assets under management from 2.9 billion KRW at the end of 2023 to 54.2 billion KRW by the end of 2024, expanding about 18 times in size. The Korea Investment Global AI & Semiconductor TOP10 (H) fund, which implements currency hedging, also grew more than fourfold from 16.3 billion KRW at the end of 2023 to 85.5 billion KRW by the end of 2024.

The Korea Investment Credit Focus ESG (C-W Class) recorded a return of 6.30% last year, ranking first in returns among domestic corporate bond funds. The fund’s 3-year and since-inception returns were 14.44% and 22.73%, respectively. The Korea Investment Credit Focus ESG fund series is a representative domestic bond fund of Korea Investment Trust Management, first established in 2008. As of the end of 2024, it maintains its position as the largest domestic corporate bond fund with assets under management of 1.8524 trillion KRW.

Among overseas bond public funds, the product with the largest increase in assets under management in 2024 was the Korea Investment US Long-Term Treasury (H) (A Class). The fund’s assets increased by 502.8 billion KRW last year. The same product’s A-e Class also ranked 10th with an increase of 80.4 billion KRW. The Korea Investment US Long-Term Treasury fund was first launched in March last year. Its assets grew significantly in less than a year.

Korea Investment Trust Management also stood out in the profit-differentiated public fund market. The company completed early redemption in mid-November last year by achieving the target return of 20% for its first profit-differentiated public fund launched in 2023, the Korea Investment Global New Growth Fund. This shortened the original three-year maturity by about half.

Since then, Korea Investment Trust Management has newly launched three profit-differentiated funds in 2024 and successfully raised capital to operate them. Currently, Korea Investment Trust Management manages 184.2 billion KRW out of the total 375.8 billion KRW in the domestic profit-differentiated public fund market, accounting for 49.02% of the market.

A representative of Korea Investment Trust Management stated, “Korea Investment Trust Management’s public funds were able to achieve results in both returns and capital inflow in 2024 with products tailored to market trends and investor demand through in-house research. We will continue to discover promising long-term investment opportunities and provide them to investors this year.”