Samsung, SK Hynix Leverage ETF Trading Hits 12 Trillion Won Amid Stock Selloff on July 14

According to Edaily, trading in Samsung Electronics and SK Hynix single-stock leverage ETFs surged to 12 trillion won on July 14, even as the underlying shares plummeted and related products hit record lows. The 14 leverage ETF products tracking a 2x gain on the stocks accounted for 25.72% of total ETF trading that day. When including 2 inverse ETFs, 16 related products generated 18.3 trillion won in combined trades, representing 39% of all ETF trading. The surge reflects investors betting on a short-term rebound despite steep losses in the semiconductor mega-cap stocks.

South Korea's Financial Investment Association held an emergency meeting on July 14 to discuss self-regulatory measures, including enhanced investor education, higher minimum deposit requirements, and improved liquidity provider functions.