Is South Korea a viable investment destination?

ASIA

Hyung Jin Lee, fund manager of the Baring Korea trust, on how the emergence of market-leading corporates is changing the country's investable landscape for the better.

While South Korea did not escape the intense global economic volatility of 2011 (the Korea SE Composite Index dropped 12.3% in 2011, in US dollar terms, compared to a 25.1% increase in 2010 and a rise of 61.9% in 2009) we believe investors are underestimating the resilience and growth prospects of Korean corporates. A great example of this corporate strength is Samsung Electronics: in February this year, the company’s Galaxy S II was named “Best Smartphone” by the GSM Association, the organisation that represents the interests of the worldwide mobile communications industry. Galaxy S II ...