KB Asset Management proposed seven strategic funds to help investors who face difficulties in selecting products due to changes in domestic and international economic environments and increased uncertainty in financial markets.
The key point is to enable investors to pursue both stability and growth potential simultaneously amid a complex market environment, including changes in major countries' interest rate policies, expanded tariff risks, and global economic slowdown.
KB Asset Management first suggested a diversified investment strategy that increases the proportion of relatively stable bonds, considering the increased market volatility. Bond funds are investment options that can expect relatively steady returns during periods of interest rate cuts. U.S. Treasury bonds remain an attractive option during times of increased volatility by offering relatively high interest rates among major developed countries.
The 'KB US Short- and Medium-Term Treasury' fund is suitable for investors seeking stable cash flow and low volatility by investing in short- and medium-term bonds or longer. The 'KB US Long-Term Treasury Plus' invests in long-term government bonds and some credit instruments, offering potential capital gains when interest rates decline.
For investors concerned about uncertainties arising from the global tariff war, the 'KB Global Representative Asset Diversification' fund is recommended. Based on a traditional asset allocation strategy of 60% stocks and 40% bonds, it pursues both stability and growth through regional and asset-specific investments in the U.S., Europe, and emerging markets.
In the domestic market, where political uncertainties are resolving in undervalued segments with potential for growth, attention should be paid to changes in dividend systems and strengthened shareholder return policies. Two funds, 'KB Korea Value Up Active' and 'KB Star Korea Value Up Index,' which invest in undervalued high-quality companies with attractive dividends, were proposed.
Finally, for investors expecting growth centered on the U.S., the 'KB US Representative Growth Stock' and 'KB RISE US ETF Moa Dream' funds were introduced.
The KB US Representative Growth Stock fund focuses on leading U.S. innovative technology companies in advanced fields such as artificial intelligence (AI), cloud computing, and autonomous driving. The KB RISE US ETF Moa Dream fund seeks stable returns through diversified investment and volatility management by utilizing various low-cost U.S. ETFs. Investors expecting an upward trend in the U.S. market may consider continuous investment with a long-term perspective using a dollar-cost averaging strategy.
Jang Soon-mo, Head of Product Strategy at KB Asset Management, explained, "In the current situation where interest rate volatility and trade policy changes are major variables, risk management through diversified investment and investment strategies considering long-term growth potential are important. Investors need to pay attention to strategies that expand asset allocation for increasing bond proportions and portfolio diversification."
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