South Korea’s benchmark stockmarket index, the Kospi, is typical of emerging markets: it is highly exposed to the global economic cycle. Cyclical stocks (which are particularly sensitive to these ups and downs) comprise round 80% of the index.

Market heavyweight Samsung dominates the consumer goods sector and accounts for almost a fifth of the overall market, while the car and car-parts sector, dominated by Hyundai, accounts for nearly a tenth. Industrial and technology companies, many of which are export-orientated, comprise another quarter of the Kospi.

Some personal and household goods groups, along with small utilities and health-care sectors, make up the defensive segment.


Claim 12 issues of MoneyWeek (plus much more) for just £12!

Let MoneyWeek show you how to profit, whatever the outcome of the upcoming general election.

Start your no-obligation trial today and get up to speed on:

  • The latest shifts in the economy…
  • The ongoing Brexit negotiations…
  • The new tax rules…
  • Trump’s protectionist policies…

Plus lots more.

We’ll show you what it all means for your money.

Plus, the moment you begin your trial, we’ll rush you over THREE free investment reports:

‘How to escape the most hated tax in Britain’: Inheritance tax hits many unsuspecting families. Our report tells how to pass on up to £2m of your money to your family without the taxman getting a look in.

‘How to profit from a Trump presidency’: The election of Donald Trump was a watershed moment for the US economy. This report details the sectors our analysts think will boom from Trump’s premiership, and gives specific investments you can buy to profit.

‘Best shares to watch in 2017’: Includes the transcript from our roundtable panel of investment professionals – and 12 tips they’re currently tipping. The report also analyses key assets, including property, oil and the countries whose stock markets currently offer the most value.