Client Affairs
What's New In Investments, Funds? – Mirae Asset
The latest in investment offerings, financial products and other services relative to wealth advisors and their clients.
Mirae Asset
Mirae Asset Global Investments (Hong Kong), part of South Korean
financial group Mirae Asset Financial Group, or Mirae Asset, has
launched a new exchange-traded fund to track dollar-denominated
investment-grade debt issued in Asia.
The entity, which is called Global X Asia USD Investment Grade Bond ETF, is listed on the Hong Kong Stock Exchange. Trading in the ETF began yesterday.
Mirae Asset said the ETF is the first such Hong Kong-listed ETF that aims to make monthly distributions.
The firm is seeking to ride the effect of higher bond yields,
driven up by rising central bank interest rates to curb
inflation.
“Investing in relatively high-quality bonds presents a good
opportunity to capture higher yields while limiting downside
credit risk,” Mirae Asset said in a statement this week. “The
healthy credit profiles of Asia's investment-grade bond issuers,
whose weighted-average credit rating are A2/A3[3], provide
investors with a defensive strategy to capture the region's
growth potential during volatile markets.”
The ETF tracks the Bloomberg Asia ex Japan USD Investment Grade Bond Index, which has an index yield to maturity of 6.1 per cent and an index duration of 4.9 years.