SOL Korea Nuclear SMR ETF Newly Listed

On August 19, Shinhan Asset Management will list the 'SOL Korea Nuclear SMR' ETF, which focuses on investing in the domestic nuclear value chain, on the Korea Exchange.

With the launch of the 'SOL US Nuclear SMR' ETF in May, the company has completed its lineup of nuclear-themed ETFs. These products are expected to offer new investment opportunities amid the global energy transition and the spread of artificial intelligence (AI).

The SOL Korea Nuclear SMR ETF portfolio consists of a total of 12 stocks, including Doosan Enerbility, Hyundai Engineering & Construction, Korea Electric Power Corporation (KEPCO), KEPCO Engineering & Construction, KEPCO KPS, Woori Technology, BHI, Taewoong, and Samsung C&T.

Leading domestic nuclear industry players such as Doosan Enerbility and Hyundai Engineering & Construction have been included as top holdings, along with KEPCO, the parent company of Korea Hydro & Nuclear Power, which has recently signed a memorandum of understanding with Oklo to develop fourth-generation small modular reactor (SMR) technology and is spearheading the Team Korea model. The portfolio is structured to strike a balance between the 'Team Korea Export Model'-centered on KEPCO and Korea Hydro & Nuclear Power, the two pillars of Korea's nuclear industry-and the global partnership competitiveness of private technology companies.

Various factors are converging, including the surge in electricity demand driven by the expansion of AI and data centers, the need to address climate change, and the strengthening of energy security. As a result, nuclear power-which features high density, low carbon emissions, and reduced operating costs-is once again drawing attention. Next-generation technologies such as SMRs are being increasingly highlighted for their strategic value as key power sources in the AI era.

The United States is the country most actively pursuing the revival of the nuclear industry. In May, President Donald Trump signed an executive order to revitalize the nuclear industry, designating nuclear power as a national strategic industry. He made it clear that nuclear energy would be a core means of restoring energy leadership.

Kim Junghyun, Head of ETF Business at Shinhan Asset Management, stated, "The US has strengths in core technologies such as SMRs, reactor design, and uranium enrichment," but added, "It lacks the capability to reliably complete construction within budget and on schedule." He continued, "Partnerships with Korean companies will generate decisive synergy," and expressed his expectation that "the nuclear industry will play a leading role in the global market."