The largest US-listed South Korea exchange-traded fund, EWJ, experienced a record inflow as investors sought exposure to SK Hynix Inc. This surge in investment is occurring because investors are using the ETF as a proxy for the chipmaker.

This strategy has gained traction due to the significant premium at which SK Hynix's new American depositary receipts (ADRs) are trading compared to its local shares. Investors are finding it more accessible and potentially more cost-effective to gain indirect exposure through the ETF rather than directly purchasing the ADRs at their inflated price.

The substantial premium on the ADRs suggests strong demand for the chipmaker's U.S.-listed securities, but the ETF's record inflow indicates that many are opting for a more diversified or accessible route to participate in SK Hynix's performance. This trend highlights a specific market dynamic influenced by the availability and pricing of international equities.