Kiwoom Asset Management: "KIWOOM US Crude Oil & Energy Companies ETF" Delivers 24.33% YTD Return

Kiwoom Asset Management announced on the 23rd that, amid the recent strength in international oil prices, its "KIWOOM US Crude Oil & Energy Companies" exchange-traded fund (ETF) has risen 24.33% since the beginning of the year, delivering solid performance.

As tensions have escalated between the United States and Iran, Brent crude has climbed to around 71 dollars per barrel, marking a six-month high, while West Texas Intermediate (WTI) crude has also strengthened in tandem. According to Bloomberg, as of the 20th of this month, the S&P 500 Energy sector has gained 22.8% year-to-date, recording the highest return among the 11 sectors. Over the same period, while the overall U.S. stock market has been moving sideways, only the Energy sector has posted gains in the 20% range, showing a clearly differentiated uptrend. Industry analysts say that short-term supply risks are being priced into crude oil, leading to the relative strength of the energy sector.

The KIWOOM US Crude Oil & Energy Companies ETF tracks the MSCI US IMI Energy 25-50 Index and is a product that invests in more than 110 U.S. energy companies using a market-capitalization-weighted, diversified approach. Among energy ETFs listed in Korea, it is the only physical ETF that invests directly in U.S. energy company stocks rather than derivatives.

Compared with synthetic ETFs, physical ETFs have the advantages of relatively lower tracking error and a clearer structure for the attribution of distributions and dividend income. The underlying index has an average dividend yield of about 3.8% (from January 2020 to December 2025, Bloomberg), offering the income appeal characteristic of the energy sector.

According to financial information provider FnGuide, as of the 20th, the ETF’s returns were recorded as follows: 24.33% year-to-date, 14.57% over the past 1 month, 22.78% over the past 3 months, 37.55% over the past 6 months, and 24.95% over the past 12 months.

As of the 20th, the top holdings include ExxonMobil (22.97%) and Chevron (14.74%), the No. 1 and No. 2 U.S. oil companies, as well as ConocoPhillips (5.76%), Williams (3.78%), and Schlumberger (3.39%). The portfolio is composed of companies that span the entire energy value chain, from oil exploration and production to refining, infrastructure, and oilfield services.

With the recent rise in international oil prices and heightened expectations for improved refining margins, the prospects for a recovery in energy company profitability are also expanding. This ETF provides diversified exposure to major companies that are directly affected by these industry conditions.

Oh Dongjun, Head of ETF Management at Kiwoom Asset Management, said, "While valuation concerns are mounting for growth stocks centered on artificial intelligence (AI) and semiconductors, the energy sector is being re-evaluated based on its relatively low valuation levels and stable cash flows," adding, "The KIWOOM US Crude Oil & Energy Companies ETF is a product that focuses on leading U.S. energy companies through a unique physical structure among domestic ETFs, and in an environment where geopolitical factors and supply risks are coming to the fore, the energy sector, with its high-dividend characteristics, can serve as a meaningful alternative investment destination."