Seoul:The value of South Korea's investment funds decreased by 5.1 percent in the third quarter compared to the previous quarter, as data released on Friday highlights ongoing volatility in the stock market.
According to Yonhap News Agency, the net asset value of these funds stood at 1,646.7 trillion won (approximately US$1.2 trillion) at the end of September, marking a decline of 87.8 trillion won from the second quarter of this year, as reported by the Korea Financial Investment Association.
This decline in the third quarter represents the first quarterly fall in the net asset value of investment funds since the second quarter of 2022. A significant factor contributing to this decrease was a 10.7 percent dip in the net assets of exchange-traded funds (ETFs), which fell to 457 trillion won.
An ETF is an investment fund traded on stock exchanges that invests in a basket of stocks tracking an index, commodities, or bonds. The nation's benchmark Korea Composite Stock Price Index (KOSPI) reached a milestone of 9,000 points in June but has experienced sharp fluctuations and high volatility since July. The KOSPI closed down 1.24 percent at 5,937.66 on Thursday.