Hantoo Asset Management Leads in Retirement Pension Fund AUM Growth: "50 Billion KRW Increase This Year"

Korea Investment Management announced on the 16th that the increase in assets under management (AUM) of its retirement pension public funds has surpassed 500 billion KRW since the beginning of the year, ranking first.

According to the Korea Financial Investment Association, as of the 14th, Korea Investment Management's retirement pension public fund AUM totaled 4.1629 trillion KRW, showing growth with an inflow of 516.9 billion KRW this year. This is the largest increase among asset management companies operating retirement pension public funds. The AUM, which was around 3.6 trillion KRW at the end of last year, has been increasing monthly since the beginning of the year, with a rapid increase of over 40 billion KRW this month.

This is attributed to steady inflows of funds driven by excellent performance centered on major fund products. Representative products include ▲Korea Investment Credit Focus ESG Fund ▲Korea Investment TDF Self-Directed ETF Focus Fund ▲Korea Investment US Long-Term Treasury Fund ▲Korea Investment MySuper Self-Directed Fund ▲Korea Investment OCIO Self-Directed Fund, covering various types of funds rather than being limited to a specific category. Various types of funds, such as bond-type and asset allocation-type, have shown overall balanced growth, driving fund inflows.

The Korea Investment Credit Focus ESG Fund series is Korea Investment Management’s flagship domestic bond fund, launched in 2008 and managed for 16 years. This fund invests in high-quality domestic credit bonds rated A- or higher, pursuing both interest income and capital gains, with a duration of approximately 1.5 to 2 years. To manage liquidity, it maintains a certain proportion of government bonds and conducts thorough stock analysis to identify undervalued securities for management.

The Korea Investment TDF Self-Directed ETF Focus Fund, which has shown excellent long-term performance based on Korea Investment Management’s unique methodology and management know-how, also contributed to the increase in retirement pension public fund AUM. As of the 15th, the Korea Investment TDF Self-Directed ETF Focus 2060 Fund (C-Re class) has recorded a cumulative return of 36.77% and a one-year return of 8.12% since its inception in November 2022, continuing its strong performance. The fund’s success is attributed to a low-cost structure strategy maximizing long-term returns through low risk, low turnover, and low costs, based on Korea Investment Management’s proprietary glide path and Long-Term Capital Market Assumptions (LTCMA).

Wonseok Oh, Executive Director in charge of pensions at Korea Investment Management, said, "The recent performance of retirement pension public fund AUM is the result of continuously providing fund products that allow investors to earn returns in order to realize customer-oriented values." He added, "Retirement pension investment is essential to prepare for an increasingly longer retirement, and we offer a diverse lineup of investment products so investors can choose products that meet their individual needs."

Funds are performance-based products, and past returns do not guarantee future returns. Principal loss may occur depending on management results.