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- COVID-19 has smacked already weak South Korean stock market hard in recent weeks

- Pandemic panic clouds slow but steady improvements in S. Korean governance

- S. Korean ETFs can give good exposure to a potential virus snapback and more       

The equity world is stopped in its tracks by the surprisingly quick and dangerous spread of the coronavirus, or COVID-19. How worried should investors be? With some early evidence that the spread is potentially cresting in China, the epicenter, I think the market anxiety could be overdone. If so, it should fade as investors focus on fundamentals.

Source: FS Insight, Bloomberg

One market that has suffered from COVID-19 fears and also has underperformed for a while is South Korea. As the virus fear subsides, I believe it could snap back 20%. Additionally, given its unusually low valuation and a number of other potential catalysts outlined below, there could be more than a snap back longer term.

The headlines are scary. Remember the global pandemic in “Dawn of the Planet of the Apes”? I’m not a Pollyanna and clearly, global gross domestic product growth will be dented in 1Q and maybe 2Q by COVID-19. However, the minute the market gets a whiff of containment, stocks are going t...

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