Mirae Asset Global Investments to Pay 425 Won September Distribution for 'TIGER Dividend Covered Call Active ETF'

[Financial News] Mirae Asset Global Investments' 'TIGER Dividend Covered Call Active ETF' will pay a September distribution of 425 won per share.
According to Mirae Asset Global Investments on the 28th, the ETF has paid monthly distributions equivalent to around 2% since introducing special distributions in the second half of last year. Based on data from the Korea Exchange (KRX), its cumulative return since the beginning of the year, including distributions, reached 85.19%, the highest level among covered-call ETFs listed in South Korea.
The 'TIGER Dividend Covered Call Active ETF' invests in high-quality South Korean stocks with strong dividend-growth potential and uses an active strategy that adjusts the proportion of call options sold and their strike prices according to market conditions. When a rising market is expected, it lowers the proportion of options sold to increase its participation in gains in the underlying assets.
The portfolio consists of approximately 90 stocks, making it more concentrated than the KOSPI 200 Index, based on factors such as industry and dividend-growth potential and whether companies buy back their own shares. Preferred stocks with high dividend yields are also included among its investments.
Domestic stock-trading gains and option premium income account for a large share of the distributions, resulting in a relatively high proportion of tax-exempt distributions. Of the distributions paid over the past year, 96.5% were tax-exempt. The September distribution will be paid to investors who purchased the ETF by the 28th.
Jeonghwan Lee, head of the Strategic ETF Management Division at Mirae Asset Global Investments, said, "The TIGER Dividend Covered Call Active ETF is South Korea's first domestic-equity active covered-call ETF, and its active management has enabled it to deliver the strongest performance among covered-call ETFs." He added, "We will do our utmost to ensure that special distributions based on this management performance help investors secure stable cash flow."

[email protected] Lee Jeong-hwa Reporter