AB US Gross Equity Fund Surpasses 2 Trillion Won in Net Assets

[Asia Economy Reporter Minji Lee] Global asset management firm AllianceBernstein Asset Management (AB Asset Management) announced on the 18th that the net assets of the ‘AB US Growth Fund’ have surpassed 2 trillion won.

This fund doubled its net assets within about a year after reaching 1 trillion won in net assets in June last year amid the investment enthusiasm in the US market following COVID-19. This is the largest North America region equity fund set up domestically.

The fund invests indirectly in the ‘AB SICAV I - American Growth Portfolio’ (hereinafter referred to as the ‘underlying fund’), which is established in Luxembourg. The underlying fund is managed by Frank Caruso, Chief Investment Officer (CIO) of US growth stocks, and maximizes investment capabilities by utilizing AB’s global research organization.

The underlying fund invests in approximately 40 to 60 high-quality large-cap US growth stocks that are judged to have solid profitability and growth potential. For attractive stock selection, emphasis is placed on corporate management capabilities and dominant positions within the same industry. In particular, performance forecast indicators such as high Return on Assets (ROA) and expected earnings growth rate are reviewed, and companies capable of achieving long-term profit growth are intensively identified through bottom-up research.

The AB US Growth Equity Fund continues to see capital inflows despite high market volatility caused by the spread of the Delta variant, inflation, and other factors. This is interpreted as reflecting expectations for the fund’s steady performance and a positive outlook that the upward trend of the US stock market and economic growth will continue amid various variables.

As of the 31st of last month, the fund’s recent 1-year return was 33.93% (benchmark S&P 500 37.99%), 3-year return was 84.94% (benchmark 62.31%), and 5-year return was 156.01% (benchmark 116.05%).

Lee Chang-hyun, CEO of AB Asset Management, stated, “Despite many internal and external variables in the global stock market, many investors focusing on the solid growth potential of the US market have pushed the ‘AB US Growth Equity Fund’ beyond 2 trillion won. Based on the goal of creating stable and excellent mid- to long-term performance, we will strive to maintain its position as a leading US equity fund in Korea.” Currently, the AB US Growth Equity Fund is available for subscription through major banks and securities firms nationwide.

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