Bond ETFs also 'TIGER'... Net Assets Surpass 2 Trillion Won

[Asia Economy Reporter Junho Hwang] The net assets of domestic short-term bond investment ETFs managed by Mirae Asset Global Investments have surpassed 2 trillion KRW.

According to the Korea Exchange on the 22nd, as of the closing price on the 22nd, the net assets of the TIGER Short-Term Monetary Stabilization Bond ETF amounted to 1.7406 trillion KRW, and the TIGER Short-Term Bond Active ETF had net assets of 295.2 billion KRW, totaling 2.0357 trillion KRW in net assets. In particular, the TIGER Short-Term Monetary Stabilization Bond ETF had the largest net asset size among bond-type ETFs listed on the Korea Exchange. The net assets of this ETF increased by 403.9 billion KRW compared to the beginning of the year.

Recently, trading of these ETFs has also increased. The average daily trading value of the TIGER Short-Term Monetary Stabilization Bond ETF over the past three months exceeded 100 billion KRW. It ranks first among bond-type ETFs listed domestically and about seventh among all ETFs. The TIGER Short-Term Bond Active ETF ranked third in average daily trading value among bond-type ETFs over the past three months.

The TIGER Short-Term Monetary Stabilization Bond ETF and TIGER Short-Term Bond Active ETF are products designed to track the returns of ultra-short-term bond indices while maintaining low volatility. The benchmark index for the TIGER Short-Term Monetary Stabilization Bond ETF is the 'KIS MSB 3M' index. This index consists of three Monetary Stabilization Bonds with remaining maturities of 1 to 6 months. Monetary Stabilization Bonds refer to bonds issued and traded by the Bank of Korea targeting financial institutions to control the money supply in the market. They have short maturities and high stability. The benchmark index for the TIGER Short-Term Bond Active ETF is the 'KIS MSB 3M Plus' index. This ETF seeks to achieve excess returns by investing in government bonds, special bonds, Monetary Stabilization Bonds, bank bonds, and others beyond the benchmark index components.

Namgi Kim, Executive Director and Head of ETF Management at Mirae Asset Global Investments, said, "In the midst of increased market volatility due to the Ukraine crisis and interest rate hikes, short-term bond ETFs are gaining attention as investment safe havens," adding, "Short-term fund ETFs are popular because they allow overall portfolio risk management by utilizing low volatility."

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