Mirae Asset Global Investments will launch an exchange-traded fund (ETF) that diversifies investments in global stock markets. The purpose is to manage risks and seek new investment opportunities by diversifying its portfolio, which is overly concentrated in the United States. (Refer to the May 26 article titled 'Mirae Asset reduces dependence on the U.S.... launches ETF that includes global stocks')
Mirae Asset Global Investments held a news briefing on the 23rd at the Mirae Asset Center One in Euljiro, Seoul, and announced that it will list the 'TIGER Total World Stock Active' ETF on the 24th.
The TIGER Total World Stock Active ETF is a product that invests in stocks worldwide, diversifying the investment ratio between the U.S. and non-U.S. markets at 60:40. This ETF is the Korean version of the Vanguard Total World Stock ETF, which was launched by the Vanguard Group in June 2008. The Vanguard Total World Stock ETF includes over 10,000 investment stocks, with assets under management (AUM) at approximately $45 billion (about 63 trillion won).
Like the Vanguard product, the TIGER Total World Stock Active ETF tracks the FTSE Global All Cap Index. It includes a balanced selection of small, medium, and large corporations from developed and emerging markets, including major U.S. technology corporations such as Apple, Microsoft, NVIDIA, Amazon, and Meta. Mirae Asset Global Investments noted that this is an inclusive index that accounts for about 98% of the investment options available worldwide.
Emerald Yau, head of index product management for the Asia-Pacific region at FTSE Russell, the developer of the FTSE Global All Cap Index, stated, "This year, demand for portfolio diversification has increased, leading to a continuous inflow of funds into funds that track this index."
The TIGER Total World Stock ETF appears to have been prepared in line with Mirae Asset's policy of reducing dependence on the U.S. Mirae Asset is accelerating efforts to diversify investment destinations across the group in response to the instability in the stock market and the weakness of the dollar, triggered by the tariff policies and manufacturing revival efforts of the second Donald Trump administration.
Jung Ui-hyun, head of the ETF management division at Mirae Asset Global Investments, said, "The proportion of U.S. stocks held by domestic investors has exceeded 90%, making global diversification necessary. This ETF will serve as a means to participate equally in the structural growth of the global economy and will be a 'world in one' ETF that allows betting on the entire global economy as a single product."
Kim Nam-ki, head of the ETF management division at Mirae Asset Global Investments, remarked, "Following the U.S. Nasdaq 100 and S&P 500 spot ETFs, we have expanded our lineup to include an ETF that encompasses the entire global stock market, which will be an essential product for global investors."