NH-Amundi Asset Management, HANARO Semiconductor Core Process Leading Stock ETF Listed

NH-Amundi Asset Management announced that it will list the HANARO Semiconductor Core Process Leading Stocks ETF on February 27.

The HANARO Semiconductor Core Process Leading Stocks ETF is an ETF that allows investment in key leading stocks in the front-end and back-end stages, which are the core of semiconductor production. It selectively invests in 20 domestic semiconductor process-related companies with highlighted growth potential.

The semiconductor process can be divided into the front-end process, which involves wafer processing and chip production, and the back-end process, which involves testing and packaging the finished chips. Recently, as the integration density and specifications required for advanced semiconductors have increased, the importance of each production process is also rising.

Recently, semiconductor companies worldwide have been making large-scale investments such as establishing semiconductor factories around the world to gain leadership in advanced future industries like artificial intelligence (AI) and robotics. This large-scale investment cycle is expected to lead to demand for semiconductor equipment. Investing in cutting-edge processes at the nano-scale, which are battlegrounds for advanced technology, increases process difficulty. Structurally, this is a period when the importance of semiconductor equipment and process companies grows.

The importance of the semiconductor back-end process, which produces key elements such as HBM and on-device chips for AI GPUs, is also expected to be highlighted. The capabilities of competitive domestic semiconductor equipment companies are anticipated to stand out.

The HANARO Semiconductor Core Process Leading Stocks ETF invests in 20 domestic semiconductor process-related stocks based on the FnGuide Semiconductor Core Process Leading Stocks Index. The constituent stocks include PSK Holdings, Doosan Testna, Hana Micron, Hanmi Semiconductor, and HPSP. More than half of the stocks are companies related to semiconductor back-end process equipment and OSAT, which are evaluated as core processes in HBM production.

It invests in many domestic quality companies possessing advanced technology and know-how related to semiconductor processes. Rather than composing the ETF with large-cap stocks, it selectively invests in smaller but growth-highlighted stocks, expecting excellent performance.

It is also notable as the first domestic semiconductor ETF to introduce a quant solution. The FnGuide Semiconductor Core Process Leading Stocks Index, which the ETF tracks, adopts a leading stock score method for stock selection. The leading stock score method is NH-Amundi Asset Management's proprietary quant model, utilizing values calculated by quantifying growth indicators and price momentum indicators.

Kim Hyun-bin, Head of ETF Investment at NH-Amundi Asset Management, said, "In the AI era, the importance of process companies, which are core to semiconductor production, will increasingly stand out," adding, "The HANARO Semiconductor Core Process Leading Stocks ETF is a product that can invest in growth-oriented advanced semiconductor processes and will provide differentiated performance."

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