Market

Record-Breaking Surge: Domestic Fund Net Assets Jump by 137 Trillion Won in H1, Setting New Milestone

Unprecedented Growth in Domestic Fund Net Assets

In a historic first, the total net assets of domestic funds, encompassing both public and private offerings, soared by over 100 trillion won in the first half of this year. This remarkable growth represents the largest semi-annual expansion since records began in 2004.

(Captured from the Korea Financial Investment Association website)

Public and Private Funds Show Balanced Growth

The Korea Financial Investment Association's latest report highlights a balanced growth across both sectors. Public funds witnessed a 20.3% increase, while private funds grew by 7.3%, showcasing the robust health of the domestic fund market.

Bond Funds Lead the Charge

Among the various types of funds, bond funds experienced the most significant uptick, with an increase exceeding 40 trillion won. Money market funds and stock-type funds also posted substantial gains, underscoring the diverse investment opportunities within the market.

Stock-Type Funds Shine Amid Market Revitalization

The resurgence of stock-type funds, fueled by the KOSPI index's record highs and new government policies, marks a pivotal moment. With a 34% increase in net assets, domestic stock-type funds have outpaced their overseas counterparts, signaling strong investor confidence.

Overseas Funds Navigate Challenges

Despite global market fluctuations influenced by U.S. policies and delayed interest rate cuts, overseas bond-type funds saw a 21.1% growth. This trend reflects investors' cautious optimism in the face of uncertainty.

ETFs on the Rise

Exchange traded funds, particularly stock-type ETFs, are nearing the 100 trillion won mark, thanks to a 26.3% increase in net assets. This growth highlights the evolving preferences of investors towards more flexible and accessible investment vehicles.