Top fund that beat S Korea stocks sees more room to grow

Seoul

SANJIV Duggal's approach to picking South Korean stocks was the key to his fund beating benchmarks in the past year. And despite the Kospi index hitting an all-time high, the fund manager believes the nation's equities can still deliver returns.

The head of Asian and Indian equities for HSBC Global Asset Management started to focus on South Korean stocks three years ago. It was when the benchmark Kospi index was trading below its book value and Samsung Electronics Co, one of his top picks, was 90 per cent cheaper than the current price. His strategy finally paid off this year as the Kospi rose more than 20 per cent to a record high.