Top ETF Returns This Year Concentrated in 'Global' Sector

On the 21st, the KOSPI opened at 3,012.28, down 0.85 points (0.03%) from the previous trading day, then turned to a slight upward trend after early gains. The won-dollar exchange rate opened at 1,175.5 won, up 1.3 won from the previous trading day. The photo shows the Hana Bank dealing room in Jung-gu, Seoul on the day. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Hwang Junho] Investors who turned their eyes to the global stock market early and chose exchange-traded funds (ETFs) for easy investment are enjoying a warm winter.

According to the Korea Exchange on the 15th, the keyword for the highest-performing ETFs from the beginning of this year to the present can be summarized as "global." The ETF with the highest returns was KINDEX Bloomberg Vietnam VN30 Futures Leverage. This product yields twice the returns of the Vietnamese stock market rise, showing a return of 73.72%. As Vietnam's share in the global supply chain increased due to the US-China trade dispute and the COVID-19 pandemic, the stock market also rose accordingly, resulting in high returns.

Jung Sung-in, head of the ETF Strategy Team at Korea Investment Trust Management, said, "Although the investment environment for emerging market risk assets is not favorable due to the expected US tapering and interest rate hikes, a selective investment strategy in Vietnam will remain valid," adding, "With continuous inflows of foreign direct investment (FDI) funds and economic normalization supported by export manufacturing and domestic demand, the profit improvement speed of Vietnamese companies is expected to accelerate next year."

Those who invested in KBSTAR US S&P Oil Production Companies amid soaring oil prices also achieved a 70.13% return compared to the beginning of the year. Investors in TIGER China Electric Vehicle SOLACTIVE (64.25%) or TIGER India Nifty 50 Leverage (60.34%), which attracted about 3 trillion won this year, also secured returns exceeding 50%.

Kim In-sik, a researcher at IBK Investment & Securities, analyzed, "Among global markets this year, the Vietnamese and Indian stock markets recorded better returns compared to developed countries," adding, "On the other hand, Brazil, Korea, and Hong Kong are currently giving back their annual gains." He continued, "Overall, the global ETF market experienced rapid growth this year due to the characteristics of ETFs (portfolio investment, accessibility, diversity) and abundant liquidity," forecasting, "The ETF market growth trend will continue next year as well."

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