Mirae Asset Global Investments, South Korea’s leading asset manager, has launched two new covered call ETFs. The Tiger 200 Target Weekly Covered Call ETF and Tiger Korea Dividend Dow Jones Weekly Covered Call ETF will list on the Korea Exchange. Both ETFs allow investors to earn income by selling call options on stocks they own. The products also set predefined exit prices for shares, combining steady income with potential growth.
On the contrarty, the Tiger 200 Target Weekly Covered Call ETF aims for a 7 percent annual distribution. The Tiger Korea Dividend Dow Jones ETF targets 10–12 percent, including stock dividends. While lower than traditional domestic covered call ETFs averaging higher yields, this approach reduces the risk of long-term capital erosion. Executives emphasized that sustainable, steady returns matter more than chasing excessive short-term payouts.
Yoon Byung-ho, head of strategic ETF portfolio management, said the Kospi 200 has delivered about 8 percent annual returns over two decades. By contrast, high-yield domestic ETFs can threaten long-term capital growth. Although, these new ETFs prioritize predictable cash flow and balanced portfolio growth. Mirae Asset designed them to reflect Korean equity market fundamentals.
Overall, these products target retirees and long-term investors seeking consistent income. By combining covered call strategies with sustainability, the ETFs provide reliable tools for steady portfolio income. Nathan Nam-ki Kim, Chief Officer for ETF portfolio management, said the firm will provide clear disclosures. Investors will also receive education to distinguish income gains from capital growth.
In conclusion, Mirae Asset plans to expand long-term investment education further. These ETFs demonstrate the firm’s commitment to a sustainable investment culture. Experts noted these ETFs set a benchmark in South Korea for responsible investing. Nevertheless, they balance income generation with capital preservation. Investors can now access innovative ETFs designed for steady returns and long-term portfolio growth.
