Samsung Asset Management's KODEX Monthly Dividend ETF Series Surpasses 1 Trillion KRW in Net Assets

Samsung Asset Management announced on the 4th that the net assets of the 13 KODEX monthly dividend ETF series have surpassed 1 trillion KRW. The net assets grew tenfold in just over six months, from 108.2 billion KRW at the end of last year to 1.012 trillion KRW. This year, individual net purchases also reached 438.6 billion KRW.

This rapid growth is interpreted as a result of increasing investor demand for stable monthly cash flows recently, combined with Samsung Asset Management significantly expanding its monthly dividend ETF product lineup from 7 to 13.

Samsung Asset Management currently manages a total of 13 monthly dividend ETFs, including 4 equity-type, 1 bond-mixed type, 5 bond-type, and 3 REITs-type ETFs. Among these, 5 products include covered call or target premium strategies using call option writing.

Key products by net assets include KODEX US AI Tech TOP10+15% Premium (233.9 billion KRW), KODEX US 30-Year Treasury Active (H) (193.6 billion KRW), KODEX Tesla Income Premium Bond Mixed Active (172.2 billion KRW), KODEX US 30-Year Treasury +12% Premium (Synthetic H) (138.6 billion KRW), KODEX US Dividend Premium (68.2 billion KRW), and KODEX Korea Real Estate REITs Infrastructure (53.6 billion KRW).

Products with large cumulative net purchases from individual investors include KODEX US AI Tech TOP10+15% Premium (146.7 billion KRW), KODEX Tesla Income Premium Bond Mixed Active (95.2 billion KRW), KODEX US 30-Year Treasury +12% Premium (Synthetic H) (79.1 billion KRW), KODEX US Dividend Premium Active (42.6 billion KRW), KODEX Korea Real Estate REITs Infrastructure (39.2 billion KRW), and KODEX US Dividend +10% Premium Dow Jones (23.0 billion KRW).

To meet investor demand for stable monthly dividend income, Samsung Asset Management recently launched three target premium products, significantly increasing the monthly dividend rate from the existing monthly dividend lineup. The newly introduced KODEX US AI Tech TOP10+15% Premium, KODEX US 30-Year Treasury +12% Premium (Synthetic H), and KODEX US Dividend +10% Premium invest respectively in US tech stocks, US 30-year Treasury bonds, and US dividend growth stocks, while utilizing part of the assets for call option writing. This design allows maintaining a certain level of market participation while paying the target premium as monthly dividends. By combining high monthly dividends with various product groups such as stock index, thematic stocks, and bonds, the total net assets of the three new products approached 400 billion KRW within about two months after launch, attracting strong investor interest.

Additionally, as expectations for interest rate cuts become more concrete, investor demand continues to flow steadily into monthly dividend ETFs investing in domestic REITs. In the case of KODEX Korea Real Estate REITs Infrastructure, there is a distinctive advantage where, according to government policy implementation, dividend income up to 50 million KRW can receive a separate taxation rate of 9.9%, which continues to attract individual investors' interest.

Im Taehyuk, Executive Director of ETF Management at Samsung Asset Management, said, “The KODEX monthly dividend ETF lineup, composed of various assets, is receiving positive responses from a broad range of investors, including pensioners who need stable cash flow and lump-sum investors.” He added, “Investors should consider the nature of the investment assets and the monthly dividend rate according to their own situation and objectives when selecting products, or diversify investments across different monthly dividend product groups to achieve good investment results.”

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