South Korean high-net-worth investors offloaded KRW 14.83 billion worth of Samsung and SK Hynix shares, pivoting to semiconductor leveraged ETFs.

BlockBeats news, October 26 - Approximately 7,900 high-net-worth investors in South Korea with financial assets exceeding 3 billion Korean won net sold Samsung Electronics and SK Hynix stocks from October 1 to 20, amounting to 5.59 billion Korean won and 9.24 billion Korean won respectively, totaling 14.83 billion Korean won (approximately $11.2 million).

Meanwhile, funds shifted to leveraged ETFs. The KODEX Semiconductor Leverage ETF received net purchases of 33.2 billion Korean won during the same period, while the KODEX Leverage ETF and KODEX 200 received net purchases of 22.5 billion Korean won and 10.5 billion Korean won respectively; the inverse double leveraged ETF tracking the KOSPI 200 index saw net selling of 8 billion Korean won.

Data shows that the relevant investors have not completely withdrawn from semiconductors and the South Korean stock market, but rather shifted from directly holding chip leaders to betting on sector and broad market gains through leveraged ETFs. However, the mechanism of leveraged ETFs tracking daily returns may amplify losses in volatile markets, and investors face higher drawdown risks.