Leverage ETF Assets of 4.9 Trillion Won Fall Far Short of Samsung's 5.8 Trillion Daily Trading Volume, Mirae Asset Says

According to Jung Ui-hyun, head of ETF operations at Mirae Asset Global Investments, in an interview with Herald Business on July 9, claims that single-stock leverage ETFs are a major driver of recent market volatility are overstated. Jung stated that while rebalancing by leverage ETFs can influence volatility to some extent, it is not the primary factor behind recent market swings in Samsung Electronics and SK Hynix stocks, which he attributed to global semiconductor fundamentals and macroeconomic factors including geopolitical tensions and concerns over peak chip earnings. To illustrate the limited impact of leverage ETFs, Jung cited data from July 10 showing Samsung Electronics' daily trading volume reached 5.8 trillion won, while the combined assets under management of seven Samsung-focused single-stock leverage ETFs totaled only 4.9 trillion won—insufficient to materially move such a large-cap stock.
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