Make NISA more familiar with ○○○, the next generation of investment trusts.

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The new "NISA (Small Amount Investment Non-Taxation System)" started in January 2024. It has been reborn as a more user-friendly system, allowing for a wider range of investment options than before. So now, people who are about to start investing or those who are accustomed to buying investment trusts and considering the "next" step are popular.What is popular among those who are starting to invest now or those considering the "next" step after getting used to purchasing investment trusts is "ETF (Exchange Traded Fund)".Start.

First, let's take a look at the newly revised "NISA". Normally, profits from investments in stocks, Funds, etc. are subject to about 20% tax. While this was tax-free for a certain period under the traditional NISA, the new NISA now has an indefinite tax-free holding period. In addition, the annual investment limit has been significantly expanded, allowing the combination of the previously impossible "accumulated investment quota (old accumulation NISA)" and the "growth investment quota (old general NISA)", thus expanding the options for investing in a wide range of assets. For example, in the "accumulated investment quota", you can steadily accumulate investment trusts for long-term holding purposes, and in the diversified range of investment products in the "growth investment quota", invest in things that interest you.

In this scenario, what is gaining popularity is Exchange Traded Funds (ETFs). ETFs are financial products listed on stock exchanges and traded in the market, offering the convenience of investing in multiple stocks with a single option, just like Funds, while also allowing real-time buying and selling based on stock market prices. ETFs are considered an advanced version of Funds, as they allow diversification across multiple stocks with the convenience of investing in a single option, similar to stocks, by monitoring real-time market prices. 。

ETFs are considered an evolution of investment Funds. The biggest advantage of ETFs is their low costs.Both Funds and ETFs are managed by investment professionals with money collected from investors; however, the structure of Funds requires the payment of part of the management costs (trust fees) to sales companies such as securities firms or banks. On the other hand, since ETFs are listed, they can be traded nationwide through securities firms just like stocks, and they become cheaper as there are no sales company fees. Recently, the number of low-cost investment trusts has increased, but taking the median, ETFs still tend to have lower cost levels.
*As of November 20, 2024, the median effective trust fee for index-type investment trusts and ETFs, according to Global X Japan research.

The environment for systematic investment in ETFs is expanding. With a fixed amount, when stock prices are falling, you buy a lot, and when they are rising, you buy only a little, allowing you to easily practice dollar-cost averaging to reduce the risk of price fluctuations.

Among the ETFs eligible for NISA's 'accumulation investment frame,' there are still only 8, but more than 270 are eligible for the 'growth investment frame.' In addition to ETFs aiming for market averages like the Nikkei Stock Average and S&P 500, there is a lineup of ETFs with high returns and expected stock price increases.

Although the number of ETFs in the Japanese market has increased to about 340, it is still not sufficient in terms of quantity and scale compared to the over 3,700 listings in the U.S. market. In other words, this means that there are not enough options provided to Japanese investors in terms of asset management. In order to meet the needs of investors,Global X is expanding the lineup of TOKYO Stock Exchange (TSE) ETFs.。

Specifically,Investment options are provided to meet the needs and investment styles of investors, such as 'Growth Theme Type' where growth can be expected from a medium to long-term perspective.、'Income Type' aims for a high distribution yield.、'Core Type' invests in representative companies that become the core of asset formation.Among them,The ETFs with significant inflows of funds from individual investors are the following 5 brands:It is.
According to GlobalX estimates, from January to September 2024: