Business & Finance
Rotation From Leveraged ETFs Fuel 30% Jump in Korea Small Caps
Key Points
Rotation From Leveraged ETFs Fuel 30% Jump in Korea Small Caps South Korea’s small-cap stocks are regaining investor interest after lagging larger peers for much of the year, as restrictions on leveraged exchanged-traded funds tracking heavyweight chipmakers shift money toward Kosdaq names. The Kosdaq index jumped as much as 6.8% on Monday, taking gains from its July 30 trough to more than 30%. The Korea Exchange briefly halted program buying for the gauge as Kosdaq futures surged, the third...
Rotation From Leveraged ETFs Fuel 30% Jump in Korea Small Caps
South Korea’s small-cap stocks are regaining investor interest after lagging larger peers for much of the year, as restrictions on leveraged exchanged-traded funds tracking heavyweight chipmakers shift money toward Kosdaq names.
The Kosdaq index jumped as much as 6.8% on Monday, taking gains from its July 30 trough to more than 30%. The Korea Exchange briefly halted program buying for the gauge as Kosdaq futures surged, the third such intervention this month.