3 “ae y = : - ge a i fia. 4 , . ; Va me, g . ee, fia» 1 (aS & 3 ge YA owe em \ 7 comme & mint | peeeeeeeee ee foe Co a a | Hen terae im * /, SE By BOE lacie jaa = | | Rie J i. * ‘ i d/ im x oe 7K = q j= ae -4 — bY Mi Pyongyang, North Korea, is home to the largest stadium in the world with a seating capacity of over 114,000. Source: Getty Images to release Chey Tae- Won accelerated the demise ofher political contributing large sums of money to a foundation established career. Ironically, she finds herself in prison awaiting trial while | byMs.ChoiSoon-Sil in order to maintain a positive relationship the Korean stock market continues to trade at a discount to _ with President Park Geun-Hye. peers. In addition, MSCI Korea’s relative valuation is also The Korean stock market languished as a result of President suppressed by the mercurial behavior of North Korea whose pa, Geun-Hye’s miscues as shown in CHART 2. The performance recent missile tests have dominated global headlines. of the MSCI Korea Index starting from the beginning of A truly embarrassing South Korean political scandal emerged _ President Park Geun-Hye’s term was down 25% by late August in the fall of 2016 when a journalist discovered a computer 2015, which coincided with Mr. Chey Tae-Won’s pardon in the belonging to a personal confidant of President Park Geun-Hye. _ week prior. The Korean market drastically underperformed the The contents of the device, belonging to Choi Soon-Sil, revealed |= MSCI Asia ex. Japan Index which was down 14% and the MSCI that she had access to confidential presidential documents | ACWI Index which was up about 9% during that period. including speeches that were ultimately altered and influenced __Korea’s recursive political environment was frustrating for by Ms. Choi Soon-Sil. In the weeks following this revelation, | many Koreans. It is widely believed that chaebols sapped the the mighty chaebols of Samsung, Lotte and SK were once again entrepreneurial vigor of small busines