SK Hynix 2x Leveraged ETF Has Fallen About 70% from Its Peak

According to Odaily, South Korean retail investors making leveraged AI bets have suffered massive losses amid a sharp market reversal, exposing the risks of speculative trading frenzy. Losses have been particularly severe for investors holding single-stock leveraged ETFs tied to Samsung Electronics and SK Hynix. Data from KB Financial Group shows that 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 bought about 2 trillion Korean won. Currently, the situation is not looking favorable for them. According to LSEG data, the KODEX SK Hynix Leveraged ETF, which offers 2x long exposure to SK Hynix stock, has fallen about 70% from its peak in June and has dropped approximately 50% cumulatively since its launch.

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)