Mirae Asset's 'TIGER Miguk Nasdaq 100 Covered Call (Synthetic)' Net Assets Surpass 50 Billion Won

Mirae Asset Global Investments announced on the 6th that the net assets of the ‘TIGER US Nasdaq 100 Covered Call (Synthetic) ETF’ have surpassed 50 billion KRW.

According to the Korea Exchange, as of the closing price on the 5th, the net assets of the ‘TIGER US Nasdaq 100 Covered Call (Synthetic) ETF’ stand at 51.2 billion KRW. This ETF, which is the first in Korea to utilize a covered call strategy based on the US Nasdaq 100 index, has seen continued net buying by individual investors since the beginning of the year amid the sideways movement of the Nasdaq market. The amount of individual investor funds inflowed since the start of the year is approximately 15 billion KRW.

A covered call is a strategy that involves buying the underlying asset and simultaneously selling call options on that asset. By using a covered call strategy, losses are buffered by the option premium when the underlying asset declines, while gains are capped at a certain level when the underlying asset rises.

The ‘TIGER US Nasdaq 100 Covered Call (Synthetic) ETF’, which pays dividends monthly, is attracting attention for having the highest dividend yield among monthly dividend ETFs listed in Korea. Since its listing in September last year, it has recorded a monthly dividend yield of around 1.00%, making it appealing to pension investors and others who want to receive steady cash flow every month in a stock market with increased volatility.

Additionally, the ‘TIGER US Nasdaq 100 Covered Call (Synthetic) ETF’ is the Korean version of ‘QYLD’, the flagship product of Mirae Asset Global Investments’ US subsidiary Global X, offering Korean investors the advantage of more convenient access to the US market domestically. ‘QYLD’ is a monthly dividend ETF with net assets of 7 billion USD (as of the 4th), popular among Korean investors investing abroad due to its attractive dividends. Unlike investing in ‘QYLD’, investing in the ‘TIGER US Nasdaq 100 Covered Call ETF (Synthetic)’ does not require currency exchange and is available through pension accounts. Especially when investing through pension accounts, dividend income tax on monthly dividends is deferred until withdrawal, making it more advantageous for long-term investment.

Kim Su-myeong, Senior Manager of the ETF Management Division at Mirae Asset Global Investments, said, “In a situation where concerns about economic recession continue due to recent bankruptcies of major global banks, the covered call strategy, which generates steady cash flow, is gaining attention,” adding, “The TIGER US Nasdaq 100 Covered Call (Synthetic) ETF reduces the volatility of the Nasdaq 100 and provides a steady monthly cash payout, making it popular among individual investors.”

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