South Korea will welcome a Stock Leveraged ETF next week, with the first batch tracking Samsung and SK Hynix.

BlockBeats News, May 24th, South Korea will launch the first batch of individual stock leveraged ETFs next week, tied to chip manufacturers Samsung Electronics and SK Hynix, aiming to achieve twice the daily returns of the underlying stocks. Analysts expect these ETFs to attract strong demand from over 14 million retail investors in South Korea. However, against the backdrop of intra-day fluctuations in the KOSPI index reaching 5%, this enthusiasm may further intensify market volatility. The CEO of Singapore Fibonacci Asset Management stated, "These ETFs will exacerbate the existing concentration risk, posing a structural challenge for long-term investors as index volatility continues to remain high, making it difficult to navigate the Korean market."

Daewoo Future Asset analyst Yoon Jaehong expects that the net inflow of funds into the leveraged ETFs betting on Samsung Electronics or SK Hynix, expected to be listed at the end of May, could reach as high as 5.3 trillion Korean won. He noted that in the first two months of this year, the number of investors who completed mandatory online training before investing in leveraged products reached 300,000, exceeding the total for the entire 2025 year. (Jin10)