Investors Using Robo-advisors Show Preference for Domestic ETFs | Be Korea-savvy

Investors Using Robo-advisors Show Preference for Domestic ETFs

The financial district of Yeouido in Seoul. (Yonhap)

The financial district of Yeouido in Seoul. (Yonhap)

SEOUL, Aug. 10 (Korea Bizwire)Domestic investors using robo-advisor services turned out to have a preference for domestic exchange traded funds (ETFs), a brokerage house said Monday.

Kiwoom Securities Co. analyzed investment trends of 10,000 customers who set investment goals through the company’s KiwooGo robo-advisor.

The analysis showed that the most favored portfolio type was domestic ETF at 51 percent, followed by foreign ETF at 23 percent and mixed-type at 26 percent.

KiwooGo uses artificial intelligence (AI) to recommend and operate customized portfolios depending on customers’ investment goals.

By investment risk tendency, the ‘risk neutral type’ ranked first with 54 percent, followed by the active investment type at 20 percent, the stable investment type at 14 percent and the aggressive investment type at 11 percent.

“When it comes to investors who make goal-based investment with clear objectives, they tend to operate funds stably since they have a tendency to minimize the risk of not achieving their goals,” Kiwoom Securities said.

Classifying customers by age, those in their 20s to 40s accounted for more than one third of the total customers.

The top cited investment goal was ‘making a good amount of seed money’ (36.7 percent). Their target investment period was more than four years on average.

J. S. Shin (

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