Exchange-Traded Funds (ETFs) have emerged as powerful investment tools, offering investors exposure to specific markets and sectors. In this article, we will conduct a comprehensive comparison between two prominent South Korea-focused ETFs: EWY (iShares MSCI South Korea ETF) and HKOR (Xtrackers MSCI Korea UCITS ETF). Exploring their ticker symbols, full names, issuers, sectors, top holdings, capitalization, investment strategies, tracking methods, and exposures will provide insights into making informed investment decisions.
EWY and HKOR are ETFs that provide access to the South Korean equity market. However, they differ in their underlying indexes and investment strategies. EWY tracks the MSCI South Korea Index, which includes a diverse range of South Korean companies. In contrast, HKOR tracks the MSCI Korea 25/50 Index, focusing on large and mid-cap companies within the country. Understanding their differences is crucial for investors seeking exposure to the South Korean market.
EWY encompasses various sectors of the South Korean economy, including technology, consumer goods, and finance. Some of its top holdings include Samsung Electronics, SK Hynix, and POSCO. HKOR's portfolio is similarly diversified, with top holdings like Samsung Biologics, Samsung Electronics, and SK Hynix. Analyzing their sector allocations and top holdings can aid investors in assessing potential risks and rewards.
EWY overlap EWY VS HKOR: A Comprehensive Comparison of ETFs
EWY boasts a substantial asset under management (AUM), reflecting its popularity among investors seeking exposure to South Korea. Its investment strategy aims to replicate the performance of the MSCI South Korea Index. On the other hand, HKOR follows the MSCI Korea 25/50 Index, which limits the weights of individual securities to enhance diversification. Investors should consider the differing capitalization and strategies when evaluating these ETFs.
EWY and HKOR offer exposure to the South Korean equity market, but their tracking methods and exposures vary. EWY tracks a broader index, providing investors with exposure to a wider range of companies. HKOR's focus on larger and mid-cap companies may result in a more concentrated exposure. Understanding the tracking methodologies and exposures of these ETFs is essential for aligning investments with specific goals.
EWY and HKOR present distinct opportunities for investors seeking exposure to the South Korean market. Whether it's delving into sector allocations, assessing top holdings, evaluating capitalization and strategies, or understanding tracking methods, making informed decisions is paramount. To explore deeper insights into these ETFs, including holdings, correlations, and overlaps, consider using ETF Insider, a user-friendly app offering valuable information on various financial instruments.
Disclaimer: This article does not provide any investment advisory services.
Sources:
iShares: iShares MSCI South Korea ETF (EWY)
Xtrackers: Xtrackers MSCI Korea UCITS ETF (HKOR)
EWY ETF issuer
EWY ETF official page
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