A wave of filings for single-stock exchange-traded funds tied to SK Hynix has appeared in U.S. regulatory records as the South Korean chipmaker prepares to commence trading on the Nasdaq.
Regulatory filings show that at least 10 fund managers - among them major issuers Direxion and ProShares - have submitted registrations to list ETFs that reference SK Hynix’s American Depositary Receipts. Almost all of those filings are for leveraged or inverse strategies designed to track the Nasdaq-listed ADRs of the Korean semiconductor company.
SK Hynix is scheduled to begin trading on the Nasdaq on Friday after completing a $26.5 billion capital raise this week. Fund managers appear to be timing product launches to coincide with the stock’s U.S. market debut.
Specific filings and press releases highlight a mix of short and leveraged approaches. ThemesETFs said it plans to list a 2x leveraged ETF and a 1x short ETF on the Cboe exchange on July 13 under its Leverage Shares brand, according to a press release. CorgiFunds has filed to list a 2x leveraged SK Hynix ETF on the Cboe BZX Exchange, and said the fund is scheduled to begin trading the same day in a press release.
Direxion, another established leveraged ETF issuer, is seeking to list a 2x leveraged SK Hynix ETF and said the fund will "begin trading shortly after SK Hynix’s ADR lists on Nasdaq," in a press release.
Observers have pointed to precedents in Korea where leveraged products linked to SK Hynix shares were cited as a factor that distorted activity in the Seoul market. The head of the country’s market regulator has publicly said he regretted approving those leveraged funds, according to the filings and statements cited.
The cluster of new U.S. ETF filings underscores a rapid response from product issuers to a high-profile cross-listing event. The filings are concentrated in leveraged and inverse strategies rather than plain-vanilla single-stock ETFs, and issuers have provided specific listing timelines tied to the ADR’s Nasdaq debut.
Summary - At least 10 fund managers, including Direxion and ProShares, have filed to list single-stock ETFs tracking SK Hynix ADRs. Most filings are for leveraged or inverse ETFs, timed around SK Hynix’s Nasdaq listing after a $26.5 billion raise.