Nikko AM Wins Three ETF Awards from The Asset

Press Release

24 May 2021

Best ETF Provider, Japan / Most Innovative ETF, Japan / Most Innovative ETF, Hong Kong

Nikko Asset Management (Nikko AM) won a trio of exchange traded fund (ETF) awards as part of The Asset Triple A Sustainable Investing Awards for Institutional Investor, ETF, and Asset Servicing Providers 2021. On 29 April, Nikko AM was recognised as Best ETF Provider, Japan, and followed up on 6 May with wins for Most Innovative ETF in the Japan and Hong Kong categories. The Asset, an influential industry publication about the asset management industry in Asia, made a comprehensive decision looking at ETF providers' products, leadership, performance, new ETF launches, partnerships, educational initiatives and more during the period of 1 January to 31 December 2020. This is the third time The Asset has awarded Nikko AM, following the firm's wins in 2017 and 2020.

Nikko AM claims the spot of Best ETF Provider, Japan for a second consecutive year. The Asset pointed to the firm's robust 28% increase in ETF assets under management (AUM) in Japan to reach JPY11.1 trillion as of 30 December 2020, underscoring a strong presence in the country. During the award period, Nikko AM launched four new ETFs on the Tokyo Stock Exchange, and carried out new promotional initiatives such as a webinar for journalists and SEO (search engine optimisation) advertising. Nikko AM has been conducting webinars even before the pandemic restricted face to face meetings.

For Most Innovative ETF, Japan, Nikko AM won for Listed Index Fund Nikkei ESG REIT1. Listed on 7 September 2020, this is the first* ETF to track the Nikkei ESG-REIT Index, as investors demonstrate an increasing awareness of non-financial factors such as climate change, human rights and other societal issues as indicators on whether a company can achieve sustainable growth, and predicted investors will make these same considerations when choosing real estate investment trusts. (*According to Nikko AM research, as of 13 August, 2020)

Joint Global Head of ETF Business Junichiro Ariga commented, "It is an honour to win these awards, which both demonstrate our continued commitment to the Japan market and pursuit of innovation in production, distribution and promotion so that our ETFs continually meet the changing needs of institutional, retail and individual investors."

In Hong Kong, Nikko AM took home Most Innovative ETF for the NikkoAM E-Games Active ETF1, listed on 15 June 2020. This is the first actively managed equity ETF in Hong Kong**, and comes with a variable management fee structure. The ETF offers a diversified portfolio of E-games companies and related businesses, which have experienced a tailwind as the global gaming population grows, 5G and other accessibility improves, and the stay home trend due to COVID-19. (**According to Nikko AM research)

Phillip Yeo, Joint Global Head of ETF Business and International Head of Product Development and Management, explained, "E-games is the latest frontier in engagement, and active management is key to seizing the opportunities in the rapidly growing and evolving industry. By combining this with variable management fees, we can create value and encourage long-term investment."

For the background and decision making process of the awards please visit the award website.

1 The Fund is not registered for sale in Singapore.

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  • Fees, etc. listed are the highest rates among those charged to the investment trusts managed by Nikko Asset Management (as of the day this content was created).
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The investments effected under discretionary investment agreements and advice rendered under investment advisory agreements covers primarily equities, bonds and/or other securities whose price fluctuates (subject also to exchange-rate fluctuation risk if denominated in foreign currencies). Accordingly, the estimated value of client assets under management fluctuates and may fall below the principal investment.

The main risks pertaining to investment advisory agreements and discretionary investment agreements are 1) price fluctuation risk, 2) liquidity risk, 3) credit risk, 4) exchange-rate fluctuation risk, 5) country risk, 6) derivative risk, 7) risk unique to alternative strategies.

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If investment trusts are included under a discretionary investment agreement, the following expenses may be incurred: trust fees charged to administer the investment trust, an exit charge, service fees upon subscription and redemption, brokerage commissions on transactions in portfolio securities, securities custody fees, administrative expenses, audit expenses, fund establishment related expenses, interest on loan borrowings, stock borrowing expenses, etc.

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About Nikko Asset Management

With USD203.9 billion* under management, Nikko Asset Management is one of Asia’s largest asset managers, providing high-conviction, active fund management across a range of equity, fixed income, multi-asset and alternative strategies. In addition, its complementary range of passive strategies covers more than 20 indices and includes some of Asia’s leading exchange-traded funds (ETFs).

Headquartered in Asia since 1959, Nikko Asset Management and its subsidiaries employ personnel representing around 30 nationalities, including approximately 200 investment professionals**. The firm has a presence through subsidiaries or affiliates in a total of 11 countries and regions. More than 400 banks, brokers, financial advisors and life insurance companies around the world distribute the firm’s products.

The investment teams benefit from a unique global perspective complemented by the firm's historic Asian DNA, striving to deliver consistent excellence in performance. The firm also prides itself on its progressive, solution-driven approach, which has led to many innovative funds launched for its clients.

For more information about Nikko Asset Management and to access its investment insights, please visit the firm’s homepage.

* Consolidated assets under management and sub-advisory of Nikko Asset Management and its subsidiaries as of .
** Including employees of Nikko Asset Management and its subsidiaries as of .

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This document is prepared by Nikko Asset Management Co., Ltd. and/or its affiliates (Nikko AM) and is for distribution only under such circumstances as may be permitted by applicable laws. This document does not constitute personal investment advice or a personal recommendation and it does not consider in any way the objectives, financial situation or needs of any recipients. All recipients are recommended to consult with their independent tax, financial and legal advisers prior to any investment.

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