Amid heightened geopolitical tensions, the iShares MSCI South Korea Capped ETF (NYSEArca: EWY) is lower by more than 7% over the past month. That is a rough performance for the largest South Korea exchange traded fund and the fund experienced losses even after President Trump recently met with North Korean leader Kim Jong Un.

EWY’s recent declines have taken the benchmark South Korea ETF more than 7.5% below its 200-day moving average and nearly 15% below its 52-week high. However, the case for EWY is not lost as South Korea, Asia’s fourth-largest economy, is still on solid economic footing.

Fitch Ratings reaffirmed South Korea’s sovereign debt rating of AA- with a stable outlook.

“Korea’s sovereign ratings balance robust external finances and a strong macroeconomic performance with ongoing geopolitical risk from the relationship with North Korea, and longer-run challenges of rapid population ageing and low productivity,” said Fitch Ratings in a recent note.

South Korea ETF Looks to Tech

The $3.84 billion EWY, which is one of the largest single-country emerging markets ETFs trading in the U.S., turned 18 years old last month. EWY tracks the MSCI Korea 25/50 Index and is usually one of the least volatile country-specific emerging markets ETFs, a reputation that has been betrayed in recent weeks.

Related: Use Country ETFs to Pick, Choose Strong Markets

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