TIMEFOLIO Lists Active ETF Targeting 0.5% Monthly Distribution, the 'Korean SCHD'

On April 29, TIMEFOLIO Asset Management will list the 'TIMEFOLIO US Dividend Dow Jones Active ETF.'

This ETF is structured to provide consistent monthly dividends based on the 15th of each month (business day basis), targeting a monthly distribution yield of 0.5% (6% annually). Its benchmark index is the Dow Jones U.S. Dividend 100 Index, which consists of leading high-dividend growth stocks in the United States and is the same index used by SCHD.

Unlike existing SCHD-based ETFs listed in Korea, the TIMEFOLIO US Dividend Dow Jones Active ETF is designed to enhance both dividend performance and capital gains potential through an active strategy.

During dividend seasons, the ETF increases its allocation to high-dividend portfolios, such as high-dividend stocks and preferred shares, to secure stable dividend resources. In bullish markets, it raises the proportion of the active portfolio (leading stocks) to pursue excess returns, while in bearish markets, it expands the allocation to high-dividend stocks and the benchmark index portfolio.

This structure enables the ETF to maintain stable monthly dividends while also seeking additional profit opportunities in line with market trends. The strategy has already been validated through the TIMEFOLIO Korea Plus Dividend Active ETF. It is expected to serve as a new alternative for investing in US high-dividend growth stocks, allowing investors to pursue both high total returns and stable cash flow.

Kim Namho, Deputy General Manager at TIMEFOLIO Asset Management, said, "The TIMEFOLIO US Dividend Dow Jones Active ETF combines the stability of an SCHD-based approach with TIMEFOLIO's active strategy, delivering both higher dividend yields and flexible management in a single ETF."