KB Asset Management said on the 2nd that it will propose seven strategic funds that can respond to four major shifts: a trend of interest rate cuts, policy changes at home and abroad, the spread of environmental, social and governance (ESG), and global geopolitical risks.
In the fourth quarter (October–December), it strengthened its product lineup by newly presenting two funds, "KB U.S. Long-Term Treasury Plus" and "KB New Republic of Korea."
Focusing on the possibility of additional U.S. rate cuts, KB Asset Management recommended "KB U.S. Long-Term Treasury Plus," which seeks both interest income and capital gains in a rate-cutting phase.
For investors seeking stable revenue, it recommended "KB U.S. Mid-to-Short-Term Treasuries," which excludes risk assets such as credit and focuses on U.S. mid-to-short-term Government Bonds and exchange-traded funds (ETFs).
For a domestic bond strategy fund, it added "KB Star ESG High-Grade Mid-to-Short-Term Bonds," composed mainly of government bonds and high-quality corporate bonds rated A+ or higher, to the list. This fund strictly applies ESG standards and invests in issuers with durations within two years; as of the previous day, the annual revenue rate was 4.16%.
As an equity strategy product, it proposed "KB New Republic of Korea," which focuses on six advanced strategic industries, including artificial intelligence (AI), bio, advanced manufacturing, and clean energy. The expectation is that structural growth opportunities will expand, backed by the government's core industry promotion policies and the trend toward advancing the capital market.
It also recommended "KB ESG Growth Leaders," projecting that governance improvements driven by institutional changes such as amendments to the Commercial Act will lead to enhanced corporate value, and noting that it conducts in-depth analysis of ESG factors to include domestic high-quality corporations with strong long-term growth potential.
For overseas strategy funds, it presented "KB U.S. Leading Growth Stocks," which focuses on corporations leading innovative technologies such as AI, cloud, and autonomous driving. The judgment is that the structural growth of the global technology industry remains intact.
In addition, through "KB Global Representative Asset Diversification," which diversifies investments into stocks (60%) and bonds (40%), it said investors can invest evenly across key regions such as the United States, Europe, and emerging markets, pursuing a balance of stability and growth at the same time.
Jang Sun-mo, head of product strategy at KB Asset Management, said, "The fourth quarter this year is a period where interest rate cuts, policy changes, ESG expansion, and global uncertainty intersect," adding, "It is important to use bond, stock, and asset allocation strategies in a balanced way to secure both short-term volatility management and medium-to-long-term growth opportunities."