BNK Asset Management Launches New 'Samsung Electronics Small and Mid-Cap Equity Fund'

[Asia Economy Reporter Minji Lee] BNK Asset Management announced on the 7th that it will launch the ‘BNK Samsung Electronics Small and Mid-Cap Equity Fund,’ which invests in Samsung Electronics according to its market capitalization ratio and invests the remainder in small and mid-cap stocks to pursue excess returns compared to the benchmark.

The BNK Samsung Electronics Small and Mid-Cap Fund invests a certain portion of its total assets in Samsung Electronics and Samsung Electronics preferred shares. Its main strategy is to invest in small and mid-cap stocks that are expected to improve earnings as Samsung Electronics’ operating profit increases, as well as small and mid-cap stocks that are undervalued compared to their intrinsic value.

Existing small and mid-cap funds often exhibited greater volatility during periods of increased market volatility, which caused anxiety among investors. BNK Asset Management’s Samsung Electronics Small and Mid-Cap Fund includes Samsung Electronics as a buffer against the volatility of small and mid-cap stocks to address the shortcomings of existing small and mid-cap funds.

A BNK Asset Management official stated, “Our goal is to include Samsung Electronics and Samsung Electronics preferred shares according to their market capitalization weights and achieve excess returns compared to the benchmark through investments in small and mid-cap stocks,” adding, “We will strive to operate the fund in a way that mitigates the high volatility of existing small and mid-cap funds while achieving returns.”

The BNK Samsung Electronics Small and Mid-Cap Equity Fund is available for subscription through Gyeongnam Bank, Busan Bank, Shinhan Financial Investment, Hana Financial Investment, and KB Securities.

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