Samsung Launches Ambitious MP Target Convertible Fund No. 4

Samsung Asset Management, a leading force in the investment world, has unveiled the “MP Target Convertible Fund No. 4” on the 7th of this month. This innovative fund is the latest addition to a series that has already garnered significant attention and success.

Achieving Early Success

Starting with its initial launch in June last year at Kookmin Bank, Samsung’s EMP target conversion fund has consistently outperformed expectations. Prior to reaching maturity, the first three funds surpassed their target returns, compelling Samsung to introduce the fourth fund, building upon their accumulated expertise. Remarkably, the third fund amassed 30.6 billion won in just ten business days, achieving its 7% target return within 20 business days, a testament to its robust growth strategy.

Investment Strategy and Focus

The MP Target Convertible Fund No. 4 employs strategies drawn from its predecessors, with a focus on maintaining investment stability through bond-type ETFs. More than half of the fund will consist of these steady options, while the remainder will aim for excess profits by concentrating on burgeoning domestic themes and sector ETFs, notably in shipbuilding, defense, and AI power facilities. These areas, strategically centered around the KOSPI 200, are selected for their high-growth potential and global competitiveness. The fund will dynamically adjust its stock investments based on market conditions to optimize returns.

Flexibility and Expert-Driven Growth

A distinctive feature of the fund lies in its automatic conversion to short-term blue-chip bonds and liquid assets upon reaching the 7% target yield. This fund offers the advantage of no redemption fees, even for intermediate withdrawals. The bond investment strategy, crafted with insights from the Samsung Asset Management Investment Research Center, hinges on effectively adjusting duration based upon anticipated interest rate changes. During economic upswings, the fund shortens its duration to minimize interest rate risk, and conversely, it capitalizes on longer durations during downturns to boost profits.

Commitment to Investor Confidence

Lee Jung-taek, Manager at Samsung Asset Management, expressed confidence in the new fund, highlighting the balance of securing stable returns through bond ETFs while pursuing additional gains via equity ETFs. He reassures investors that the past success and experience drawn from funds No. 1 to No. 3 will serve the new fund well in meeting its performance goals promptly.

Accessibility and Broader Offerings

The public offering for Fund No. 4 expands its reach, making it accessible through Kookmin Bank, Hana Bank, Shinhan Bank, Busan Bank, and NH Investment & Securities. It officially opens for participation on the 21st, presenting a tempting opportunity for investors seeking innovative and adaptive investment solutions.

According to 매일경제, this ambitious financial product aims to attract even more investors with its proven strategies and commitment to delivering results in uncertain market environments.