Three Years After Rebranding, KCGI Asset Management Enters Top 10 in Public Equity Fund Net Assets

Feeder Funds Also Enter Top 10 in Net Assets
Pension Assets Grow on Strong TDF Performance

KCGI Asset Management has distinguished itself in the public equity fund market, joining the ranks of the top 10 players just three years after a change in its major shareholder and company name.

To mark the third anniversary of its name change, KCGI Asset Management announced on the 14th that an analysis of its results shows the company's net assets in public equity funds (excluding ETFs, combined domestic and overseas), based on Korea Financial Investment Association statistics at the end of last month, reached 2.16 trillion won, a 194% increase compared to three years ago. This places the company 10th out of 48 comprehensive asset management firms. Total net assets also reached 5.9 trillion won, up 2.1 times over three years. This figure surpasses the industry average of 1.6 times net asset growth among all asset management companies during the same period.

The upper tier of the public equity fund segment is currently dominated by major financial holding companies and conglomerate-affiliated asset managers. A spokesperson for KCGI Asset Management commented, "For a mid-sized asset manager to break through the oligopoly structure and join the ranks is a significant recognition of our management performance."

The performance built in the equity sector is also rapidly spreading to other fund types. The 'feeder' category, which mainly includes overseas funds, has also reached 1.7 trillion won in net assets, placing it within the top 10. Asset size expanded rapidly in other categories as well, such as bond funds (+572%), hybrid bond funds (+339%), and feeder funds (+247%).

By fund, KCGI Asset Management's flagship fund, "KCGI Korea 1 [Equity]," posted a three-year return of 170.6%, outperforming its benchmark (BM) by 17.0 percentage points. The pension products "KCGI Korea Retirement Pension" and "KCGI Korea Pension Convertible" also delivered three-year returns of 164.6% and 165.8%, respectively, exceeding their benchmarks by 11.0 and 12.2 percentage points.

The performance of pension assets also stood out. Combined pension assets, including personal and retirement pensions, grew 3.3 times over three years to reach 2.25 trillion won. In particular, retirement pension funds expanded 6.6 times, fueled by KCGI Freedom Qualified TDF, the flagship pension fund, which ranked among the highest performers across all vintages and all time periods. This created a virtuous cycle with retirement pension money move funds flowing in from the banking sector. The TDF segment’s net assets surpassed 1 trillion won last month, boosting its industry ranking to eighth place.

Moreover, last year KCGI Asset Management cemented its reputation by being selected as an external investment manager for more than 20 institutional investors, including the National Pension Service, pension funds, and public mutual aid associations, thereby managing public funds and other institutional assets. This year, the company announced a partnership with global asset manager Fidelity and has launched a series of co-branded funds.

KCGI Asset Management stated, "Marking our third anniversary, we will continue to develop new products that meet customer needs, such as exchange-traded funds (ETFs), enhance our capabilities in bond and alternative asset management, and further strengthen our private asset management division to become an asset management company loved by our customers."

Meanwhile, to commemorate its third anniversary, KCGI Asset Management is holding the "Triple Three Quiz Event" to celebrate its achievements. Participants will be entered into a draw to win prizes related to the number three, including the Samsung Galaxy Watch, red ginseng, and pork belly. The event will be held from August 15 through the end of September.

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