Samsung Asset Management's KODEX TDF2050 Active Surpasses 20 Billion KRW in Net Assets

by Ryu Hyunseok

Published 21 Aug.2023 09:24(KST)

Samsung Asset Management announced on the 21st that the net assets of the KODEX TDF2050 Active ETF have surpassed 20 billion KRW. Since its listing at a scale of 7.5 billion KRW at the end of June last year, it has increased by 12.5 billion KRW in just over a year.

Samsung Asset Management's KODEX TDF2050 Active Surpasses 20 Billion KRW in Net Assets

TDFs can be invested 100% through retirement pension accounts, often used to fulfill the 30% mandatory investment in safe assets. In particular, the TDF2050 vintage has a high equity investment ratio of about 75%, so including this ETF allows the portfolio to hold about 20% more equities.

Moreover, since its listing, the KODEX TDF2050 Active ETF has recorded a 12.19% return, ranking second overall among the same vintage (2050) products, following Samsung Korea-style TDF2050 (UH) at 15.00%. As an ETF product, it offers low costs and real-time investment inflows and outflows, making it popular among young, smart pension investors familiar with ETF investing as a safe asset investment option. In fact, among all TDF ETFs, KODEX TDF2050 Active records the highest trading volume.

The high performance of this ETF is due to its simple investment asset composition combining global equities worldwide and domestic bonds, along with the application of an intuitive glide path. The KODEX TDF Active ETF applies a glide path jointly developed by Samsung Asset Management and S&P Global. A glide path is the trend of adjusting the proportions of stocks and bonds until retirement, and the KODEX TDF Active ETF uses an intuitive and simple fixed-rate adjustment glide path, enabling investors to understand the ETF’s management strategy and performance more easily and clearly. Additionally, it constructs safe assets with Korean bonds instead of U.S. bonds, which have high exchange rate risk, providing stable performance for investors approaching retirement.

Jung Jae-wook, head of the ETF Management Team 3 at Samsung Asset Management, said, “The KODEX TDF2050 Active ETF is a product well-suited to the expectations of smart investors actively investing in pensions. Since TDF products correspond to safe assets, it can be used to maximize the equity investment ratio within retirement pension accounts.” He added, “Furthermore, the ETF’s advantages and its top-tier investment returns among the same vintage products are factors that have significantly increased positive investor interest.”