Kodex 1-year CD Active ETF gains $23 mn in deal value

[Courtesy of Samsung Asset Management Co.]

Samsung Asset Management Co. said on Friday that net purchases of its new exchange-traded fund are estimated to be worth 3.18 billion won ($23.2 million).

The Kodex 1Y Bank CD Plus Active is an exchange-traded fund (ETF) that invests in OTC derivative products as its major investment asset, according to the information disclosed by the securities firm.

The ETF’s net assets soared to nearly 400 billion won as of the close of Thursday trading.

According to the details published by Samsung Asset Management, the ETF is based on the daily rate of return on the AAA grade 1-year maturity CD and provides an additional daily rate of return on 0.5 percent per year if the benchmark KOSPI 200 Index rises by 1 percent or more every business day.

Recent market data found that the KOSPI 200 Index saw notable gains on April 23rd, 26th, and May 7th, with increases of 2.14 percent, 1.27 percent, and 2.54 percent respectively. The serial gains contributed to a 3.85 percent return in the 11 days since the launch, the highest return among interest-rate ETFs.