Perfect for Responding to Policy Shifts... KB Asset Management Recommends 7 Promising Funds

On October 2, KB Asset Management proposed seven strategic funds designed to respond to four major changes: the trend of interest rate cuts, domestic and international policy shifts, the spread of ESG (Environmental, Social, and Governance) practices, and global geopolitical risks.

In the fourth quarter of this year, the company has notably strengthened its product lineup by introducing two new funds: "KB US Long-Term Treasury Plus" and "KB New Korea."

Focusing on the possibility of further declines in US interest rates, KB Asset Management recommended "KB US Long-Term Treasury Plus" as a product that seeks both interest income and capital gains during a rate cut cycle. For investors seeking stable returns, the company suggested "KB US Mid-Short-Term Treasury," which excludes risk assets such as credit and focuses on US mid- and short-term treasuries and exchange-traded funds (ETFs).

For domestic bond strategies, the company included "KB Star ESG High-Quality Mid-Short-Term Bond" in its list, which is composed mainly of government bonds and "A+" or higher-rated corporate bonds. This fund strictly applies ESG criteria and invests in issuers with a duration of less than two years. Over the past year, it has recorded a solid return of 4.16%.

For equity strategies, KB Asset Management proposed "KB New Korea," which focuses on six advanced strategic industries, including artificial intelligence (AI), biotechnology, advanced manufacturing, and eco-friendly energy. The company believes that structural growth opportunities will expand, supported by government policies to foster core industries and advance the capital market.

Anticipating that institutional changes such as amendments to the Commercial Act will lead to improved corporate governance and increased corporate value, the company also recommended "KB ESG Growth Leaders," which invests in high-quality domestic companies with strong long-term growth potential through in-depth ESG analysis.

As an overseas strategy, "KB US Representative Growth Stocks" was presented, focusing on companies leading innovative technologies such as AI, cloud computing, and autonomous driving. KB Asset Management believes that the structural growth potential of the global technology industry remains robust.

Through "KB Global Representative Asset Diversification," which allocates investments across equities (60%) and bonds (40%), the company explained that investors can pursue both stability and growth by investing evenly across major regions, including the United States, Europe, and emerging markets.

Jang Soonmo, Head of Product Strategy at KB Asset Management, stated, "The fourth quarter of this year is a period where interest rate cuts, policy changes, ESG expansion, and global uncertainty intersect. It is important to balance bond, equity, and asset allocation strategies to manage short-term volatility while securing mid- to long-term growth opportunities."

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