KB Asset Management's 'KBSTAR Global Realty Income ETF' Surpasses 1 Million Shares in Cumulative Individual Net Purchases

KB Asset Management announced on the 7th that the ‘KBSTAR Global Realty Income ETF,’ launched on the 20th of last month, has surpassed 1 million shares in cumulative net purchases by individual investors within a short period.

As the interest rates on regular deposits at commercial banks recently fell to the 3% range annually, individual investors seeking alternative pension investment options are flocking to the ‘KBSTAR Global Realty Income ETF,’ which boasts a high dividend yield, earning it the nickname ‘dividend aristocrat stocks.’

The ‘KBSTAR Global Realty Income ETF’ is a monthly dividend-type exchange-traded fund (ETF) that simultaneously invests in Realty Income, the epitome of monthly dividend REITs in the U.S., and Macquarie Infrastructure, the No. 1 infrastructure fund in Korea.

The underlying index of this product is the ‘Solactive Global Realty Income Index_’. It includes 18% each of the representative dividend growth stocks ‘Realty Income’ and ‘Macquarie Infrastructure.’ Additionally, it holds a total of 10 stocks, including eight growth-oriented global REITs such as American Tower, Crown Castle, and ProLogis.

U.S.-based ‘Realty Income’ is the world’s largest commercial REIT. It has paid monthly dividends for the past 54 years and has steadily increased its dividends for over 25 years. ‘Macquarie Infrastructure’ is Korea’s largest listed infrastructure fund with a market capitalization of approximately 5.3 trillion KRW and holds a high credit rating of ‘AA.’ Since its first distribution in 2003, its average annual dividend growth rate has been about 5.4%.

As of the end of last year, the annualized dividend yields of Realty Income and Macquarie Infrastructure were approximately 5.3% and 6.2%, respectively, making them highly attractive dividend stocks.

Kim Chan-young, head of the ETF Business Division at KB Asset Management, said, “We structured the portfolio mainly with dividend growth REITs, which are expected to see both stock price appreciation and dividend increases, and infrastructure stocks that are difficult to trade within pension savings.” He added, “Holding this ETF together with stock-type dividend growth ETFs like SCHD within a pension account can further enhance the overall portfolio’s stability.”

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