Many electronic makers have come to the market with aggressive cost-cutting plans and incentive to gain back consumer dollars, as the global outlook for the market shows signs of improvement.

• Although Playstation maker Sony posted fourth-quarter losses, the company’s latest results beat analysts’ forecasts by a wide margin, reports Hiroko Tabuchi for The New York Times.

• Samsung Electronic is still the ruler; the performance of other companies couldn’t match the world’s largest maker of televisions. Samsung said profits in the most recent quarter had tripled to a record $3.14 billion as it capitalized on investment in new panel technologies and marketing. It also got a boost from a weak won, which gave it the ability to undercut Sony’s prices.

• Panasonic notched its first profit in a year as sales of DVD recorders and household appliances showed some recovery. It’s now betting on batteries for hybrid and electric cars by merging with Sanyo.

Who can grab the most market share by cost cutting and appealing to consumers?

For more stories about consumer discretionary, visit our consumer discretionary category.

• PowerShares FTSE RAFI Japan (NYSEArca: PJO): down 1.1%; holds 2.8% of Sony

• SPDR S&P International Cons Disc Sector (NYSEArca:IPD): up 55% year-to-date; holds 2.2% Sony

• iShares S&P Global Technology (NYSEArca: IXN): up 38.2% year-to-date; holds 4.2% Samsung

• iShares MSCI Emerging Markets Index (NYSEArca: EEM): up 64.5% year-to-date; holds4.3% Samsung

• iShares MSCI South Korea (NYSEArca: EWY): up 63.4% year-to-date; Samsung, 19.1%

• WisdomTree International Technology Sector Fund (NYSEArca: DBT): up 18.9% year-to-date; Panasonic is 6.2%

South Korea’s growth in the third quarter was at its quickest rate in more than seven years, accompanying China and Singapore in reporting faster growth during the September quarter, reports Gillian Murdoch for Reuters. (How to capture China’s growth).

• iShares MSCI South Korea Index (NYSEArca: EWY)
• iShares FTSE/Xinhua China 25 Index (NYSEArca: FXI)
• iShares MSCI Singapore Index (NYSEArca: EWS)

Japan, Singapore, Hong Kong, Thailand and Taiwan all officially exited a recession in the second quarter.

• iShares MSCI Japan Index (NYSEArca: EWJ)
• iShares MSCI Hong Kong Index (NYSEArca: EWH)
• iShares MSCI Thailand Invest Mkt Index (NYSEArca: THD)
• iShares MSCI Taiwan Index (NYSEArca: EWT)

Japan, however, grew 0.6% in the second quarter – less than expected. (Small-cap plays for Japan).

Singapore’s economy expanded in the second quarter at its fastest rate in almost six years, as a result of a surge in biomedical production and construction. (Sectors pushing Singapore’s growth)

Hong Kong pulled out in the second quarter after its economy grew at a faster-than-expected 3.3% from the previous quarter. (Is Hong Kong facing a correction?)

Thailand’s economy grew 2.3% in the second quarter from the first quarter on a recovering manufacturing sector. (Reasons to watch Thailand)

Taiwan’s economy saw growth for the first time in a year during the second quarter. Officials expect rising demand from China to support the island’s recovery. (Why Taiwan’s heating up).

• iShares S&P Asia 50 Index (NYSEArca: AIA)
• BLDRs Asia 50 ADR Index (NasdaqGM: ADRA)

For more information on Asia, visit our Asia category.

Max Chen contributed to this article.

According to Gary Gordon for ETF Expert, there is a slight discernible difference between the five largest net exporters and net importers as shown in their respective ETF growths.

Net importers’ five-year total % change:

• Vanguard Total U.S. Market (NYSEArca: VTI): 12.8%
• iShares MSCI United Kingdom (NYSEArca: EWU): 10.7%
• iShares MSCI Spain (NYSEArca: EWP): 91.7%
• iShares MSCI France (NYSEArca: EWQ): 35.1%
• The India Fund (NYSE: IFN): 129.4%

Net exporters’ five-year total % change:

• iShares FTSE China 25 Index (NYSEArca: FXI): 173.9%
• iShares MSCI Germany (NYSEArca: EWG): 53.9%
• Central Europe/Russia Fund (NYSE: CEE): 91.3%
• iShares South Korea (NYSEArca: EWY): 90.5%
• iShares MSCI Netherlands (NYSEArca: EWN): 46.3%

The data shows that percentage gains are leaning toward exporters and developing countries, more export-dependent, are producing larger percentage returns.

Gordon makes the distinction that successful investing in seemingly export-type countries is more dependent on overall economic growth and less to do with the large “net exporter” moniker.

For more information on ETF trends, visit our trend following category. Read more of Gary Gordon’s ETF observations at ETF Expert.

Max Chen contributed to this article.

Year-to-date, iShares MSCI South Korea (NYSEArca: EWY) has been one of the strongest ETFs targeting the Asian region. What gives? Points in the country’s favor include:

• South Korea is the fourth largest economy in Asia and relies heavily upon exports to keep the economy strong.
• South Korea also has strong economic ties to China–exports to China account for about 15% of South Korea’s GDP. Economic development in China will be an important driver of growth for many of South Korea’s larger companies, says Patricia Oey for Morningstar.

South Korea is a developed nation, according to the FTSE Group. EWY also does not have a strong correlation with other major U.S. indexes, and therefore can serve as a good diversification tool, especially for investors with insufficient exposure to international markets.

For more stories about South Korea, visit our South Korea category.

Information technology and industrials dominate the EWY large-cap tilted ETF, EWY. There are several ways to get South Korean exposure:

• iShares MSCI South Korea (NYSEArca: EWY): up 66.9% year-to-date

• iShares S&P  Asia 50 Index (NYSEArca: AIA): up 53.3% year-to-date; South Korea is 22.4%

• iShares MSCI Asia ex-Japan Index (NYSEArca: AAXJ): up 59.5% year-to-date; South Korea is 16.6%

India’s economy is forecast to see “definite signs of recovery” in the second half of the current fiscal year, reports The Economic Times. Growth is predicted to be in the 6% to 6.5% range. But there are a number of investors who want to expand their horizons beyond the BRIC countries.

While BRIC countries have been growing and moving, the expansion of other developing nations is widening the choices investors have. For instance, Vietnam, Thailand and Turkey have all gone through growth that is every bit as significant, explains Don Dion for TheStreet.

While the idea of Vietnam or South Korea may appear refreshing if you’re looking for some fresh blood for your portfolio, it’s key to remember that emerging markets entail risk. The best thing to do is watch on the sidelines for the moving averages, then get in slowly. If you enter with a discipline and a sell point, you’ll check your emotions at the door.

As Don Dion for The Street explains, these funds can be volatile, so a small asset allocation to these funds is appropriate if you plan to take a buy-and-hold approach.

The consideration that goes into single-country ETFs is that as an investor, you are subject to politics, social traumas and reforms, and of course, concentration in a particular sector. This re-iterates the need for every investor to brush up and do some research before going in.

A sample of BRIC ETFs, and a couple alternatives:

• iShares MSCI BRIC (NYSEArca: BKF): up 66.9% year-to-date
• Claymore/BNY BRIC (NYSEArca: EEB): up 66.1% year-to-date
• Market Vectors Russia (NYSEArca: RSX): up 104.3% year-to-date
• iShares MSCI South Korea (NYSEArca: EWY): up 67.3% year-to-date
• Market Vectors Vietnam (NYSEArca: VNM): up 10% since Aug. 14 inception
• iShares MSCI Turkey (NYSEArca: TUR): up 84.3% year-to-date
• iShares MSCI Thailand (NYSEArca: THD): up 73.6% year-to-date

For more stories about BRIC ETFs, visit our BRIC category.

South Korea’s faster-than-expected growth in the second quarter has allowed Fitch to raise its rating outlook for the country, while the Central Bank may take steps to raise interest rates, report Yoo Choonsik and Seo Eun-kyung for Reuters. Finance Minister Yoon Jeung-hyun stated that the second-quarter growth is expected to spike 2.7%, the largest in seven years.

The good news about South Korea:

• Fitch was impressed by the country’s strong fundamentals and the ratings firm believes South Korea’s forex credit crunch has eased significantly. Fitch currently has a sovereign rating for South Korea, S&P rates the country A and Moody’s stamps the country with a AA rating. The upgraded outlook should help companies and institutions raise foreign funds at a lower cost.
• China’s growing middle class is becoming a huge target for South Korean exporters, comments Jonathan Thatcher for Reuters. South Korea may not have an edge over China in labor-intensive industries, but it does have a technological lead in products such as flat panel screens, memory chips, autos and mobile phones.
• Trade Minister Kim Jong-hoon believes that S. Korean companies still maintain the upper hand in quality, marketing and after-sales services over those of Chinese firms, and it is these characteristics that will make S. Korea a global competitor.

On the down side, global demand for goods is still lagging and South Korea’s exports in August continued their double-digit annual declines for the 10th consecutive month, writes Yoo Choonsik for Forbes. Exports dropped 20.6% in August from the same month last year, while imports plummeted 32.2% year-over-year, resulting in a trade surplus of only $1.67 billion

• iShares MSCI South Korea Index (EWY): up 54.5% year-to-date

For more information on South Korea, visit our South Korea category.

Max Chen contributed to this article.

The momentum that’s been seen in South Korea’s economic recovery have led economists to adjust their numbers. Evan Ramstad for The Wall Street Journal says that many credit the economic stimulus for the recovery. The stimulus focused on new construction, which created jobs and projects.

Some of the numbers include:

• South Korea’s economy rose a seasonally adjusted 2.3% in the second quarter from the first quarter, the fastest in more than five years. The economy still fell 2.5% year-over-year, reports John Letzing for MarketWatch.
• The Bank of Korea stated that the country’s manufacturing sector climbed 8.2% in the second quarter.
• Services grew 1% as a result of growth in “financial intermediation and wholesale and retail trade sectors.”
• An improved trade balance resulted in South Korea’s second-largest ever current-account surplus, totaling $5.43 billion for June, writes In-Soo Nam for The Wall Street Journal.

• iShares MSCI South Korea Index (EWY): up 49.7% year-to-date

For more information on South Korea, visit our South Korea category.

Max Chen contributed to this article.

Apparently there is a slowdown in the slowdown of South Korea’s exports, which could signal an earlier than anticipated turnaround. Exports from Asia’s fourth-largest economy in the second half of 2009 are expected to slide 8.7% from a year earlier after falling 23.3% for the first half of 2009, reports Cheon Jong-woo for Reuters.

A free-trade deal between South Korea and the European Union may take effect as early as the first half of next year, putting pressure on the United States to ratify a similar accord, reports Heejin Koo for Bloomberg. The goal is to open up markets rather than protecting them during these slow times.

Choe Sang Hun for The New York Times reports that the deal with South Korea would also be the EU’s first with a major Asian economy, and South Korea is the first Asian economy to reach a free trade deal with both the United States and the EU.

• iShares MSCI South Korea Index (EWY): up 34.9% year-to-date

For more stories about South Korea, visit our South Korea category.

Thank electronics maker Samsung, which accounts for a hefty 17.7% of the ETF. Despite a global economic crisis and consumer discretionary spending that’s all but non-existent, Samsung has managed to produce strong earnings. Daniel Indiviglio for The Atlantic seeks to explain how they’ve done it.

• Samsung’s key businesses, such as semiconductors, LCD and mobile phones, have beaten expectations.
• Consumers are still buying technology and they love new gadgets and toys – just look at the iPhone’s success.
• Consumers are still demanding quality in their electronics. While many consumers are going generic for other items, technology is apparently one area where they’re not as willing to settle for less.
• South Korean brands tend to get higher consumer quality ratings than their Japanese counterparts, making it a dominant player in the technology space.

Meanwhile, the Bank of Korea said it will raise interest rates in November to stave off inlfation as the economy rights itself, reports Seyoon Kim for Bloomberg. South Korea cut its benchmark rate to a record-low 2% in February, which helped the economy dodge a recession in the first quarter.

• iShares MSCI South Korea (EWY): up 25.1% year-to-date

For more stories on South Korea, visit our South Korea category.

The newly created iShares Emerging Market Infrastructure Index Fund (EMIF) offers investors even more exposure to emerging markets.  It isn’t the first of its kind, though. PowerShares offers the Emerging Market Infrastructure Portfolio (PXR) but its composure is much different than that of EMIF in that it is broader and holds companies that do business in emerging markets, such as Ingersoll-Rand (IR), states Roger Nusbaum for TheStreet.

As for the newly created EMIF, its industry breakdown favors transportation infrastructure, which makes up 33% of the fund’s assets; electric utilities which makes up 26% of its assets; and energy equipment, which makes up 20% of its assets.  Additionally, it is unique in that 9.1% of its assets are allocated to the following index funds: the iShares MSCI Malaysia (EWM), the iShares MSCI South Korea (EWY) and the iShares MSCI Chile Investable Index (ECH). The reason that EMIF holds the three aforementioned indexes has to do with the ETF creation and redemption process and the three countries don’t allow for so called in-kind transfers, a characteristic of ETFs that makes them tax-efficient.

In regards to exposure to markets, China is the largest at 33%, followed by Brazil at 14%.  It also has ample exposure to Argentina at 9% and the Czech Republic at 7.5%.  Of the 25 stocks held by the ETF, 10 are in Chinese companies. China is also the largest component of PXR at 20.2%, followed by Brazil at 9.3% and South Africa at 8.7%.

Both PXR and EMIF enable investors to take advantage of the affects of China’s massive stimulus package.  Most Chinese ETFs are heavily concentrated on the financial sector and not infrastructure, the big recipients of Chinese investment.

The two other global infrastructure ETFs available are iShares S&P Global Infrastructure (IGF) and SPDR FTSE/Macquarie Global Infrastructure 100 (GII).

For more stories on infrastructure ETFs, visit our infrastructure category.

Kevin Grewal contributed to this article.