Samsung Asset Management noted on the 19th that the total net worth of its two representative covered call exchange-traded funds (ETFs) has surpassed 800 billion won.
Samsung Asset Management disclosed that on this day, the net worth of the 'KODEX 200 Target Weekly Covered Call' was 523.3 billion won, and the net worth of the 'KODEX Financial High Dividend TOP10 Target Weekly Covered Call' was 313.8 billion won. Covered call ETFs are funds that use derivative financial instruments (call options) to generate a certain level of revenue even in a declining market.
Both ETFs were listed last December and have surpassed 500 billion won and 300 billion won, respectively, in about six months.
The KODEX 200 Target Weekly Covered Call product aims to invest in KOSPI 200, earning dividends from these corporations' stocks and selling weekly call options on the KOSPI 200 index, targeting an annual distribution of approximately 17%.
The KODEX Financial High Dividend TOP10 Target Weekly Covered Call is described as a product that allows investors to enjoy both stock price increases and stable cash flow by investing in leading domestic financial corporations. It aims for an annual distribution rate of around 15%.
A representative from Samsung Asset Management explained, "Amid uncertain market conditions, the product's ability to reliably provide monthly distributions and the tax exemption benefits regarding 'option premium revenue' (the revenue generated from call options) contributed to its popularity."