KCGI Asset Management said on the 12th that it has launched the "KCGI Korea Comprehensive Bond Fund," which invests in high-quality domestic medium- to long-term bonds. The fund tracks the "KIS Comprehensive Bond Index" and aims to achieve excess revenue over the index by combining a flexible bond management strategy tailored to market conditions.
The fund selects and invests in domestic bonds with remaining maturities of 3 months to 50 years among high-quality bonds rated AA- or higher. The benchmark is calculated by reflecting 90% of the KIS Comprehensive Bond Index (AA- or higher), which is composed of high-quality domestic bonds, and 10% of the base rate.
The fund is offered to institutional investors and individual investors interested in bond investing.
KCGI Asset Management elevated the bond management team to a headquarters unit in July last year to strengthen its bond management capabilities and brought in Executive Director Hong Sa-uk, who served as head of bond management at Mirae Asset Global Investments, as the head of the headquarters.
A KCGI Asset Management official said, "Although interest rates have continued to rise due to inflation and growth exceeding market expectations recently, additional increases will likely be limited over the medium to long term given the level of rates that have already priced in a significant amount," adding, "We will seek stable excess revenue through diversification across various bond strategies."