Samsung Asset Management ETF tops 1 trillion won in net assets

  • Samsung Asset Management said its KODEX Nasdaq 100 covered call ETF exceeded 1 trillion won.
  • 530.2 billion won was the retail net purchase of the ETF this year.
  • The fund listed on Oct. 22, 2024, and caps annual distributions at 20%.

Samsung Asset Management's KODEX US Nasdaq 100 Daily Covered Call OTM ETF has surpassed 1 trillion won ($731.3 million) in net assets, roughly one year and 10 months after its listing on Oct. 22, 2024. Retail investors have net purchased 530.2 billion won ($387.7 million) of the fund this year. The ETF tracks the Nasdaq 100 and sells one-day-to-expiration, out-of-the-money call options each trading day, with strikes set about 1% above the daily index level. The strategy combines option-premium income and monthly distributions with limited participation in index gains, although returns can be capped when the Nasdaq 100 rises more than 1% in a day. The fund trades physical options directly in the U.S. market on the same day, which Samsung Asset Management said reduces time-zone-related operational constraints, improves execution accuracy and lowers unnecessary costs. Annual distributions are capped at 20%, or about 1.67% monthly, with excess premium income reinvested in the fund. Lim Tae-hyuk, senior managing director of Samsung Asset Management's ETF Management Division, said the product suits investors expecting moderate gains or sideways trading in U.S. stocks.

The information on this website is generated using AI and we cannot guarantee its accuracy. Please use it as reference information only.