'PLUS ETFs Reborn' Top Returns Among Domestic and Overseas ETFs Alike

Hanwha Asset Management announced on October 31 that its 'PLUS K-Defense' and 'PLUS Global HBM Semiconductor' exchange-traded funds (ETFs) ranked first in returns among domestic and overseas equity ETFs, respectively.

According to financial information provider FnGuide, as of the 29th, the PLUS K-Defense ETF recorded a return of 210.27% since the beginning of the year, the highest among domestic equity ETFs (excluding leveraged ETFs). During the same period, the PLUS Global HBM Semiconductor ETF achieved a return of 122.41%, the highest among overseas equity ETFs.

The PLUS K-Defense ETF is Hanwha Asset Management's flagship ETF and the first among its ETFs to surpass 1 trillion won in total net assets. Hanwha Asset Management anticipated the rise of the defense industry amid heightened geopolitical tensions and security concerns, and was the first in the industry to launch a defense ETF. The company identified the future growth potential of the domestic stock market, particularly K-Defense, which had been relatively overlooked by overseas stock markets, and responded proactively.

The combined operating profit of the four major defense companies in the PLUS K-Defense ETF's main portfolio-Hanwha Systems, Hanwha Aerospace, LIG Nex1, and Hyundai Rotem-reached 2.2087 trillion won in the first half of this year, up 194.2% from the same period last year. These companies are experiencing rapid growth, including surpassing 100 trillion won in order backlogs.

The outlook remains positive. The ongoing confrontation between the US-led Western bloc and the China-led anti-Western bloc is expected to sustain demand for defense. In addition, as K-Defense's market share rises in the global defense industry, the improved bargaining power of K-Defense companies is expected to enhance their profit margins.

The PLUS Global HBM Semiconductor ETF invests in domestic and international high-bandwidth memory (HBM) manufacturers and related materials, components, and equipment companies.

HBM is an essential component in the artificial intelligence (AI) semiconductor industry. The sector is growing rapidly in response to the recent surge in demand for AI semiconductors. According to global market research firm TrendForce, the HBM market size is expected to grow more than threefold, from $14 billion in 2025 to $39.5 billion in 2027.

The recovery of the DRAM market, driven by increased server DRAM demand, is also a positive factor. Samsung Electronics, SK Hynix, and Micron, which are major holdings of the PLUS Global HBM Semiconductor ETF, account for over 90% of global DRAM sales.

Choi Youngjin, Chief Marketing Officer (CMO) of Hanwha Asset Management, said, "The total net assets of the PLUS ETFs have more than doubled from the end of last year, reaching 7.2366 trillion won," adding, "We will continue to focus on 'the power that moves the world' and contribute to stable returns for investors."

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