Samsung Asset Launches Samsung Tomorrow Payment Money Market Fund

A new ultra-short-term bond fund incorporating the advantages of Money Market Funds (MMF) is being launched.

Samsung Asset Management announced on the 24th that it will launch the 'Samsung Tomorrow Payment Money Market Fund.'

The Samsung Tomorrow Payment Money Market Fund is an ultra-short-term bond fund that allows free deposits and withdrawals like an MMF and can be deposited for just one day. It features high liquidity with the same setup/redemption cycle as MMFs. At the same time, during the interest rate decline period, it can generate additional returns compared to traditional book value MMFs. As a bond fund, it is free from various restrictions such as stable asset regulations, diversification investment regulations, and residual maturity limits.

Based on the cutoff time of 5 PM, next-day setup (T+1) and next-day redemption (T+1) are possible, while requests made after 5 PM are applied on the third business day (T+2) from the request date. There are no separate redemption fees.

Samsung Asset Management plans to demonstrate stable management expertise with proven capabilities by operating the largest public MMF and interest rate ETFs in Korea.

As of the end of last month, Samsung Asset Management holds the number one market share at 15.1% in the 150 trillion KRW public MMF market. It also manages three ETFs ranked within the top 10 in net assets among domestic listed ETFs: KODEX CD Interest Rate Active (8.9112 trillion KRW), KODEX Money Market Active (5.3221 trillion KRW), and KODEX KOFR Interest Rate Active (3.9545 trillion KRW).

Yoon Sung-in, a manager at Samsung Asset Management, explained, "With recent market volatility increasing, demand for ultra-short-term bonds in pensions is rising. Since the beginning of the year, out of a total of 2.26 trillion KRW, ultra-short-term bonds account for about 10%, or 220 billion KRW." He added, "The Samsung Tomorrow Payment Money Market Fund will serve as a new investment option for investors seeking more efficient short-term fund management compared to MMFs."

The Samsung Tomorrow Payment Money Market Fund can be subscribed to through Samsung Securities, NH Investment & Securities, Shinhan Investment Corp., and Kyobo Securities, with a total fee of 0.19% per annum.