KIS INDEX
Overview
  • Benchmark for a virtual bond portfolio, providing the direction of bond investment and serving as a performance evaluation indicator
  • A comprehensive indicator reflecting the overall movement of bond prices, marking the cumulative yield of the entire portfolio value compared to the benchmark period
  • Allowing examination of the movements of various factors influencing bond investment performance, such as capital gains, interest income, and reinvestment income
  • Announcing five types of bond indices based on the treatment of accrued interest and reinvestment methods for cash flow
Types Definitions
Total Return Index An index representing the total performance achievable from bonds. It incorporates reinvestment income generated from cash other than capital gains and accrued interest income into all securities included in the bond index
Gross Price Index An index related to the dirty price of bonds. It incorporates both capital gains/losses and accrued interest, with interest payments included in the yield
Clean Price Index An index related to the clean price of bonds. It excludes accrued interest and demonstrates performance related to capital gains
Reinvest Call Index An index that includes reinvestment income earned by reinvesting cash flows at overnight rates, such as interest, in addition to capital gains and accrued interest income from bonds
Reinvest Zero Index An index demonstrating the performance obtained by holding bonds without reinvesting cash flows, such as interest, other than capital gains and accrued interest
Usage
Why KISP?
Announced the first comprehensive bond index in Korea, the KIS All Bond Index (Hankyung-KIS-Reuters) Acquired a patent for the only real-time bond index generation method in Korea, providing a real-time bond index that serves as the underlying index for the industry's first bond-type ETF Developed the first All Bond ESG index in the industry, unveiling the first dedicated ESG comprehensive bond index for bond funds in Korea