With many markets around the world still on the rise, you may be able to grab some quick profits by taking a stake in an exchange-traded fund (ETF) that features a strongly performing anchor stock. The iShares MSCI South Korea Index Fund (EWY) tracks the performance of the high-flying South Korean stock market. Indeed, the market recently has been hitting highs for the year and its outlook should only be strengthened by South Korean electronics behemoth Samsung providing guidance yesterday that it anticipates a seven-fold jump in first-quarter operating profits. The stock comprised roughly 18% of the fund’s holdings at the end of February.

Samsung announced that it expects its first quarter operating profit to reach 4.3 trillion won, up from 590 billion won for the same time a year ago, due largely to rising prices for computer chips. Samsung is the world’s largest manufacturer of computer chips and flat-panel screens, as well as the second-largest producer of cell phones. Samsung’s momentum likely will continue for the next two quarters, one industry analyst predicted.

I am not convinced that the current bullish market conditions will last that long, but it is clear that the biggest holding in EWY looks to have a brisk tailwind in the form of rising computer chip prices to propel it forward during the next quarter. The Samsung announcement certainly caught my attention, since the company’s semiconductor business that builds its computer chips actually lost money during the first quarter last year.

However, the fund only jumped .50% on the news Tuesday and it pulled back more than 1% to hit $51.61 today at 11 a.m. EDT, giving you what may be a short-term opportunity to pick up shares at a slight bargain. Another factor in your favor is that stocks traditionally rise in the spring.

Let there be no doubt that EWY has been on a sustained upturn. The fund soared 70.36% last year. It had risen an additional 6.78% so far this year through April 6, after recovering from a February pullback.

With a population of around 49 million -- about the size of Italy -- South Korea is an electronics and information technology leader. South Korean companies such as Samsung are known for cutting-edge technology, trendy mobile phones and flat-screen TVs. The country now ranks as the world’s 10th-largest economy, and its per capita annual income grew from US$87 in 1962 to US$24,800 today.

EWY is not among my current picks but I am intrigued by its short-term prospects. Although a strong argument could be made that the markets have run up too quickly and may be ripe for a retreat, not much evidence is mounting yet that a sizable plunge is imminent. The market always climbs a wall of worry, so stay cautious with any new allocation and be ready to sell if you think the current rally is about to fizzle out.

If you want advice about buying and selling specific ETFs, including appropriate stop losses, please sign up for my ETF Trader service. As always, I am glad to answer your questions about ETFs, so do not hesitate to email me. You may see your question answered in a future ETF Talk.