Hanwha Asset Management Launches ‘PLUS Silver Bond Mixed’ ETF... 100% Eligible for Retirement Pension Investment

Investing Evenly in Silver and Government Bonds

Hanwha Asset Management announced on the 12th that it will newly list the ‘PLUS Silver Bond Mixed’ Exchange Traded Fund (ETF).

The PLUS Silver Bond Mixed ETF tracks international spot silver prices and invests evenly in silver, which is expected to see long-term growth due to rising industrial demand, and in government bonds, at a 50:50 ratio.

This ETF is categorized as a mixed bond product and is classified as a safe asset under retirement pension regulations. As of the listing date, it is the only silver ETF listed in Korea that allows 100% investment through retirement pension (DC/IRP) accounts.

When investing through a retirement pension account, investors can diversify risk and reduce volatility by expanding their portfolio asset classes. For example, if 70% of the risky asset limit is allocated to the ‘PLUS US S&P500’ ETF and the remainder to the ‘PLUS Silver Bond Mixed’ ETF, assets are distributed as follows: 70% in stocks, 15% in silver, and 15% in bonds. This approach reduces volatility by allocating assets to both silver and bonds, seeking stable returns.

Recently, silver has been reevaluated as a core material for advanced industries, beyond its status as a traditional precious metal, but its supply remains limited. Since 2021, demand has structurally outpaced supply for five consecutive years.

Kim Jungseop, Head of ETF Business at Hanwha Asset Management, stated, “Silver has become an essential material in the era of artificial intelligence (AI) and energy transition, but due to its high volatility, ordinary investors have felt psychological barriers to holding it long-term. The ‘PLUS Silver Bond Mixed’ ETF is structured to fully capture the industrial appeal of silver while absorbing investment risks with bonds, providing a solution that improves both returns and stability for retirement pension accounts.”

Meanwhile, Hanwha Asset Management also newly listed the ‘PLUS Mid-term Comprehensive Bonds (A- or Higher) Active’ ETF on the same day. This product mainly invests in bonds with remaining maturities of three months to five years, including government bonds, monetary stabilization bonds, financial debentures, and corporate bonds rated A- or higher.