KB Asset Management Recommends RISE 200 ETF: "Now Is the Opportunity for Domestic Investment"

On July 31, KB Asset Management proposed the 'RISE 200 ETF', a representative index exchange-traded fund (ETF) that allows for broad market diversification, as a core domestic investment product. This is in line with the beginning of a medium- to long-term upward trend in the Korean stock market.

Recently, the KOSPI surpassed the 3,200 mark. Major valuation indicators remain low, fueling strong expectations for a structural bull market.

No Areum, Head of the ETF Business Division at KB Asset Management, stated, "Although it is currently difficult to make investment decisions due to capital being concentrated in certain sectors, the domestic stock market is highly likely to trend upward in the end." She explained, "In times like these, rather than focusing on specific stocks or themes, it is advisable to invest in market index products that can steadily track the overall upward movement of the market."

The KOSPI price-earnings ratio (PER) is only 10.6 times, and the price-to-book ratio (PBR) stands at 1.05 times. These are relatively low compared to the peak levels in 2021 (14 times and 1.3 times, respectively). In addition to valuation potential, positive factors such as expanded share buybacks, recovery in consumer sentiment, and growth in domestic demand have contributed to the assessment that the domestic stock market has secured medium- to long-term upward momentum.

The 'RISE 200 ETF', which KB Asset Management listed in 2011, tracks the KOSPI200 index, representing Korea's large-cap market. It boasts high liquidity with net assets exceeding 1.5 trillion won and maintains a low tracking error, enabling stable trading. Over the past three months and since the beginning of the year, its returns have reached 28.88% and 39.15%, respectively.

The total expense ratio is 0.017% per annum. Among similar products with over 1 trillion won in assets under management, it is designed with the lowest fees, offering outstanding cost competitiveness.

In addition to the 'RISE 200 ETF', KB Asset Management offers a diverse lineup of domestic equity products with various themes and strategies, such as the 'RISE Korea Value-Up ETF' and the 'RISE Korea Financial High Dividend ETF'. Investors can select products that suit their investment preferences, taking market outlook into consideration.