SK Hynix 15.37% plunged, Samsung Electronics 10.70% fell… the semiconductor ETF dropped by -30% in a day
7On 13day of the month, SK Hynix fell by 15.37% and Samsung Electronics by 10.70%, leading the index’s sharp drop. The leveraged semiconductor ETF fell by about 30%, and brokerages said SK Hynix’s 2quarter operating profit would fall short of market expectations.
7On 13day of the month, SK Hynix fell by 15.37%. Samsung Electronics also declined by 10.70%. As the two pillars of the Korean stock market both weakened at once, the mood in the market turned icy that day.
The blow did not end there. The leveraged ETF betting on semiconductors, a product that magnifies gains and losses by investing several times the principal, evaporated by about 30% in a single day. The amount of seed money shrank by more than twice the stock’s decline.
Behind the plunge was a brokerage report. Mirae Asset Securities and Korea Investment & Securities said that SK Hynix’s 2quarter operating profit would fall below market expectations. As worries over earnings were immediately reflected in the stock price, it led to a broad revision of investment indicators.
Even in a sharp sell-off, new money still moves.
Samsung Active Asset Management said it will list the "KoAct Optical Communications & Satellite Network" ETF on 7. It is a product that holds stocks related to optical communications and satellite networks.14.
Mirae Asset Life Insurance is also expanding its variable fund lineup, an insurance product whose returns vary depending on the investment performance of fund subscribers. It will immediately apply the revised portfolio by adding semiconductor ETFs from Korea, the U.S., and China 3types.
As large-cap blue chips with the highest market capitalizations posted loss after loss, price swings in related products also grew larger. It was a day when companies and asset managers informed investors of the situation through disclosures and reports.