Korea Investment Global Space Technology & Defense Fund Achieves 67% One-Year Return

Korea Investment Management announced on August 25 that the 'Korea Investment Global Space Technology & Defense Fund' has achieved the best performance among funds of the same type over the past year. The same type refers to overseas equity funds that invest in global stocks, excluding exchange-traded funds (ETFs).

The Korea Investment Global Space Technology & Defense Fund was launched in April 2023 and invests in leading companies in the global space industry. According to FnGuide, as of the 19th, the fund recorded a one-year return of 67.34% (currency-hedged (UH) type, C-e class).

This is the highest return among 183 funds (1,330 classes) classified as the same type by FnGuide. The fund also delivered a 22.24% return over the past six months.

The fund’s detailed investment areas include space launch vehicles, the satellite industry, drones, and engineering. Kim Hyuntae, the portfolio manager of the Global Quantitative Investment Division at Korea Investment Management, utilizes the OECD’s space economy classification system, partnerships with NASA, and industry research from the Aerospace Industries Association (AIA) of the United States to select promising stocks in each sector.

According to the recent portfolio, the top holdings include Rocket Lab (5.57%), Lockheed Martin (4.49%), Airbus (4.39%), Boeing (3.92%), Planet Labs (3.76%), Northrop Grumman (3.74%), RTX (3.48%), and AST SpaceMobile (3.41%). The fund’s holdings are the same for both the currency-hedged (H) and unhedged (UH) types, maintaining portfolio balance by including both growth stocks and large-cap stocks with high stability.

Kim said, "From the early days of the Korea Investment Global Space Technology & Defense Fund, we identified and invested in lesser-known companies in the space industry, which seems to have contributed to our performance." He added, "The reason we were able to discover these stocks early was that we effectively utilized credible data from organizations such as NASA."

Kim also emphasized, "Given the increasing demand for satellite data driven by advances in artificial intelligence (AI), the U.S. Golden Dome Project, and the expansion of defense spending in Europe, the space industry is expected to benefit structurally from these geopolitical factors."

The Korea Investment Global Space Technology & Defense Fund is a performance dividend product, and past performance does not guarantee future results. In addition, depending on investment results, there is a risk of principal loss.