Kiwoom Asset Management "Kiwoom The Dream Short-Term Bond Fund Surpasses 1 Trillion KRW in Assets Under Management"

Kiwoom Asset Management announced on the 14th that the assets under management of the Kiwoom The Dream Short-Term Bond Fund have surpassed 1 trillion won.

This year, bond-type and interest rate-linked products have grown in a high-interest-rate environment. The Kiwoom The Dream Short-Term Bond Fund recorded a high return of 5.36% since the beginning of the year, attracting more than 700 billion won in funds this year alone.

The Kiwoom The Dream Short-Term Bond Fund mainly invests in short-term bonds with durations of around 6 months. It minimizes interest rate fluctuation risk while investing in high-yield corporate bonds, commercial papers (CP), and electronic short-term bonds to achieve stable alpha returns. The absence of redemption fees makes it suitable for managing short-term idle funds. It is gaining attention as an alternative to time deposits and money market funds (MMFs).

Since the fund's inception in December 2017, the cumulative return (Class A basis, pre-tax, after fees) was 15.74% as of the previous day. It achieved an excess return of 3.69 percentage points compared to the benchmark index. Period returns are ▶3 months 1.28% ▶6 months 2.34% ▶1 year 5.85% ▶3 years 8.51%. It has delivered steady performance despite volatile market conditions.

Fund manager Son Hee-kyung said, "We expect the high interest rate level to be maintained for some time next year, and as discussions on interest rate cuts in major countries become active, we anticipate a downward trend in interest rates. We plan to maximize fund returns by increasing duration within a limited range in preparation for the interest rate decline phase."

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