KB Asset Management launches investment fund for policy-beneficiary industries such as AI, bio, and defense industries

KB Asset Management announced on the 16th that it has launched 'KB K-Growth and Governance 50 Target Conversion Securities Investment Trust No. 6', which invests in industries expected to benefit from government policies such as artificial intelligence (AI), bio, defense, and energy.

This fund invests intensively in 20 to 30 stocks that benefit from governance improvement and core companies in the so-called 'ABCDEF' industries that the government is focusing on, such as AI, bio, content, defense, energy, and factories.

The proportion of stocks will be up to 50%, and the remaining assets will be invested in domestic high-quality short-term bond exchange-traded funds (ETFs) and money market funds (MMFs) to pursue stable interest income.

The target rate of return is 7%. When the cumulative rate of return based on Class A reaches 7%, all stock-related assets are sold and converted to a bond type focusing on short-term bonds, thereby lowering profit volatility.

Issues 1 to 3 of the same series released earlier achieved the target rate of return early, and issues 4 and 5 are currently in operation.

Beom Gwang-jin, head of KB Asset Management's Pension WM Division, said, "This is a product that pursues a target rate of return in a highly volatile stock market environment and can lower return volatility by converting to a bond type after achieving the target."

This fund can be subscribed to by KB Kookmin Bank, BNK Busan Bank, iM Securities, and Mirae Asset Securities, and is scheduled to be established on the 29th after recruitment by the 28th.