KB Asset Management Launches 'KB Korea Advanced Strategic Industry 50 Target Maturity Fund'

Investment in Semiconductors, Electronics, Defense, and Space Robotics
Switches to Bond-Type Structure Upon Reaching Target Return

KB Asset Management announced on July 22, 2026, that it will launch a hybrid bond-type target maturity fund investing in core companies within advanced strategic industries promoted by the government.

The advanced strategic industries refer to 12 sectors identified by the government for the next five years to be fostered and supported through the National Growth Fund: semiconductors, displays, secondary batteries, bio, robotics, defense, vaccines, hydrogen, future mobility, artificial intelligence (AI), critical minerals, and content.

The "KB Korea Advanced Strategic Industry 50 Target Maturity Fund" aims to achieve both growth and stability by diversifying investments between domestic advanced strategic industry sectors and high-quality domestic bonds. Less than 50% of the portfolio will be allocated to equities to capture growth opportunities, with the remainder invested in domestic bond-related assets to ensure stability.

The equity portion focuses on key companies with a competitive edge in advanced strategic industries expected to benefit from government policy and structural growth, such as semiconductors, electronics, defense, secondary batteries, bio, space, and robotics. The portfolio is narrowed down to about 20 to 30 stocks through a comprehensive analysis of industry growth potential, corporate competitiveness, and the ability to enhance corporate value.

The bond portion is diversified across high-quality domestic bonds, including government bonds, monetary stabilization bonds, special bonds, and bank bonds, as well as short-term bond exchange-traded funds (ETFs) and money market funds (MMFs). By maintaining a low average duration, the fund seeks to minimize interest rate risk and pursue stable interest income.

The target rate of return is a cumulative 7% for Class A (based on an accumulated price of 1,070 won). Upon reaching the target rate of return, all equity-related assets are sold, and the fund is switched to focus on short-term domestic bond ETFs, MMFs, and other bond-related assets, enabling stable management of the secured profits.

Beom Kwangjin, Head of Retirement Wealth Management Division at KB Asset Management, stated, "Thanks to the AI supercycle and government policies to foster advanced strategic industries, the growth potential of Korea's core industries is steadily increasing. The 'KB Korea Advanced Strategic Industry 50 Target Maturity Fund' invests in high-growth domestic advanced strategic industries and, upon achieving the target return, converts to a bond-type structure to reduce volatility, making it an efficient investment alternative under the current market conditions."

This fund is available for subscription at KB Kookmin Bank, BNK Kyongnam Bank, Mirae Asset Securities, Kakao Bank, Korea Investment & Securities, and others. The subscription period runs until July 31, with the fund to be established on the same day; the recruiting period may vary by distributor.

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