Samsung Asset Management announced on the 17th that the net worth of the KODEX high-dividend stock exchange-traded fund (ETF) increased by 292% to 261.7 billion won from 66.7 billion won before the reorganization.
Samsung Asset Management completely overhauled the portfolio of KODEX high-dividend stocks on the 18th of last month. It changed the stock selection method, which previously focused on small and mid-cap stocks, to large-cap quality stocks. This was explained by Samsung Asset Management as a strategy to achieve differentiated performance in the domestic high-dividend ETF market, which has gained considerable interest from investors recently.
KODEX high-dividend stocks have more economically sensitive stocks compared to other high-dividend ETFs, allowing them to adjust assets (rebalance) in a way that expects higher upside potential during bull markets.
The high revenue generated after the portfolio restructuring also played an important role in increasing net worth. The cumulative revenue over the past month was 13.56%, showing a higher increase than the KOSPI, which rose 10.08% during the same period.
Previously focused on financial stocks, but after the reorganization, it invested significantly in representative high-dividend stocks from various sectors. Additionally, investing proactively in stocks with expected high dividend yield for the next fiscal year proved effective. When applying the expected dividend yield, the dividend yield, which is the most noted factor by dividend investors, also increased from 5% to 6%.
In particular, the major stocks allocated include ▲DB Insurance ▲Hyundai Elevator ▲Cheil Worldwide, which have shown strong stock price increases. Besides the major stocks, most of the included stocks consist of corporations with excellent market dominance in the domestic market, contributing significantly to the performance of KODEX high-dividend stocks despite external uncertainties.
Manager Ma Seung-hyun of Samsung Asset Management said, "KODEX high-dividend stocks have been reborn as a high-dividend ETF focusing investment on corporations with high expected dividend yield and those that provide more dividends, investing in corporations with strong market dominance and robust business models in the domestic market. Despite intensified external uncertainties, it may be a suitable choice for investors pursuing both dividends and growth by incorporating stable and high-quality corporations."