Once again I do a review of the valuation of various MSCI country Indices that interest me. My last similar article is here. All data is as of today (May 17 2008).
MSCI Korea: 10Yr annualized returns: 23.40%, P/E=17.23, P/B=2.62, Samsung=16% of Index.
MSCI Taiwan: 10Yr annualized returns: 2.09%, P/E=17.49,/ P/B=2.67, Taiwan Semiconductor =11.6% of index.
MSCI Singapore: 10Yr annualized returns: 11.05%, P/E=14.71, P/B=2.72, Financials=51.48% of index.
MSCI Sweden: 10Yr annualized returns: 11.05%, P/E=13.73, P/B=3.55, Ericcson=11.93%, Financials=23% of index.
Based on a simplistic analysis of the above I had bought Korea which then had the lowest P/E. Now that I am reviewing the valuation I see no need to change my holdings in Korea. Singapore looks cheap, but with Financials being a major part of the Index I am not sure if now is the right time to buy more.
Why look at Sweden? I just recalled from memory a chart from Jeremy Seigels "Stocks for the long run" which shows Sweden has the best long term return from equities; just slightly better than the US.
Disclaimer: I already own the Lyxor Korea ETF .
I am not sure if the numbers above include reinvested dividends. The P/E also seems to be different from other estimates I have seen, possibly because they may be using only annual figures and not TTM and also because the more bullish analysts usually mention forward P/E instead of trailing P/E.
Showing posts with label ews. Show all posts
Showing posts with label ews. Show all posts
Saturday, May 17, 2008
Monday, March 12, 2007
Singapore, Taiwan and Korea msci index comparisions
MSCI Korea: 10Yr returns: 13.09, P/E=15.88, P/B=2.26 Semiconductors=19.78% of Index
MSCI Taiwan: 10Yr returns: -1.58, P/E=20.17,/ P/B=3.24, Semiconductors =24% of index
MSCI Singapore: 10Yr returns: 2.83, P/E=19.9, P/B=2.83, Banks=35.17% of index
Based on a simplistic analysis of the above I would say that Korea is the best buy. Buffet seems to agree and has picked up some shares in the steel major POSCO which is 7.6% of the Korean index.
In Singapore you can buy the Lyxor Korea ETF , in the us you can buy EWY.
Disclaimer: I already own the Lyxor Korea ETF and am invested in a Singapore Index.
I am not sure if the numbers above include reinvested dividends. The P/E also seems to be different from other estimates I have seen, possibly because they may be using only annual figures and not TTM and also because the more bullish analysts usually mention forward P/E instead of trailing P/E.
MSCI Taiwan: 10Yr returns: -1.58, P/E=20.17,/ P/B=3.24, Semiconductors =24% of index
MSCI Singapore: 10Yr returns: 2.83, P/E=19.9, P/B=2.83, Banks=35.17% of index
Based on a simplistic analysis of the above I would say that Korea is the best buy. Buffet seems to agree and has picked up some shares in the steel major POSCO which is 7.6% of the Korean index.
In Singapore you can buy the Lyxor Korea ETF , in the us you can buy EWY.
Disclaimer: I already own the Lyxor Korea ETF and am invested in a Singapore Index.
I am not sure if the numbers above include reinvested dividends. The P/E also seems to be different from other estimates I have seen, possibly because they may be using only annual figures and not TTM and also because the more bullish analysts usually mention forward P/E instead of trailing P/E.
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