For investors looking for momentum, Deutsche X-trackers MSCI South Korea Hedged Equity ETF is probably on the radar now. The fund just hit a 52-week high and shares of DBKO are up over 28.9% from their 52-week low price of $21.85/share.
But could more gains be ahead for this ETF? Let’s take a quick look at the fund and the near-term outlook to get a better idea on where it might be headed:
DBKO in Focus
DBKO focuses on providing exposure to the equities of South Korea. The fund has a large-cap focus with key holdings in the Industrials, Financials, and Consumer Discretionary sectors, with 37.18%, 14.00%, and 12.82% allocation, respectively (as of May 5, 2017). DBKO charges investors 58 basis points a year in fees. Its top holdings include Samsung Electronics Co Ltd, SK Hynix Inc, and Hyundai Motor Co with almost 30.7% of the assets allocated to them (see all the Asia Pacific ETFs here).
Why the move?
Earlier this year, former president, Park Geun-hye was impeached by the court owing to a corruption scandal. South Koreans are now set to go to the polls to elect their new president on May 9, 2017. The last polls showed Moon Jae-In as the frontrunner. Moon Jae-In’s plans to revert to the sunshine policy to reduce tensions with the North has garnered him a lot of support. Therefore, investors are confident and are looking at this region as a potential investment.
More Gains Ahead?
Currently, DBKO has a Zacks ETF Rank #3 (Hold) with a Low risk outlook. So it is hard to get a handle on its future returns one way or another. The fund has a weighted alpha of 28.35 and a 14-day standard deviation of 10.70%. So there is still some promise for those who want to ride this surging ETF a little further.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
For investors looking for momentum, Deutsche X-trackers MSCI South Korea Hedged Equity ETF is probably on the radar now. The fund just hit a 52-week high and shares of DBKO are up over 28.9% from their 52-week low price of $21.85/share.
But could more gains be ahead for this ETF? Let’s take a quick look at the fund and the near-term outlook to get a better idea on where it might be headed:
DBKO in Focus
DBKO focuses on providing exposure to the equities of South Korea. The fund has a large-cap focus with key holdings in the Industrials, Financials, and Consumer Discretionary sectors, with 37.18%, 14.00%, and 12.82% allocation, respectively (as of May 5, 2017). DBKO charges investors 58 basis points a year in fees. Its top holdings include Samsung Electronics Co Ltd, SK Hynix Inc, and Hyundai Motor Co with almost 30.7% of the assets allocated to them (see all the Asia Pacific ETFs here).
Why the move?
Earlier this year, former president, Park Geun-hye was impeached by the court owing to a corruption scandal. South Koreans are now set to go to the polls to elect their new president on May 9, 2017. The last polls showed Moon Jae-In as the frontrunner. Moon Jae-In’s plans to revert to the sunshine policy to reduce tensions with the North has garnered him a lot of support. Therefore, investors are confident and are looking at this region as a potential investment.
More Gains Ahead?
Currently, DBKO has a Zacks ETF Rank #3 (Hold) with a Low risk outlook. So it is hard to get a handle on its future returns one way or another. The fund has a weighted alpha of 28.35 and a 14-day standard deviation of 10.70%. So there is still some promise for those who want to ride this surging ETF a little further.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>