Samsung Asset Management's KODEX US S&P 500 TR Net Assets Surpass 1 Trillion Won

Samsung Asset Management announced on the 9th that the net assets of the KODEX US S&P500TR Exchange Traded Fund (ETF), which invests in 500 representative companies of the US stock market, have surpassed 1 trillion won, reaching 1.016 trillion won.

The S&P500 index is one of the representative stock indices in the United States, consisting of approximately 500 companies that account for more than 80% of the total market capitalization of companies listed on US stock exchanges. As of the end of 2023, the S&P500 index has risen by an average of 13.7% annually over the past 10 years, establishing itself as the most popular investment destination among overseas Korean investors.

The characteristic of the KODEX US S&P500TR ETF is that it does not distribute dividends to investors but reinvests them into the index. The ‘TR’ (Total Return) in the product name refers to total return, which is the concept of adding dividend reinvestment to the price changes of the index.

Additionally, there are advantages in terms of reinvestment-related costs. When reinvestment is done within the fund itself rather than individual investors reinvesting dividends separately, more precise and cost-efficient index tracking is possible due to the scale of the amount involved.

In fact, as of the adjusted price on April 8, the KODEX US S&P500TR ETF outperforms all domestically listed ETFs related to the S&P500 index in all periods, including short-term periods such as 3 months and 6 months, as well as medium- to long-term periods such as 1 year and 2 years. The recent returns of the KODEX US S&P500TR ETF for 3 months, 6 months, 1 year, and 2 years are 14.26%, 23.24%, 31.87%, and 30.90%, respectively.

Lee Junjae, manager at Samsung Asset Management, stated, “For domestic investors who anticipate the long-term upward trend of the S&P500, we recommend the KODEX US S&P500TR ETF, which efficiently and automatically reinvests dividends.” He emphasized, “Especially for individual investors trading through general accounts, this is the optimal product that allows reinvestment into the index without withholding tax on ETF dividends.”

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