Korea fails to keep up with emerging markets index

The iShares MSCI South Korea ETF (EWY -0.4%) is off 0.5% YTD vs. the EEM 4% gain - this despite a 3.3% rise in the won which should boost the dollar-denominated ETF.

Looking for a story behind the price action, Credit Suisse comes up with a few ideas, the first one being the slowdown in Korea's largest export market China.

Other reasons include downward Q1 earnings revisions of 19%, a record low except for during the financial crisis, and the dampening consumer effect of the sinking of the MV Sewol.

Finally, there's sluggish action in Samsung (22.6% of EWY's holdings) after an earnings miss and concern over the company's restructuring plan.

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