First Robo Advisor Public Offering Fund Posted over 30B Won Sales in Five Months

It was found that Korea’s first robo advisor public offering fund launched by Kiwoom Investment and Asset Management posted over 30 billion won in sales in five months since  establishment of the fund in April.  

Kiwoom Investment and Asset Management announced on September 21 that the balance of fund trust of the Kiwoom Quarterback Global Robo Advisor Fund reached 30.32 billion won (US$27.13 million) and its earnings rate, 3.42% as of September 19 at a meeting with reporters in Seoul’s Yoido. A “robo advisor” is a compound of a robo which means a robot and an advisor that specialize in asset management.

Kiwoom Investment and Asset Management launched a robo advisor public offering fund for the first time in Korea in partnership with Quarterback Investments in April. This fund makes diversified investments not only in global stocks but in various asset groups such as bonds, materials, currencies, REITs by utilizing an artificial intelligence algorithm. About 2,000 exchange traded funds (ETFs) at home and abroad are used for such investments. 

“Optimized global asset allocation requires analyses of big data on approximately 300,000 asset groups,” said Lee Hyun, CEO of Kiwoom Investment and Asset Management. “As there is a limit to human calculation ability, a robo advisor service can be more suitable for such a changed investment environment.”