Korea’s industrial strength is now trading in Abu Dhabi. Hanwha Asset Management has listed the first Korean ETFs on the Abu Dhabi Securities Exchange, tracking Korea’s defense and advanced manufacturing sectors. Young Jin Choi, CMO at Hanwha Asset Management, explains what the two funds invest in and why a changing world is making these themes more relevant for investors. He also looks at the long relationship between Korea and the UAE, what Korea’s ETF market has taught him, and what a digital financial bridge between the two countries could look like.
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Why Korea’s Defense and Manufacturing Strength Is Now Trading in Abu Dhabi
You have spent almost 30 years at the group. Tell us about the company.
Hanwha Asset Management is one of Korea's leading asset managers, managing about 100 billion US dollars at the end of last month. We are part of a group that is Korea's fifth largest conglomerate, with global strength in defense and aerospace, energy and finance. Through our ETFs we turn Korea's industrial strength into investment opportunity. Our mission is simple: connecting Korea with global investors.
Today you cross listed two ETFs. What do they bring investors in the Gulf?
One is about defense, and the other is about advanced manufacturing. The defense ETF invests in Korea's defense and aerospace industries. The manufacturing ETF focuses on semiconductors, shipbuilding, energy infrastructure and robotics. These ETFs were first launched in the US and are now listed on ADX, bringing Korea's industrial strength closer to investors in Abu Dhabi.
What is it about today's geopolitical climate that makes these ETFs particularly interesting?
The world is changing. AI needs chips and power, and a less stable world needs stronger security and more reliable supply chains. Korea has advanced technology and the ability to manufacture at scale with speed and quality, and technology creates innovation for manufacturing. That is why we see Korea's defense and manufacturing industries as important long term investment themes.
Why Abu Dhabi and ADX for the first cross listing?
Korea and the UAE have worked together for decades, from the Barakah Nuclear Energy Plant to defense cooperation. We are more than strategic partners. Abu Dhabi also offers strong financial capabilities, long term capital and a growing international market. For us, ADX is a natural place to take our partnership from industry to finance.
What can the Gulf learn from Korea's advanced ETF market?
In Korea we learned that a successful ETF needs three things: a clear investment theme, easy market access and investor trust. Trust comes from transparency, liquidity and continuous education. We want to bring the same approach to Gulf investors. For us an ETF listing is not the finish line. It is the starting point.
You recently signed an MoU with ADX looking at stablecoin and cross border financial infrastructure. What does it signal?
Together with ADX we are exploring how digital assets and stablecoins could make cross border payment and investment simpler and faster. But security, clear regulation and investor protection must come first. Our goal is not simply to create more digital tokens. It is to build a better financial connection between Korea and Abu Dhabi.
What is the vision behind the Digital Silk Road?
The original Silk Road connected economies through trade. Our Digital Silk Road aims to connect financial markets through digital technology. That means easier exporting, faster global investing, faster payment and tokenized financial assets, within clear regulation. Korea brings industrial strength and Abu Dhabi brings global financial reach, and we want to connect the two.
What would success look like, and what is next?
Success means more than assets raised. It means strong liquidity, active investors and lasting partnerships. Next we want to expand our ETFs into more global markets, including Europe, and explore digital finance with Abu Dhabi. In the past we built industries together. Today we are building financial bridges, and tomorrow we hope to shape the future of finance together.