Seoul: The net asset value of exchange traded funds (ETFs) is poised to surpass the 200 trillion-won (US$143 billion) milestone for the first time, driven by robust investor demand, data revealed on Friday. As of Thursday, the net asset value of listed ETFs was recorded at 197.25 trillion won, as per the data compiled by the Korea Securities Depository Corp.

According to Yonhap News Agency, this figure marks the highest on record since the introduction of ETFs to the local stock market in 2002. The net asset value had previously surpassed the 190 trillion-won mark in February. Earlier in June 2023, the ETFs’ net asset value had already crossed the 100 trillion-won threshold.

Exchange traded funds are investment funds traded on stock exchanges, which invest in a diversified portfolio of stocks tracking an index, or in commodities and bonds. The swift expansion of the ETF market has been significantly aided by a sustained influx of capital as investors took advantage of low brokerage fees and stable returns.