PLUS US Nasdaq 100 US Treasury Mixed 50 ETF Newly Listed

Hanwha Asset Management announced on August 19 that it will newly list the 'PLUS US Nasdaq 100 US Treasury Mixed 50' Exchange Traded Fund (ETF).

The PLUS US Nasdaq 100 US Treasury Mixed 50 is a bond-mixed fund that invests 50% in the Nasdaq 100 Index and 50% in ultra-short-term US Treasury bonds with less than three months remaining maturity. The fund allocates the entire 50% equity investment limit for bond-mixed funds to the Nasdaq 100.

This product targets aggressive investors who want to maximize equity exposure in their retirement pension (DC and IRP) accounts. Under current regulations, retirement pension accounts can invest up to 70% of their assets in equities and other risky assets. The remaining 30% must be invested in safe assets such as deposits, bonds, or bond-mixed funds.

By utilizing the PLUS US Nasdaq 100 US Treasury Mixed 50, investors can allocate up to 85% of their retirement pension accounts to the Nasdaq 100. This is achieved by investing 70% of the retirement pension in a Nasdaq 100 tracking ETF and allocating the remaining 30% to the 'PLUS US Nasdaq 100 US Treasury Mixed 50.'

The Nasdaq 100, composed of global innovative companies leading future industries, has shown a consistent upward performance over the long term. As of the end of last month, its average annual return over the past 10 years was 18.95%, and over the past three years, it was 26.44%. With expectations for a base rate cut rising and strong second-quarter earnings reports from major US big tech companies this year, favorable performance is expected to continue.

By including ultra-short-term US Treasury bonds with less than three months maturity, the portfolio's volatility can be effectively controlled. Ultra-short-term US Treasuries have a significantly low risk of default and, due to their short maturity, exhibit low price volatility in response to interest rate changes.

Kim Jungsub, Head of ETF Business at Hanwha Asset Management, stated, "Aggressive investors seeking to enhance the long-term performance of their retirement pensions can allocate the mandatory safe asset portion to this product to increase expected returns," adding, "The inclusion of ultra-short-term US Treasuries is designed to effectively control volatility, enabling stable asset management within retirement pension accounts."

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