Day traders are abandoning S. Korean chip leveraged ETFs in droves


Dealers walk past an electronic board showing the Korea Composite Stock Price Index (KOSPI) at a dealing room of a bank in Seoul. March 13, 2020. REUTERS/Kim Hong-Ji/File photo

SEOUL: An onerous mock trading course is becoming an effective tool for South Korea to cool investor fervour over risky products that have turned the country’s US$4.3 trillion stock market extremely volatile.

Leveraged exchange-traded funds (ETFs) targeting twice the daily returns of chipmakers Samsung Electronics Co and SK Hynix Inc have seen their trading value collapse to 4% of its June peak and are set for their first monthly outflow.

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Korea , Kospi , ETF , equity , AI , tech

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