Samsung Asset Management's Korean-style TDF2045 Achieves Over 40% Return Since Launch

Diversified Investment Allocated as 50% North America, 31% Europe, and 15% Asia

[Asia Economy Reporter Kum Boryeong] The return on Samsung Asset Management's 'Samsung Korea-style Target Date Fund (TDF) 2045' has surpassed 40%.

As of the 1st, Samsung Asset Management announced that the cumulative return of Samsung Korea-style TDF 2045 since its inception reached 40.29%.

Launched in April 2016, the Samsung Korea-style TDF series consists of a total of nine funds according to retirement timing: 2015, 2020, 2025, 2030, 2035, 2040, 2045, 2050, and 2055 funds.

The funds have steadily generated returns since inception, supporting an increase in assets under management. In particular, the 2045 fund, which has a high equity ratio, recorded a 15.46% return over the past six months. Additionally, the 2040 and 2035 funds showed cumulative returns of 38.25% and 36.45%, respectively.

Samsung Korea-style TDF invests across 16 funds managed by the US Capital Group. It invests in over 2,400 global stocks and bonds across more than 90 countries worldwide, including the US, Europe, and emerging markets, offering the advantage of pursuing stable returns with low volatility.

Looking at the global diversification, the allocation is 50% North America, 31% Europe, and 15% Asia. By country, the order is the United States, the United Kingdom, and France. Domestic stocks are included in proportion to their share of the global market capitalization (around 1-2%).

Since its launch, Samsung Korea-style TDF has continuously grown in scale. It surpassed 100 billion KRW in assets under management in April 2017, just one year after launch. In October 2018, it reached 500 billion KRW, and in February of this year, it exceeded 1 trillion KRW. A Samsung Asset Management official explained, "The current domestic TDF market size is 3.9477 trillion KRW, of which the Samsung Korea-style TDF series holds 1.1794 trillion KRW, accounting for 29.9%."

Kim Jeong-hoon, Executive Director of the Pension Business Division, said, "If you subscribe to TDF as a pension class, you can enjoy the benefits of a pension savings account that offers tax deductions." He added, "When investing in pension savings funds through a pension savings account, you can receive a tax credit of 16.5% on contributions up to 4 million KRW (13.2% for those with annual income exceeding 55 million KRW), so we encourage active utilization."

This content was produced with the assistance of AI translation services.