A currency dealer, wearing a mask to prevent the spread of coronavirus disease (COVID-19), is working in front of electronic boards showing the Korea Composite Price Index (KOSPI) at a bank in Seoul, South Korea, September 10, 2020.
Kim Hong Ji | Reuters
Investors who stayed with South Korean shares until 2020 were nicely rewarded.
The Kospi Index, South Korea’s stock index, rose 30.8% for the year, the highest annual growth in ten years. South Korea’s iShares MSCI ETF (EWY) has grown by 38.4% in 2020, surpassing most developed and emerging markets. ETF earnings from year to date are higher than other widely watched emerging markets, as well as the US S&P 500
Strong returns to the South Korean capital market have emerged as the country’s health response to the coronavirus pandemic – along with fiscal and monetary stimulus measures already in place – has kept its economy from skyrocketing. part of 2020.
“In South Korea, you have this combination of good public health policies, along with many [economic] supporting the policy, “said Mehran Nakhjavani, partner and emerging market strategist at MRB Partners.” The moment was fortuitous. “