The net asset value of exchange traded funds hit a record high on the back of the bullish run on the local stock market, fueled by eased uncertainties over the Sino-American trade tussle, data showed on Thursday.

The net asset value of ETFs reached 48.83 trillion won ($41.89 billion) as of Wednesday, the highest on record since 2002, when the investment vehicle made a debut on the local stock market, according to the data compiled by the Korea Exchange.

An ETF refers to an investment fund traded on stock exchanges and invests in a basket of stocks that track an index, or commodities and bonds. The net asset value more than doubled in the past five years from the 19 trillion-won level in 2014, as investors sought safer investment destinations.

According to KRX data, about 80 percent of the 445 ETFs listed on the Seoul bourse are equity-linked ETFs, which are considered relatively riskier compared to bond-linked ETFs.

From the beginning of the second half of this year, the net asset value of ETFs hovered in the 41 trillion-won range but jumped in late October amid hopes of a trade deal between the United States and China.

The benchmark Korea Composite Stock Price Index closed at 2,194.76 points on Wednesday, up 3.05 percent from 2,129.74 points on July 1. (Yonhap)