Hangang Asset Management said on the 20th that it has consecutively achieved its target returns early across a three-fund series, starting with "Equity Type No. 1," launched in Aug. 2024, followed by Nos. 2 and 3 unveiled more recently.
For Fund No. 1, by anticipating a liquidity-driven rally ahead of the presidential election and expanding the allocation to securities stocks to as high as 42%, it achieved an annual return of 27%, generating excess revenue of 17 percentage points (p) over the benchmark (BM).
"Equity Type No. 2," launched in Oct. last year, achieved its target return in 19 trading days through management focused on biotech and semiconductor sectors, enabling early redemption. "Fund No. 3," launched in Dec. last year, was also liquidated early after strategically positioning growth stocks such as artificial intelligence (AI) related names, entertainment, and biotech, outperforming the market revenue by 24% in nine trading days.
The size of fund launches is also expanding to roughly double. Equity Type No. 1 started at 3 billion won, No. 2 grew to 6.1 billion won—about double No. 1—and No. 3 increased to 12.2 billion won, more than double No. 2.
Hangang Asset Management said it has adhered to a principle of executing investments only when five elements—stock, industry, finance, policy, and supply-demand—align, backed by professionals with more than 18 years of equity management experience.
Hangang Asset Management is preparing to launch Equity Type No. 4 with a size of more than 30 billion won. To brace for volatility after the rate-cut cycle in the second half of this year, it plans to strengthen its long-short strategy to establish an absolute revenue structure that secures profitability even in down markets.
In addition to equity funds, Hangang Asset Management plans to support portfolio stability by providing a stable annual revenue of around 7%–8% through SPAC funds (a combined approximately 20 billion won for Nos. 1 and 2).
Jeon Yu-hun, chief representative of Hangang Asset Management, said, "The focus on analyzing the intrinsic value of corporations and thoroughly managing risk led to the record early liquidation," adding, "We aim to significantly increase equity fund assets under management and achieve the industry's No. 1 investment revenue."