Mirae Asset Daewoo has been making headlines recently with its strong performance in the Korean stock market, particularly highlighted by the success of its TIGER US Philadelphia AI Semiconductor NASDAQ ETF.
According to reports from Ilgan Sports, the fund's assets under management recently surpassed 300 billion won, reaching 354.9 billion won as of January 24, 2025. This benchmark reflects the rapid growth since its launch on November 26, 2024, with individual investors contributing over 180 billion won within just two months, marking the highest influx for any semiconductor ETF listed domestically during this period.
The underlying index of this ETF, the PHLX US AI Semiconductor Index, has been pivotal, focusing on high-competitiveness semiconductor companies within the burgeoning AI sector. Notably, the ETF places significant emphasis on top-performing giants such as Broadcom and NVIDIA, which together comprise around 40% of the fund’s assets.
Kim Byeong-seok, manager of ETF operations at Mirae Asset, noted appropriately: “Despite concerns over the demand for AI semiconductors due to low investment costs and services from alternative providers like DeepSeek, we believe these worries are exaggerated. The method adopted remains aligned with contemporary AI research trends, and the rising popularity of these lightweight AI models will accelerate cloud growth.”
His insights come at a time when major tech firms are increasingly adopting application-specific integrated circuits (ASICs) for their operations, with Broadcom's stock showing remarkable performance due to this shift. Meanwhile, NVIDIA aims to solidify its status as the industry leader, showcasing advancements at CES 2025 for AI models tied to robotics and autonomous vehicles.
Looking beyond just ETFs, recent strategic insights from Mirae Asset Securities highlight the company's diverse portfolio management approaches and future investments. According to News Today, company representative Heo Seon-ho expressed optimism about growth opportunities driven by global asset allocation and key market trends, particularly those surrounding AI and electric vehicles.
Heo stated, “Our clients generated approximately 13.4 trillion won through overseas stock investments last year, and going forward, we aim to implement more diversified strategies based on global asset allocation.” This strategic direction is key for investors aiming to capitalize on burgeoning sectors, where he earmarked China and India as both immediate and long-term opportunities.
Reflecting on their recent performance, Mirae Asset’s brokerage sector reported commendable gains, particularly as retail fees surged by 17.5% year-on-year, underlining the strong demand for overseas stocks among Korean investors. Interestingly, the average portfolio fee for overseas trades is significantly higher than domestic stock fees, promoting wider engagement among investors.
According to industry reports, the total value held by local investors for U.S. stocks had risen to 112.1 billion dollars by the end of 2024, showcasing substantial growth as individuals seek higher returns from foreign markets.
Despite challenges posed by fluctuational market conditions influenced by geopolitical factors like the recent warming relations between the U.S. and China over trade, Mirae Asset seems poised to tackle uncertainties with strategic adjustments to their investment portfolios.
The company is committed to reassessing its allocation regularly to best reflect changes in market conditions, as Heo emphasized, “Periodic portfolio adjustments are imperative to navigate unexpected shifts and maintain balance between returns and safety.”
This dedication to proactive management aims to safeguard against potential downturns, as Mirae Asset reflects on its historical performance and future ambitions within the competitive arena of global investments.
Investors remain optimistic as Mirae Asset continues to pioneer various asset classes, holding its ground amid fluctuations inherent to the financial markets. With innovative products like the TIGER US Philadelphia AI Semiconductor NASDAQ ETF leading the way and aggressive market strategies, the firm looks set to sustain its momentum within the investment industry.
Overall, the performance of Mirae Asset Daewoo positions it as both resilient and adaptive, promising to seize opportunities against the backdrop of transforming market landscapes and technological advancements.