Shinhan Asset Management's 'SOL Financial Holdings Plus High Dividend' ETF Surpasses 200 Billion KRW in Net Assets

Shinhan Asset Management announced on July 22 that the 'SOL Financial Holdings Plus High Dividend' Exchange Traded Fund (ETF) has surpassed 200 billion KRW in net assets. After exceeding 100 billion KRW last month, just one year after its listing, an additional 100 billion KRW has flowed in within a single month.

The 'SOL Financial Holdings Plus High Dividend' ETF is composed of 10 stocks, including nine leading domestic financial holding companies such as Shinhan Financial Group, KB Financial Group, Hana Financial Group, and Woori Financial Group, as well as NH Investment & Securities. It is the only ETF in Korea that allows focused investment in financial holding companies. Since its listing, the ETF has paid an average monthly dividend of 52 KRW per share. The annualized dividend yield has remained at around 5.6%.

The ETF has shown outstanding performance among high-dividend ETFs, with a one-month return of 14.32%, a three-month return of 46.32%, and a year-to-date return of 57.49%, which has driven strong inflows of funds. Over the past month, net buying has been concentrated among retail investors, with 35.3 billion KRW from individual investors and 43.5 billion KRW from bank customers.

This trend is the result of a combination of policy changes, improved earnings, and increased shareholder returns by holding companies. Financial holding companies have rapidly raised their dividend payout ratios in recent years. They are actively working to enhance shareholder value through measures such as share buybacks and cancellations, as well as expanding quarterly dividends. Hana Financial Group has reached its highest share price since listing, while Shinhan Financial Group and Woori Financial Group have also hit record highs for the first time in 18 years, expanding the trend of revaluation for financial stocks.

Kim Junghyun, Head of the ETF Business at Shinhan Asset Management, stated, "The SOL Financial Holdings Plus High Dividend ETF is not just a simple dividend theme, but a strategic monthly dividend ETF that has capitalized on structural changes. In particular, the government's push for separate taxation of dividend income, expectations for the passage of amendments to the Commercial Act, and the aggressive shareholder return policies of financial holding companies are working together, allowing this ETF to rapidly establish itself as a leading domestic high-dividend ETF with a solid foundation for long-term growth."

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