CSOP Asset Management has increased the options investment cap for its SK Hynix Daily (2x) Leveraged ETF from 40% to 49% of net asset value as of June 23. The fund, trading under ticker 7709.HK, has surpassed HKD 100 billion (approximately $12.8 billion) in assets, making it the largest single-stock leveraged ETF globally, outranking US competitors like the Direxion Daily Tesla 2x fund.
CSOP’s SK Hynix product aims to deliver 2x the daily performance of SK Hynix common stock, leveraging swaps and now options more extensively. This cap elevation signals a strategic shift from an earlier 25% ceiling, enhancing CSOP's ability to adapt to market fluctuations. The announcement was made on June 21.
CSOP noted that combined expenses from swaps and options could reach up to 40% of NAV annually, with an anticipated tracking difference widening to -0.30%. Since its October 2025 launch at around 7.8 HKD, the fund has established itself as a key player in Asian technology investments, charging a management fee of 1.6%. Although this flexibility supports tactical maneuverability, it underscores the instrument's suitability for short-term investment strategies.