Mirae Asset launches S&P 500 and US Treasury bond mixed ETF

Mirae Asset Global Investments will list the ‘TIGER US S&P 500 US Treasury Bond Mixed 50 ETF’ on the 8th. This bond-mixed ETF is designed to seek the growth potential of the S&P 500 index while maintaining stability through US short-term treasury bonds with maturities of less than one year.

The fund maintains a 50:50 ratio between stocks and bonds through daily rebalancing. Because it is classified as a bond-mixed product, investors can allocate up to 100% of their funds from Defined Contribution (DC) and Individual Retirement Pension (IRP) accounts into this ETF. This allows pension holders to increase their exposure to the S&P 500 while adhering to risk asset limits.

The portfolio consists entirely of dollar-denominated assets. Interest income from the US short-term treasury bonds will serve as a primary source for monthly distributions. Additionally, the fund provides a hedge against inflation and market volatility through its dollar-based structure.