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Korea ETF MKOR surges on AI chip demand, but volatility remains
Matthews Korea Active ETF MKOR is up about 80% year to date, while South Korean chip exports for August tripled to roughly $47 billion.
South Korean equities have rallied sharply in 2025, driven in part by strong demand for AI chips, and the performance has pushed investors to examine whether the move can continue. MarketBeat Ratings points to the Matthews Korea Active ETF, MKOR, as a country-focused vehicle with heavy exposure to the technology cycle.
MKOR has risen about 80% year to date, according to MarketBeat Ratings, though the outlet notes the rally has been volatile and that the fund’s expense ratio is higher than some cheaper Korea ETF options. The article lists MKOR assets under management at about $139.02 million and a dividend yield of 1.42%.
The gains are tied to the broader semiconductor backdrop, MarketBeat Ratings says, including that South Korean semiconductor makers’ chip exports tripled year over year for August to about $47 billion. It also highlights that chip supply constraints can be a risk for buyers of AI hardware, even as chipmakers may benefit from elevated pricing and margins.
MarketBeat Ratings adds that the ETF’s portfolio composition also matters beyond headline AI names, with about 46% allocated to information technology and more than 50% concentrated in mega-cap holdings. The outlet argues that Korean stocks could still have upside through year end if AI-driven chip demand persists and as firms continue returning capital via dividends or share buybacks.