Mirae Asset launches active biotech ETF on Korea Exchange targeting licensing deals
Mirae Asset Global Investments has listed an active ETF on the Korea Exchange that targets Korean KOSDAQ biotech companies with a focus on technology transfer licensing. The TIGER Technology Transfer Bio Active ETF began trading on the exchange on the 17th of the month. It uses the KRX Technology Transfer Bio index as its benchmark and predominantly invests in domestic KOSDAQ-listed biotech firms.
The fund concentrates on the licensing-out theme, which the Korean biotech sector views as a core growth driver. By cherry-picking companies with strong potential to license out their technologies or products, the ETF seeks to capture upside from deals and product approvals beyond simply following a broad market index.
Biotech stocks can be highly volatile, moving on clinical trial results and news of technology transfers. The managers argue that an actively managed ETF can adapt to rapid shifts in the sector, rather than relying on a passive strategy that tracks a fixed index and may be slow to respond to news-driven swings in the market.
South Korea’s government backs the industry as part of a broader push to energize the KOSDAQ and position the country among leading global pharma contenders. Notable programs include the Ministry of Science and ICT’s Science and Technology Innovation Fund, the Ministry of SMEs and Startups’ 2025 first Fund of Funds, and the Ministry of Health and Welfare’s K-Bio & Vaccine Fund. The market’s exposure to biotech is evident in the KOSDAQ 150 index, where biotech makes up about 34% of the index.
The ETF’s initial lineup includes several biotech names, with Ligachembio, Olix, and ABCBio (ABBio) making up the core holdings. These three account for roughly 86.8% of the ETF’s weight. Traditional pharmaceutical companies such as Samchundang Pharmaceutical, Hanmi Pharmaceutical, ST Pharm, and Celltrion are also included to balance growth potential with stability.
Management describes an alpha strategy that shifts weights toward higher-potential names based on peer-group analysis and insights from global biotech conferences and licensing deal activity. The approach aims to move quickly toward firms with stronger licensing pipelines and longer-term growth prospects.
For U.S. readers, the launch matters beyond Korea because licensing and collaboration in biotech increasingly cross borders. Korea’s emphasis on tech transfer and its government-backed funds signal a coordinated effort to commercialize research and feed global supply chains, including potential partnerships with American firms, contract discoveries, and joint development programs. The development of Korea’s biotech ecosystem could influence international investment flows, licensing negotiations, and the pace of biotech innovation and commercialization in the Asia-Pacific region.