Samsung KODEX SK Hynix Leverage ETF Plunges 45% as $3.4 Billion Korea Chip Bets Sour
Updated
Updated · Bloomberg · Jul 14
Samsung KODEX SK Hynix Leverage ETF Plunges 45% as $3.4 Billion Korea Chip Bets Sour
1 articles · Updated · Bloomberg · Jul 14
Summary
More than a dozen leveraged ETFs tied to Samsung Electronics and SK Hynix have nearly halved since listing in late May, exposing South Korea’s retail investors to sharp losses.
The biggest fund — SAMSUNG KODEX SK Hynix Single Stock Leverage, with $3.4 billion under management — has dropped about 45% since debut.
That ETF is down more than 60% from its June peak, showing how quickly amplified single-stock bets reversed as chip trades turned against buyers.
The slide highlights the risks of a new wave of leveraged products in Korea, where retail investors have embraced high-octane tools to chase outsized returns.