Hanwha Asset Management Cuts Total Fees for Two "PLUS U.S. S&P 500" Funds to 0.0062% a Year

S. S&P 500" funds. Provided by Hanwha Asset Management. [Financial News] Hanwha Asset Management will lower the total fees on exchange-traded funds (ETFs) that invest in the U. S.
S&P 500 Index. On the 28th, Hanwha Asset Management said the total fees for the two ETFs, "PLUS U. S. S&P 500" and "PLUS U.
S. 0062% a year. Total fees refer to the costs investors must pay while a fund is managed, including sales fees and management fees. Previously, "PLUS U.
S. 0700% a year, while "PLUS U. S. 3000% a year.
0010%. In simple terms, if an investor puts 10 million won into the fund for one year, the annual cost based on total fees will fall from 30,000 won to 620 won for the currency-hedged version, and from 7,000 won to 620 won for the unhedged version. Currency-hedged ETFs are generally priced with higher fees than unhedged funds because of the cost of hedging operations. However, Hanwha Asset Management said it has aligned the fee levels so investors can choose freely depending on their outlook for exchange rates.
When the won–dollar exchange rate rises, meaning the dollar strengthens, the unhedged version is relatively more favorable. When the exchange rate falls, meaning the won strengthens, the hedged version has the advantage. Investors who expect a stronger dollar or want to diversify into dollar assets may prefer the unhedged version. Those who expect a stronger won or want to track index performance without the impact of currency fluctuations may find the hedged version more suitable.
Geum Jeong-seop, head of the ETF business division at Hanwha Asset Management, said, "The direction of the index cannot be predicted, but cost is a variable that investors can control with certainty. " He added, "We have made it possible for customers who want to invest in major U. S. indices through long-term, regular contributions to choose products under the same cost conditions, regardless of whether they are hedged.
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S. S&P 500" funds. Provided by Hanwha Asset Management. [Financial News] Hanwha Asset Management will lower the total fees on exchange-traded funds (ETFs) that invest in the U. S.
[email protected] Seo Min-ji Reporter