South Korea ETF EWY rises 148% YoY, driven by Samsung and SK hynix amid AI memory demand

The iShares MSCI South Korea ETF (EWY) has surged 147.83% over the past year, led by heavy exposure to Samsung and SK hynix, which benefit from strong demand for AI-related memory chips. Nearly half of EWY's holdings are concentrated in these two companies, making the ETF sensitive to the memory market cycle and AI infrastructure spending. While further gains depend on continued tight supply of high-bandwidth memory and strong Korean exports, the current risk/reward profile is less attractive after the recent rally. Investors seeking broader South Korea exposure with lower fees might consider FLKR as a preferable alternative.