SK Hynix’s American Depositary Receipt barely had time to settle into its Nasdaq seat before Wall Street’s ETF machine kicked into overdrive. The South Korean memory chipmaker started trading under the ticker SKHY around July 10, and by July 14, GraniteShares had already rolled out leveraged products tied to the stock.
The leveraged ETF blitz
GraniteShares launched the first US-listed single-stock leveraged ETFs on SK Hynix, offering both a 2x long fund (ticker SKUU) and a -2x short fund (SKDD). SKUU aims to deliver twice the daily return of the SK Hynix ADR, while SKDD does the exact opposite, doubling down on daily declines.
ProShares followed with its own entry, SKHU, targeting the same 200% daily leverage on SKHY. Direxion, another heavyweight in the leveraged ETF space, has also entered the fray.
Why SK Hynix, why now
