Korea Investment Management to List New ‘ACE Semiconductor Plus Strategic Industries’ ETF
Semiconductors Account for the Largest Allocation
One Promising Industry Added to Shipbuilding, Defense, and Nuclear Power
Korea Investment Management announced on the 11th that it will list a new exchange-traded fund (ETF) called “ACE Semiconductor Plus Strategic Industries,” designed to invest in key domestic strategic sectors including semiconductors all at once.
The ACE Semiconductor Plus Strategic Industries ETF diversifies investments across five major domestic industries with global competitiveness. For each of these five industries, two leading representative stocks are selected and included in the portfolio. The largest allocation is to the semiconductor sector, and the fund also includes shipbuilding, defense, and nuclear power.
Semiconductors, a representative strategic industry for Korea, have demonstrated global technological leadership through products such as high-bandwidth memory (HBM). In the shipbuilding sector, Korea’s advanced technology in building large LNG carriers stands out, while the defense sector is seeing strong performance thanks to robust exports and improved fundamentals. The nuclear power industry is also experiencing growth, driven by projects such as securing nuclear plant orders in the Czech Republic and the development of a semiconductor cluster in the southwestern region.
The fifth industry, in addition to these four, will be selected by considering factors such as industry size and government policy from among: ▲automobiles ▲pharmaceuticals/biotechnology ▲secondary batteries ▲cosmetics ▲chemicals ▲steel ▲finance ▲entertainment. At the time of the ETF’s listing, stocks related to automobiles are expected to be included. The automobile sector was chosen to reflect investment in the humanoid field, but these holdings could be excluded in future rebalancing if another sector is selected.
The stocks expected to be initially included are SK hynix, Samsung Electronics, Hyundai Motor, Doosan Enerbility, Hanwha Aerospace, HD Hyundai Heavy Industries, Hyundai Mobis, Hanwha Ocean, Korea Aerospace Industries, and Hyundai Engineering & Construction. However, these are not finalized, and the actual portfolio may change at the time of listing.
Hot Picks Today
"There’s Good Reason for Samsung’s 600,000 Won Target Price... Stock Surges on Expectations of At Least Tenfold Increase in Shareholder Returns"
- 'Maybe It's Me?' Hundreds of Billions Lost Every Year... Forgotten Lotto Winnings to Be Recovered via App
- "Regardless of Income, 500,000 Won Per Person, 2 Million for a Family of Four"... This Place Begins Livelihood Support Payments
- "Cooler Than Air Conditioning?"...Sudden Midnight Stench and Burst: The Story Behind China's 'Natural Cooling Item'
- Actor Ha Young’s Great-Grandfather’s Pro-Japanese Activities and Involvement in ‘Emperor Gojong Poisoning Theory’ Exposed
Nam Yongsoo, Head of the ETF Division at Korea Investment Management, said, “This product allows investors to gain exposure to Korea’s strategic industries through a single ETF,” adding, “Portfolios concentrated in specific sectors or stocks tend to be volatile, so now is the time to adopt a strategy of diversifying across globally competitive domestic strategic industries.”
© The Asia Business Daily. All rights reserved. Unauthorized AI training and use prohibited.
