Value context and insight. lkm@koreatimes.co.kr
Mirae Asset's global ETF net assets top $139 bil.
Employees of Global X, Mirae Asset's subsidiary managing exchange-traded funds in the U.S., pose on a street in New York in this undated file photo. Courtesy of Mirae Asset Global Investments
By Lee Kyung-min
Mirae Asset Global Investments registered over 200 trillion won ($139 billion) in its global exchange-traded fund (ETF) assets under management, a feat achieved only three years after the figure topped 100 trillion won in 2021, the capital market subsidiary of Mirae Asset Financial Group said Wednesday.
Underpinning the explosive growth of the global 12th ETF manager by net asset value are 624 variations of the financial derivatives across 13 regions worldwide, including Korea, the United States, Canada, Australia and Japan.
Further strengthening the growth prospects for the firm are localization and innovation-oriented business strategies, as evidenced by the five-fold growth of its U.S.-merged entity Global X and its thriving businesses in financially advanced Canada, Hong Kong and Australia.
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“Our commitment to continued innovation will fortify our competitiveness advantage in global markets,” a Mirae Asset official said.
“Mirae Asset’s global ETF platform will help ensure healthy post-retirement plans for our customers, as mediated by services and product lineup unmatched in quality and performance.”
Mirae Asset Group Chairman Park Hyeon-joo is the chief engineer behind the success.
The priority of the then-global strategy officer was to elevate the company's standing on the global stage, accelerated by the acquisitions of ETF managers. The mergers include Global X Canada, formerly Horizons ETFs, in 2011, Global X in the U.S. in 2018 and Global X Australia, formerly ETF Securities, in 2022.
The global expansion drive followed the 2006 launch of TIGER ETF, the firm’s flagship lineup and the subsequent 2011 ETF's listing on the Hong Kong Stock Exchange, a first for Korea.
Apart from Global X’s growth, Global X Canada has solidified its standing in Canada as the fourth-largest ETF manager with an emphasis on income-focused ETFs.
The market presence of Global X Japan and Global X Hong Kong continues to grow, with the Hong Kong business making a successful foray into China’s mainland ETF market.
Of particular note is Mirae Asset’s India business, as illustrated by its net asset value topping 2 trillion won only 16 years after its entry in the late 2000s.
The firm’s current market dominance as the ninth player in the country is all the more impressive since not a single offshore asset manager stayed on in the aftermath of the 2008 global financial crisis.
Data from ETFGI, an independent ETFs research and consultancy, showed the growth rate of Mirae Asset’s India branch averaged 61.1 percent over the past three years, more than double the 23 percent growth rate for the country’s entire ETF market.
Mirae Asset has established an in-house index entity, Mirae Asset Global Indices, in India and acquired a local brokerage, Sharekhan. Also under its wing is European ETF liquidity provider Goldenberg Hehmeyer LLP, to foster a healthy ETF ecosystem.
Mirae Asset plans to bolster artificial intelligence (AI) investment strategies and advisory services, buttressed by the acquisition of Australia’s robo-advisory service provider Stockspot and the establishment of AI financial strategy firm Wealthspot in the U.S.