NH Investment & Securities announced on the 18th that it launched the 'iSelect Korea Nuclear Index'. An exchange-traded fund (ETF) that benchmarks this index is scheduled to be listed on the 19th.
The iSelect Korea Nuclear Index is designed to track the performance of major corporations that lead exports to North America among domestic corporations related to nuclear energy.
Doosan Enerbility, which manufactures major equipment for large nuclear power plants and small modular reactors (SMRs), and Hyundai E&C, which has the largest construction record of Korean-style nuclear power plants and is capable of constructing both large nuclear power plants and SMRs, have each been included at 25%. Including BH, which engages in the SMR equipment business, the domestic share of SMR-related corporations reaches 56%.
Additionally, the iSelect Korea Nuclear Index has incorporated a total of 52% comprising KEPCO E&C, KEPCO KPS, and Daewoo E&C, which are included in the 'Team Korea' group that won a new nuclear power project in the Czech Republic last June.
NH Investment & Securities emphasized that the share of stocks related to Team Korea is maximized among the listed indices, while excluding Korea Electric Power Corporation. This decision was made considering that Korea Hydro & Nuclear Power, a subsidiary of Korea Electric Power Corporation, is part of Team Korea but that most of its revenue comes from electricity sales.
The 'TIGER Korea Nuclear ETF' managed by Mirae Asset Global Investments, which tracks this index, is scheduled to be listed on the 19th of this month, allowing investment in the iSelect Korea Nuclear Index through this ETF.
An official from NH Investment & Securities said, "We expect the performance of domestic nuclear corporations that have excellent construction capabilities, pricing, and reliability," and added, "We will continue to strive to provide various options for customers interested in competitive domestic corporations, including the nuclear industry."