ACE-Contained Korea Investment ACE+US Nasdaq Fund Outperformed Nasdaq in the Last 3 Months

Korea Investment Trust Management announced on the 27th that the performance of its EMP (ETF managed portfolio) fund, Korea Investment ACE+US Nasdaq Fund, is outperforming the US Nasdaq Index.

According to the fund rating agency FnGuide, the Korea Investment ACE+US Nasdaq Fund, which was launched in July, recorded a recent 3-month return of 11.25% (A-e class, as of the 26th). This exceeds the 8.17% return recorded by the US Nasdaq Index during the same period. The average return of EMP funds during the same period was only 3.39%.

EMP funds refer to funds that construct highly diversified portfolios using exchange-traded funds (ETFs) and similar instruments. Fund managers not only analyze and selectively include various ETF products but also, thanks to the characteristics of products utilizing ETFs, these funds offer lower fees and faster redemption cycles compared to conventional public funds of the same type.

The management fee of the Korea Investment ACE+US Nasdaq Fund is 0.01%, and the redemption cycle is 4 business days. By offering one of the lowest management fees among public fund types, it maximizes the compound interest effect that can be enjoyed through long-term investment, while also enhancing liquidity to improve investor convenience. The redemption cycle of the Korea Investment ACE+US Nasdaq Fund differs by only one business day from the redemption cycles of ETFs and stocks.

The largest portion of the portfolio consists of ETFs tracking the US Nasdaq Index. As of the 18th, the ACE US Nasdaq 100 ETF accounted for 92.38% of the portfolio, followed by the ACE US Big Tech TOP7 Plus ETF at 1.29%. In addition to ETFs, the fund also includes individual stocks such as Nvidia and Apple. This is interpreted as an investment strategy aimed at generating excess returns compared to the Nasdaq.

Kim Hyuntae, head of the Global Quantitative Management Department at Korea Investment Trust Management and fund manager, introduced, "The biggest advantage of EMP is that among numerous ETFs, the fund manager selects ETFs that align with the investment objective and manages them on behalf of investors." He added, "The Korea Investment ACE+US Nasdaq Fund pursues excess returns by using the ACE US Nasdaq 100 ETF as the core portfolio according to the investment objective of ‘Nasdaq Plus Alpha,’ and allocating the remaining portion to high-growth companies such as big tech firms."

He also emphasized, "Reinvesting dividends from the included assets allows investors to enjoy the compound interest effect," and "The fund enhances expected returns and convenience by offering lower fees and faster liquidity compared to public funds."

The Korea Investment ACE+US Nasdaq Fund is a performance dividend-type product, and past performance does not guarantee future results. Principal loss may occur depending on the management outcome.

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