Samsung Asset Management "KODEX CD Interest Rate Active, Net Assets Surpass 3 Trillion in Shortest Time"

Samsung Asset Management announced on the 12th that the net assets of the 'KODEX CD Interest Rate Active ETF' have surpassed 3 trillion won. It appears that investors are paying attention to the 'parking-type' CD interest rate exchange-traded fund (ETF), which provides returns by reflecting market interest rates on a daily basis in a high-interest-rate environment.

According to Samsung Asset Management on that day, the net assets of the KODEX CD Interest Rate Active ETF reached 3.05 trillion won as of the previous day based on the Korea Exchange. This is the shortest record in Korea, achieved in just 84 trading days since its listing on June 7. The net assets also surpassed 2 trillion won on July 5 in 63 trading days, breaking the previous record, and then increased by an additional 1 trillion won in 21 trading days thereafter.

This is due to the continuation of high interest rates centered on the United States, which has led to a surge in investor interest in parking-type ultra-short-term products. As major countries' stock markets have struggled to find clear direction, investors have focused on products that demonstrate differentiated performance in terms of stability and profitability compared to existing products.

In fact, the KODEX CD Interest Rate Active ETF has seen individual net purchases of about 44.5 billion won over the past month, with more than 150 billion won of individual funds flowing in since its listing. In particular, it applies the lowest total expense ratio of 0.02% per annum among parking-type ETFs while adopting a differentiated active management approach. As a result, unlike other CD interest rate ETFs that underperform the underlying CD interest rate index, this product is recording returns close to the CD 91-day rate, such as 3.78% annually over one month and 3.74% annually over three months.

Another advantage is that investors can earn returns equivalent to one day of the CD 91-day rate even with just a single day of investment, without any period conditions. Unlike general bond-type ETFs that may incur losses due to interest rate fluctuations, this ETF calculates the daily portion of the CD 91-day rate and compounds it daily. Since its listing, it has recorded an average daily market price gain of 155 won and an average intraday price fluctuation of 11 won, making it the only ETF that achieves daily market price gains.

Yoo Ah-ran, a manager at Samsung Asset Management, explained, "With the recent CD 91-day rate exceeding 3.8% annually and the continuation of a high-interest-rate environment, demand has steadily increased for parking-structured CD interest rate ETFs to park idle funds." She added, "As it became known that investors can realize returns at the CD interest rate level and park funds with low actual transaction costs and peace of mind, the net asset size has continued to grow."

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