KODEX CD Geumri Active Surpasses 4 Trillion KRW in Net Assets in Record Shortest Time

Samsung Asset Management announced on the 23rd that the KODEX CD Interest Rate Active ETF has surpassed 4 trillion KRW in net assets. This milestone was achieved in about five months (114 trading days) since its listing on June 8th, marking the shortest period ever to reach 4 trillion KRW.

In particular, this product is the only one that meets all the conditions required for a parking-type product: ‘high return stability,’ ‘low transaction costs,’ and ‘ample liquidity,’ with individual investors showing overwhelmingly high net purchases.

Since its listing on June 8th, the cumulative net purchases by individual investors have reached approximately 199.9 billion KRW, recording the highest individual cumulative net purchases among all bond and interest rate ETFs during the same period.

Compared to the total individual net purchases of about 103.5 billion KRW for eight other parking-type ETFs tracking CD interest rate, KOFR interest rate, and money market underlying indices, this is nearly double.

The KODEX CD Interest Rate Active ETF adopts an active management approach and, unlike other CD interest rate ETFs that underperform the underlying CD interest rate index, it consistently records yield performance comparable to the CD 91-day rate level, such as 3.60% annually for 1 month and 3.72% annually for 3 months. It also boasts the lowest total expense ratio of 0.02% among parking-type ETFs.

The KODEX CD Interest Rate Active ETF calculates the daily CD 91-day interest rate on a pro-rata basis and compounds it daily, allowing investors to earn the equivalent of one day’s CD 91-day interest rate even if they invest for just one day without any holding period conditions.

Additionally, unlike other parking-type ETFs, it has the highest price per share at 1,018,093 KRW but applies the same 5 KRW bid-ask spread as other ETFs, resulting in lower actual transaction costs.

Im Tae-hyuk, Executive Director of the ETF Management Division at Samsung Asset Management, stated, “The KODEX CD Interest Rate Active ETF has set the record for the shortest period to surpass 4 trillion KRW and has recorded the highest individual net purchases among bond and interest rate ETFs since its launch, gaining strong interest from both institutional and individual investors and establishing itself as a representative parking-type ETF. This ETF has consistently delivered returns at the CD interest rate level through its differentiated active management approach since listing, and with the lowest expense ratio of 0.02% and low actual transaction costs, investors can confidently ‘park’ their funds.”

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