Mirae Asset's Canadian subsidiary surpasses $30 bil. Canadian in AUM

Mirae Asset Financial Group Chairman Park Hyeon-joo, front row sixth from right, poses for a photo with company employees at a recent ceremony commemorating Horozons ETFs' AUM surpassing $30 billion Canadian in Toronto, Canada. Courtesy of Mirae Asset Global Investments

Mirae Asset Global Investments announced that the assets under management (AUM) of its subsidiary, Horizons ETFs, a Canadian-listed index fund management company, have surpassed $30.5 billion Canadian (30 trillion won).

The AUM of Horizons ETFs, acquired by Mirae Asset in late 2011, have grown roughly ninefold, from $3 billion Canadian at the time of acquisition. The number of products that it covers has also increased from 70 to 121.

While the overall Canadian ETF market has grown at an average annual rate of 20.8 percent during the past five years, Horizons ETFs has marked an average annual growth rate of 27 percent during the same period. Based on this solid expansion of the AUM size, Horizons ETFs has grown to be the fourth-largest ETF management company.

One of the key reasons behind Horizons ETFs' rapid growth is its diversified product lineup, such as investments in the top six Canadian banks, via its Horizons Equal Weight Banks Index ETF. It also offers bonds and interest rate-focused ETFs like Horizons High Interest Savings, which offers an expectation of high interest rates compared to market rates, and Horizons CDN Select Universe Bond ETF, which has attracted more than $5.5 billion Canadian over the past year.

Canada is one of the world's major ETF markets worth approximately $401 billion Canadian, trailing closely behind the U.S. and Europe in terms of market size. The country also boasts relatively flexible regulations over products and fund structures, allowing asset managers to come up with innovative new ideas.

Last April, Rohit Mehta, a financial expert with over two decades of experience in the Canadian asset management sector, took the helm of the company as its new CEO, leading the firm to be more proactive in its business initiatives.

With superior performances like that of Horizons ETFs, Mirae Asset Global Investment's total AUM globally has reached 305 trillion won, as of last month, operating in 16 countries worldwide. Given the AUM size and the number of countries in which it operates, Mirae Asset Global Investment is the leader among Korea's financial companies in terms of global business.

"Since 2003 when the company began striding into global markets, Mirae Asset Global Investments has evolved continuously into a leading global financial institution representing Korea over the past 20 years," an official from the firm said, vowing to continue efforts to discover high-quality assets worldwide.