U.S. SEC Delays SK Hynix ADR 2X Leveraged ETF Launch to July 14

SKHYV-0.98%
According to Maeil Business Newspaper, the U.S. Securities and Exchange Commission (SEC) delayed the launch of SK Hynix ADR 2X leveraged exchange-traded funds (ETFs) from July 13 to July 14 on July 13. The SEC instructed stock exchanges to begin trading in SK Hynix ADR leveraged and inverse ETFs on July 14 instead, with pre-market trading commencing that morning. While the SEC has not publicly disclosed its reasoning, the move is understood to reflect concerns about leveraged ETFs amplifying volatility in newly listed stocks, as these products require additional rebalancing trades to maintain target leverage ratios.
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