KIWOOM Asset Management to List 'KIWOOM Hyundai Motor Group TOP3 Bond Mixed 50 ETF' on July 14

KIWOOM Asset Management will list the 'KIWOOM Hyundai Motor Group TOP3 Bond Mixed 50' Exchange Traded Fund (ETF) on the Korea Exchange on July 14. This ETF focuses on key companies within the Hyundai Motor Group that are transforming from automobile manufacturing to robotics and physical AI (Artificial Intelligence) platform enterprises.

This product invests a total of 50% in the top three Hyundai Motor Group affiliates listed on the Korea Exchange by market capitalization: Hyundai Motor Company (25%), Kia Corporation (15%), and Hyundai Mobis (10%). The remaining 50% is allocated to domestic short-term government bonds and monetary stabilization bonds to ensure asset stability, making it a bond-mixed ETF. The allocation between stocks and bonds is rebalanced daily at a 50:50 ratio, and the weightings of the included stocks are periodically adjusted according to their market capitalization rankings. Additionally, it adopts a 'monthly distribution' structure, paying out dividends based on the last business day of each month, thereby catering to investors seeking stable cash flow.

Recently, at 'CES 2026', the world’s largest IT and electronics exhibition, the global automotive industry’s key trend has shifted to physical AI, bringing renewed attention to Hyundai Motor Group’s unmatched robotics value chain. According to the securities industry, Hyundai Motor Company specializes in vehicle manufacturing, Kia Corporation focuses on the convergence of robotics and vehicles, and Hyundai Mobis is responsible for supplying core components, together creating an organic ecosystem.

Hyundai Motor Company is currently utilizing Boston Dynamics’ robot 'Spot' at its Georgia plant (HMGMA) in the United States and plans to launch the RMAC robotics training center in the third quarter of 2026. Kia Corporation has announced plans to install robotic arms for logistics on its commercial electric PBV (Purpose Built Vehicle). Hyundai Mobis is expected to supply actuators, which function as the joints and muscles of robots. Hyundai Motor Company, Kia Corporation, and Hyundai Mobis are all shareholders of HMG Global, which holds a 54.7% stake in Boston Dynamics, making it the largest shareholder. Therefore, investing in this ETF provides indirect exposure to Boston Dynamics, which is currently unlisted. If Boston Dynamics goes public in the future, the three companies are expected to benefit from a revaluation of their stakes.

This product is expected to be a useful solution for investors actively managing retirement pension (DC·RP) accounts. In retirement pension accounts, investments in risky assets such as stocks are limited to 70%. However, as this ETF is structured as a bond-mixed product, it is classified as a non-risk asset and can be included up to 100% in IRP and DC accounts. For investors who have already reached the risky asset limit, including this product within the remaining 30% limit can effectively increase the actual equity allocation in the account to up to 85%.

Lee Kyungjun, Head of ETF Management at KIWOOM Asset Management, stated, "Hyundai Motor Group is rapidly expanding its business areas beyond automobile manufacturing into robotics and software platforms." He added, "The KIWOOM Hyundai Motor Group TOP3 Bond Mixed 50 ETF is designed to allow focused investment in Hyundai Motor Group’s core growth drivers, while also including bonds to make it suitable for retirement pension accounts." He continued, "We expect that this product will be highly useful for investors looking to increase their exposure to robotics and physical AI growth stocks in retirement pension accounts, or those seeking stable monthly cash flow through distributions."

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