Korea Investment Management to Pay First Distribution for ACE High Dividend Plus Covered Call Active ETF After Listing

Korea Investment Management announced on June 24 that the 'ACE High Dividend Plus Covered Call Active' Exchange Traded Fund (ETF) will pay its first distribution since listing.

Listed on the KOSPI market on June 2 of this month, this product is designed as a monthly distribution-type structure that pays out dividends every month. To receive the first distribution, investors must purchase the ETF by June 26, and the specific distribution amount will be disclosed on the official ACE ETF website and other channels on the same day. The actual payment date for the distribution is scheduled for July 2.

The key feature of the ACE High Dividend Plus Covered Call Active ETF is that it selects 20 domestic high dividend stocks through comprehensive simulations of dividend yield, dividend growth rate, shareholder policy reinforcement trends, and ex-dividend date recovery rates. In addition, Samsung Electronics and SK hynix have been added to the portfolio, taking into account both capital gains and dividend policies. The monthly distribution funds are sourced from both dividends generated by the stocks and premium income from selling call options. The ETF employs an at-the-money (ATM) KOSPI 200 call option selling strategy, and in particular, utilizes KOSPI 200 weekly options to collect premiums twice a week.

As the ETF offers the dual advantage of stable high dividend investing and the potential for share price appreciation through leading semiconductor stocks, it has continued to attract steady capital inflows from investors since its listing. According to the Korea Exchange, on the day of listing, individual investors made net purchases totaling 24 billion won, and by June 23, cumulative net purchases by individuals reached 57.9 billion won, reflecting positive momentum.

Nam Yongsoo, Head of ETF Division at Korea Investment Management, stated, "The structure of combining high dividend stock investment with leading semiconductor stocks offers advantages in terms of volatility management. When large-cap semiconductor stocks generate capital gains through relatively higher volatility, high dividend stocks can partially support the downside of the portfolio." He added, "By leveraging the strengths of active products, we will not only selectively include companies with reduced dividends, but also actively respond to future changes such as the expansion of KOSPI 200 weekly option expiry dates."

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