Samsung KODEX CD 1-Year Interest Plus Active Surpasses 2 Trillion KRW in Net Assets

Samsung Asset Management announced on the 7th that the net assets of the KODEX CD1-Year Interest Rate Plus Active ETF reached 2.0065 trillion KRW.

The ETF reflects the daily compounded yield of the 1-year CD rate every day, and additionally pays a daily yield of 0.5% per annum (annualized) when the KOSPI 200 index rises by more than 1% in a day. The underlying asset, the 1-year CD, has a longer investment period compared to the existing 91-day CD and KOFR (Korea Overnight Financing Rate), resulting in a relatively higher base interest rate under normal circumstances. Furthermore, since an additional daily yield of 0.5% per annum is provided based on the KOSPI 200 index increase, this product is expected to offer the highest returns among domestic interest rate-type ETFs.

Since the end of last year, it has been converted into a monthly dividend product, attracting attention as a product that allows monthly installment investments in growth-type products while preserving principal. The monthly distribution method pays accumulated returns over a month as dividends to investors based on the last business day of each month.

Investing in KODEX CD1-Year Interest Rate Plus Active allows investors to expect dividends around 3% per annum, enabling a mixed investment of 'lump-sum + monthly installment.' In fact, as of the end of last month, a dividend of 2,579 KRW, corresponding to a dividend rate of 0.25%, was paid.

The KODEX CD1-Year Interest Rate Plus Active ETF is distinguished by enhancing profitability on top of the stable structure of interest rate-type ETFs, attracting purchases from both institutional and individual investors. Since its launch in April last year, net purchases by individual investors have reached approximately 73 billion KRW.

It is possible to invest 100% through retirement pension (DC·IRP) accounts, pension savings accounts, and brokerage-type ISA accounts. When investing through pension accounts and ISAs, investors can receive tax benefits such as tax credits, low tax rates, and tax exemptions.

Shin Hyun-jin, a manager at Samsung Asset Management, introduced, "The KODEX CD1-Year Interest Rate Plus Active ETF offers stable investment that maximally preserves principal while providing higher returns through a new income structure." He added, "With monthly dividend payments, investors can make lump-sum investments and additionally invest in growth-type products. Interest in interest rate-type/parking-type ETFs that do not incur losses will continue to grow."