FLKR — Franklin FTSE South Korea ETF
$60.10
Target: $ (%)
P/E Ratio
—
P/E Forward
—
Dividend
2.07%
Market Cap
$1.02B
EPS
—
Consensus
ETF — canasta indexada (sin rating individual)
What they do
Franklin FTSE South Korea ETF (NYSE Arca: FLKR) is an exchange-traded fund (ETF), not an individual company. An ETF is a basket of many stocks packaged into a single instrument that you buy and sell as if it were one stock. It's issued by Franklin Templeton.
What's inside: it tracks the FTSE South Korea RIC Capped index, which gathers South Korea's large and mid-sized companies (~163 of them). By buying one share, you own a fraction of all of them at once.
The key concentration: the fund is VERY heavy in technology (~64% of the fund). Its two largest positions are Korea's memory-chip giants:
- SK hynix (~30.7%)
- Samsung Electronics (~20.8% + preferred shares)
Together = ~half the fund. They're followed by names like SK Square, Hyundai Motor, KB Financial, Hyundai Mobis and Shinhan Financial.
Costs and income: it charges a fee (expense ratio) of just 0.09% a year — dirt cheap, ~$9 for every $10,000. And it pays a ~2% annual dividend (distributed semiannually), which comes from the dividends paid out by the Korean companies it holds. Assets (AUM): ~$1.0 billion.
Why it joins the portfolio: even though it's a basket and not a single company, it also pays dividends — it fits the thesis of 'owning things that pay you' — and provides diversified exposure to a key economy for a minimal fee.
Why we like it
FLKR at $60.10 is the cheapest, most diversified way to get exposure to South Korea — one of the world's most important chip and hardware economies — while collecting a ~2% dividend as you wait. Specific reasons:
- Memory-chip exposure in a single purchase: SK hynix and Samsung, ~half the fund, sit at the heart of the global AI boom (AI data centers and servers need mountains of memory, which these two manufacture). Buying FLKR is a bet on that theme without picking a single name.
- A minimal fee (0.09%): ~$9 a year per $10,000 — among the cheapest in the market; nearly all the return stays with you.
- The 'Korea discount': Korean stocks have historically traded cheap versus global peers (over corporate-governance issues). Reforms underway ('value-up') aim to close that discount — that's the upside catalyst.
- It pays you dividends (~2%): unlike betting on a single growth company, this basket distributes the dividends its ~163 companies generate, twice a year.
- Diversification: even though it's concentrated in tech, you still own ~163 companies (autos, banks, industry) instead of depending on just one. It's country exposure — cheap, and with income.
Key Risk
Risks:
- Extreme concentration — the #1: SK hynix (~31%) and Samsung (~21%) are MORE than half the fund, and technology is ~64% of the total. If memory-chip prices fall or those two names stumble, the WHOLE ETF falls with them. It isn't really 'buying diversified Korea': it's mostly a bet on two chip giants.
- Geopolitical risk: tensions with North Korea, regional politics and tech trade wars (Korea sits in the middle of the U.S.-China chip rivalry) can hit hard.
- Currency risk (the won): the ETF trades in dollars but holds stocks priced in Korean won; if the won weakens against the dollar, your return drops even if the stocks rise.
- Memory-chip cyclicality: the memory business (DRAM/NAND) is famous for its brutal boom-and-bust price cycles — when there's oversupply, margins collapse.
- The 'Korea discount' may not close: corporate-governance reforms have been promised for years; if they don't materialize, the discount persists.
- No active management: an ETF follows its index blindly — if the index is poorly balanced (as here, toward tech), you carry that imbalance.
This is educational and informational content, not financial advice. Always consult a qualified financial advisor before making investment decisions.
Vectorial Data picked FLKR on 2026-06-08 at $60.10.
Full Research
Franklin FTSE South Korea ETF (FLKR) — Research Completo
Precio: $60.10 | Tipo: ETF | Expense ratio: 0.09% | Div Yield: ~2.07% | AUM: ~$1.0B USD
⚠️ Esto es un ETF, no una empresa
FLKR es una canasta de ~163 empresas de Corea del Sur empaquetada en un solo instrumento. No tiene CEO ni un solo negocio: es exposición diversificada a un país. Emisor: Franklin Templeton. Índice: FTSE South Korea RIC Capped.
Qué contiene (top 10, ~jun 2026)
| # | Empresa | Peso |
|---|---|---|
| 1 | SK hynix | 30.7% |
| 2 | Samsung Electronics | 20.8% |
| 3 | SK Square | 3.4% |
| 4 | Samsung Electro-Mechanics | 2.6% |
| 5 | Hyundai Motor | 2.6% |
| 6 | Samsung Electronics (pref.) | 2.2% |
| 7 | KB Financial Group | 1.6% |
| 8 | Doosan Enerbility | 1.2% |
| 9 | Hyundai Mobis | 1.2% |
| 10 | Shinhan Financial | 1.2% |
Top 2 (SK hynix + Samsung) ≈ 51% del fondo. Top 10 ≈ 67.5%.
Sectores
| Sector | Peso |
|---|---|
| Tecnología | 63.75% |
| Industriales | 14.13% |
| Financieras | 7.30% |
| Consumo cíclico | 6.17% |
| Resto | ~8.65% |
Datos clave
| Métrica | Valor |
|---|---|
| Expense ratio | 0.09% (~$9 por $10,000/año) |
| Dividend yield (TTM) | ~2.07% (distribución semestral) |
| AUM | ~$1.0 mil millones |
| Nº de holdings | ~163 |
Anchor Fact
Aunque este fondo tiene 163 empresas coreanas, solo DOS —SK hynix y Samsung— son casi la mitad de todo. Comprarlo no es tanto 'ser dueño de un pedacito de Corea' como apostarle a los dos gigantes que fabrican los chips de memoria que van dentro de los teléfonos, los centros de datos y los servidores de IA del mundo entero. Y a diferencia de comprar una sola acción de crecimiento, esta canasta te paga ~2% al año en dividendos.
Top Risks
- Concentración extrema — SK hynix + Samsung = ~la mitad; tech = ~64%
- Riesgo geopolítico — Corea del Norte, rivalidad EE.UU.-China en chips
- Riesgo de moneda (won) — cotiza en USD, holdings en wones
- Ciclicidad de los chips de memoria — auges y caídas brutales
- El 'descuento Corea' puede no cerrarse — reformas prometidas hace años
¿Por qué entra al portafolio?
Es el primer ETF del portafolio. Aunque es una canasta y no una sola empresa, también paga dividendos (~2%), encaja con la tesis de 'tener cosas que te pagan', y da exposición barata (0.09%) y diversificada a una economía de chips clave.
Tesis en una línea
La forma más barata (0.09%) de tenerle exposición a Corea del Sur y a sus gigantes de chips de memoria (SK hynix, Samsung) en una sola compra —cobrando ~2% de dividendo mientras esperas el cierre del 'descuento Corea'—.
Research fecha: 08 Jun 2026 | Próxima revisión: Dic 2026
Esto no es asesoría financiera.
This is not financial advice. Consult a certified financial advisor.
The author may hold positions in the securities discussed.
Past performance does not guarantee future results.