Shinhan Asset Management Renews Shinhan Best Credit Plus Fund

Shinhan Asset Management announced on the 9th that it will relaunch the Shinhan Best Credit Plus Fund by changing some strategies and the fund name of the Shinhan Relative Value Mid-Term Fund.

Following the ultra-short-term bond fund, the lineup has been expanded to meet various needs of investors in short-term bond funds. The Best Credit Plus Fund is a product that invests in undervalued credit bonds based on thorough corporate analysis, pursuing both interest income and capital gains. Along with the name change, the management strategy has also been strengthened by raising the minimum investable rating from BBB- to A-, enhancing the stability of the target assets.

The duration has been adjusted from the previous level of 2 years and 6 months to about 1 year and 6 months to reduce volatility. It also has strengths in risk management. The credit research team and the management team collaborate to analyze bonds and predict risk signals early. Duration adjustment is used to respond to changes in the bond market.

Credit risk is managed through proactive analysis and preemptive measures, and in fact, there have been no cases of non-performing bonds for over 10 years.

Jung Ji-won, head of the Bond Management Team 3 at Shinhan Asset Management, said, "Due to the impact of President Donald Trump's tariff policies, uncertainty in the U.S. economy is increasing," and predicted, "High demand for safe assets such as bonds will continue." He emphasized, "External factors may partly exert downward pressure on interest rates, but considering still high credit spreads, credit bonds can also be an attractive investment compared to low government bonds."

He also introduced, "The Shinhan Best Credit Plus Fund selectively invests in high-quality undervalued credit bonds to pursue alpha performance, making it a suitable product for customers seeking alpha through bond investments."

The Shinhan Best Credit Plus Fund is available for subscription at Shinhan Bank, Shinhan Investment Corp., IBK Industrial Bank, Hana Bank, NongHyup Bank, Gwangju Bank, Samsung Securities, NH Investment & Securities, Korea Investment & Securities, Hanwha Life, Kyobo Life, Mirae Asset Life, and Samsung Fire & Marine Insurance.