Seoul-based CT Investments, a subsidiary of Contents Technologies, has announced that it is launching the KPOP and Korean Entertainment ETF on the NYSE Arca exchange on September 1, 2022.
The firm writes that with the launch of the KPOP and Korean Entertainment ETF, investors now have the ability to access Korea Exchange-listed companies in the entertainment and interactive media industries that have exposure to the potential growth in K-pop and the broader Korean content industry.
The KPOP and Korean Entertainment ETF begins trading on Thursday, September 1, 2022 on the NYSE Arca exchange under the ticker KPOP.
The KPOP and Korean Entertainment ETF (NYSE Arca: KPOP) seeks to provide results that, before fees and expenses, correspond generally to the total return performance of the KPOP Index, which is designed to provide exposure to the Korea Exchange-listed entertainment and interactive media and services companies engaged in K-pop businesses.
The KPOP and Korean Entertainment ETF targets weights between 70 per cent and 80 per cent in the entertainment industry and between 20 per cent and 30 per cent in the interactive media and services industry and the index is quarterly rebalanced.
Jangwon Lee, the CEO of CT Investments and Contents Technologies, says that “K-pop, which has become a global keyword, has become part of mainstream culture for fans in Korea as well as around the world.” He adds: “We are launching this ETF to provide an opportunity for global fans who love K-pop to participate in the potential growth and development of the K-pop industry as well as investors access to Korea-listed companies that are driving the future of global content industry forward.”
International sales of music records from Korean entertainment companies topped USD221 million in 2021, up from USD24 million in 2012, with significant growth coming from some of the world’s largest music markets in North America and Europe, reinforcing the trend of K-pop resonating with mainstream culture.
“The global market for K-pop is still at an early stage of growth and the KPOP and Korean Entertainment ETF will offer thematic exposure to key companies in the Korean entertainment and media industry that stand to benefit from this secular trend,” says Jangwon Lee.