Jim O'Neill, chairman of Goldman Sachs Asset Management and creator in 2003 of the term BRIC economies, referring to Brazil, Russia, India and China, now says he sees the rise of the MIKT economies, referring to Mexico, Indonesia, Korea and Turkey.
O'Neill said he was adding these four countries to his list of growth economies that could prosper despite whatever happens in advanced countries.
O'Neill has already included Korea's economic potential in his list of the "Next Eleven," a class of countries that are forecast to emerge as the new axis of the global economy.
Investors have injected a great amount of money into BRICs since 2007, when investment in emerging markets was booming.
However, local investors have been withdrawing funds amounting to around 3 trillion won ($2.6 billion) from the BRICs this year.
However, market analysts believe that BRICs will regain growth momentum among investors next year and MIKT countries will also benefit from increased investment.
"These four countries are the ones that have shown a robust performance in the stock market this year and their economic fundamentals are considered strong," said Kwak Byung-ryul, an investment strategist at Eugene Investment & Securities.
"However, I am not sure whether they will outpace the BRICs. I feel like those new growth economies are junior versions of the big economies. For example, Korea is a little China and Mexico is a small version of the U.S.," he explained.
Meanwhile, O'Neill predicted next year will become the "Year of the USA" with a possible rise of 20 percent in the stock market because of improving growth and falling unemployment.
And if the U.S. economy is normalized next year as forecast, it will eventually boost the Korean economy as well as the domestic stock market, analysts explained.
"One of the major reasons that the local stock market is able to maintain an uptrend is the rapid recovery of the U.S. economy," said Lee Jae-man, an equity analyst with Tong Yang Securities.
By Jung Jae-yoon (Korea JongAng Daily)