Tiger U.S. Space Technology ETF, on its first day of trading, individual net purchase amount exceeded 61.5 billion won

Future Asset Management’s listed “Tiger U.S. Aerospace Technology Listing Index Fund(ETF)” on April 14th, with only individual investors’ net purchase amount reaching about 61.5 billion won on the first day, setting the record for the largest individual net buy-in on the listing day of a passive ETF in Korea.

According to the content released by Future Asset Management on the 15th, the product was set with a scale of 300 billion won at the time of listing, and after trading began, funds from individuals and institutions rapidly flowed in, with the initial shares sold out within just one hour. Notably, the net buy-in from individuals on the listing day was 61.4B won. This indicates that recent Korean investors’ demand for direct investment in U.S. growth industries has increased, and products themed around the aerospace industry have demonstrated strong capital absorption capacity.

The ETF’s characteristic is that it is designed to exclude traditional defense companies such as Lockheed Martin and Boeing, focusing instead on 10 companies more directly related to the private aerospace industry. The investment portfolio includes approximately 23% in Rocket Lab, 17% in Intuitive Machines, 15% in AST SpaceMobile, and 15% in Redline. In other words, its structure does not focus on the entire defense industry but emphasizes the growth potential of the so-called “New Space”( led by private enterprises in fields like rocket launchers, satellites, and space infrastructure.

Asset allocation also follows this direction. The company explained that about 70% of the assets have been allocated to the “upstream” areas of the space industry, such as launch vehicles and satellites, which are the core foundations of the industry. Upstream refers to the front-end segments like raw materials, basic technologies, and core equipment, corresponding to rockets, satellites, and related devices in the aerospace industry. From an investor’s perspective, its advantage lies in targeting the direct benefits of industry growth more than service-oriented companies. However, the aerospace industry is a highly volatile field influenced by the pace of technological development, order acquisition, and policy support, so some interpret that while expecting returns, risk management is equally important.

The product has also established rules for quickly including future U.S. aerospace companies like SpaceX once they go public. Future Asset Management stated that it has set a maximum inclusion weight of 25% for SpaceX upon its listing to quickly reflect the listing effect of core companies. Given that the aerospace industry is still in its early growth stage, the market access status of representative companies is likely to have a significant impact on the flow of related investment products. Whether this trend will continue in the future depends on whether domestic investors’ preferences for thematic overseas ETFs can be sustained, as well as how the listing schedule and policy environment of the U.S. aerospace industry change.