Samsung Asset Management Provides 'Winning Investment' Content in Fund Prospectus
[Asia Economy Reporter Eunmo Koo] Samsung Asset Management announced on the 7th that it has revamped the fund prospectus "Winning Investment" and made it available on its website.
"Winning Investment" is an investment principle proposed by Samsung Asset Management to establish an investment culture that avoids temporary performance or theme-driven investments and aligns with customers' investment goals and financial situations. It refers to long-term, global diversification, goal-based, and low-cost investing. Samsung Asset Management has created a fund prospectus for winning investment for investors to utilize and enhances the content annually, providing it through its website.
The content is divided into Part 1, "Why Should We Invest?" and Part 2, "How Should We Invest?" Part 1 explains the effectiveness of investing through topics such as interest rate declines, the magic of compound interest, and the investment effects of deposit-type assets versus risky assets. Part 2 clearly explains the limitations of market timing and the importance of long-term investment, the limitations of stock selection and global diversification, goal-based investing, and low-cost investing using data and graphs.
For example, the Magellan Fund managed by Peter Lynch from 1977 to 1990 recorded an outstanding average annual return of 29%, but more than half of the investors suffered losses. The prospectus states that this was because investors could not endure market fluctuations or were satisfied with short-term returns and redeemed hastily. The company explained, "Winning Investment is a long-term proven investment method that overcomes the limitations of market timing and short-term investing and achieves stable returns."
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A Samsung Asset Management official said, "Winning Investment is a universally practicable investment method," adding, "Anyone can download and use it from the main page of the website."
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