SK Hynix 2x Long ETF Drops Approximately 70% from All-Time High

According to Odaily, retail investors in South Korea who have placed leveraged bets on AI are suffering massive losses amid a sharp market reversal, exposing the risks brought about by speculative trading frenzy. The losses have been particularly severe for investors holding single-stock leveraged ETFs linked to Samsung Electronics and SK Hynix. According to KB Financial Group, since the launch of single-stock leveraged ETFs on May 27, South Korean retail investors have net purchased 14 trillion Korean won (approximately $9.4 billion), while foreign investors have purchased around 2 trillion Korean won. Currently, the situation is not favorable for them. According to LSEG data, the KODEX SK Hynix Leveraged ETF, which offers 2x long exposure to SK Hynix shares, has fallen approximately 70% from its peak in June, and has also declined by about 50% since its inception.

One investor wrote on a South Korean online trading forum: "I want to go back to before I started investing in stocks. Give me my money back." (CNBC)