Korean individual stock leveraged ETFs ignite the market.

On the 27th, South Korea launched its first individual stock leveraged ETF. A total of 16 ETFs, with 2 times leverage and inverse leverage linked to Samsung Electronics and SK Hynix, were listed on the South Korean stock market. With a large influx of leveraged funds, the South Korean stock market experienced intensified fluctuations this week, showing a roller coaster trend. Data shows that on the first day of listing, the total assets under management reached 4.3 trillion South Korean won. By the close of the 28th, this number further climbed to 5.02 trillion South Korean won, equivalent to approximately 225 billion Chinese yuan. Such individual stock leveraged ETFs were previously strictly prohibited in South Korea. Now, upon their introduction, they have attracted a large number of retail investors to participate enthusiastically. Industry insiders analyze that the leverage frenzy in the South Korean stock market is a violent collision between the booming demand for AI computing power and financial speculation sentiment. While investors are seeking amplified returns, they should also be highly vigilant of the hidden additive risks behind high leverage.