Mirae Asset Global Investments Renames Two REITs Real Estate Infrastructure ETFs

[Asia Economy Reporter Hwang Yoon-joo] Mirae Asset Global Investments announced on the 18th that it will change the names of two TIGER ETFs. ‘TIGER Budongsan Infra Gobaedang ETF’ will be renamed ‘TIGER REITs Budongsan Infra ETF’, and ‘TIGER KIS Budongsan Infra Chaegwon TR ETF’ will be renamed ‘TIGER REITs Budongsan Infra Chaegwon TR KIS ETF’.

TIGER REITs Budongsan Infra ETF was listed in July 2019. This ETF focuses on income returns generated during the holding period and features the ability to invest in real estate with a small amount. The ETF diversifies investments in high-quality REITs with a market capitalization exceeding 200 billion KRW, such as ‘Lotte REITs’, ‘ESR Kendall Square REITs’, ‘SK REITs’, and ‘JR Global REITs’, as well as infrastructure investment companies like ‘Macquarie Infrastructure’.

The underlying index of the ETF is the ‘FnGuide REITs Budongsan Infra’ index. This index selects the investment universe by dividing KOSPI-listed stocks into special asset groups composed of REITs and infrastructure, and general equity groups composed of common and preferred stocks. If there are 12 or more special asset group stocks, the portfolio is composed solely of special assets.

TIGER REITs Budongsan Infra Chaegwon TR KIS ETF was listed in May 2020. This ETF also focuses on income returns, but unlike the TIGER REITs Budongsan Infra ETF, which only includes special assets, it lowers volatility further by including 30% mid- to long-term bonds. The underlying index of the ETF is the ‘KIS REITs Budongsan Infra Chaegwon TR’ index. This index is composed of 70% alternative investment index consisting of real estate, infrastructure, and REITs, and 30% bond index consisting of mid- to long-term government bonds.

Both ETFs pay dividends quarterly based on the income generated. TIGER REITs Budongsan Infra ETF paid 240 KRW in 2020 and 300 KRW in 2021, while TIGER REITs Budongsan Infra Chaegwon TR KIS ETF paid 75 KRW in its first year of listing in 2020 and 225 KRW in 2021. The dividend yields in 2021 reached 5.27% and 4.05%, respectively.

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