CSOP SK Hynix Daily 2x Leveraged ETF attracted nearly $1.6 billion in inflows in 2026, becoming the top-performing leveraged fund globally and outpacing products tied to Tesla and Microsoft, according to Bloomberg Markets. This surge highlights persistent retail bets on the South Korean AI chipmaker following its steep selloff. The Hong Kong-listed ETF, which seeks two times daily performance of SK Hynix shares, now holds $2.5 billion in assets since its October launch, signaling strong demand for leveraged exposure to the memory chip leader.

Investors' enthusiasm appears driven by SK Hynix's valuation edge, trading at just 4.4 times forward earnings compared to 18 times for the Philadelphia Stock Exchange Semiconductor Index. This relative affordability, combined with the company's pivotal role in the AI supply chain, has fueled robust inflows even amid geopolitical tensions like the Iran war, which initially triggered sharp swings in the stock. The crowded trade in chipmaker stocks had previously faced concerns over spending plans and stretched valuations, but the conflict and Google's TurboQuant development have since reshaped market dynamics.

The ETF's popularity has spurred regulatory shifts, with Korean regulators reportedly planning to launch the country's first domestically-listed leveraged ETFs tied to both SK Hynix and Samsung Electronics Co. as early as May. This move follows earlier bans on single-stock leveraged products due to their risks, as domestic investors increasingly flock to offshore offerings like the CSOP fund. Differences in currency exposure and arbitrage opportunities between Hong Kong and Korea could further amplify demand, according to Bloomberg Intelligence analyst Rebecca Sin.