Hedge Funds Triple Net Allocation to South Korea Stocks to 6.7% as Retail Adds $1.56 Billion to Leveraged SK Hynix ETF
Hedge funds and retail investors are increasing exposure to South Korean equities, with hedge fund net allocation to the market rising to 6.7% of total global market value, the highest in at least five years and more than tripled in less than 12 months. Gross allocation reached 3.3%, also a five-year high, while the SK Hynix 2x Leveraged ETF drew $1.56 billion of year-to-date inflows, the largest for any single-stock leveraged ETF globally.
The fresh positioning extends a rally that pushed South Korea past India to become the world’s sixth-largest equity market with capitalization above $5 trillion. Earlier this week the KOSPI crossed 8,750 for the first time and was up 106% in 2026, with gains driven by chip heavyweights tied to the AI buildout such as SK Hynix and Samsung; hedge fund exposure reflects a surge in long positions with minimal short positions to offset them.
From the sources (7 posts)
@bulltheoryioBREAKING: South Korea’s KOSPI hit new all-time high and crossed 8,750 for the first time in HISTORY. The index is now up +106% in 2026, adding ₩3,150,000,000,000,000 ($2.3 TRILLION) in market value.
@charliebilelloSouth Korean stocks have more than quadrupled over the last 17 months, trouncing every other country. The reason? 2 South Korean companies in the AI memory space, both of which now have a market cap above $1 trillion: SK Hynix & Samsung.
@zerohedgeKorea up only 4% today. The Kospi has doubled in 2026
@businessSouth Korea’s equity market has overtaken India’s as the world’s sixth largest, driven by a relentless surge in chip heavyweights powering the global AI buildout
@jukan05Just in: Korea’s stock market capitalization has surpassed $5 trillion. Korea has overtaken India to become the world’s sixth-largest stock market.
@globalmktobserv⚠️South Korean retail investors are piling into leveraged bets at a record pace: The SK Hynix 2x Leveraged ETF has attracted +$1.56 billion in year-to-date inflows, the largest of any single-stock leveraged ETF globally. TAP IMAGE TO SEE
@globalmktobserv🚨Hedge funds are rapidly CHASING South Korean stocks: Hedge fund net allocation to Korea equity market is up to 6.7% of total global market value, the highest in at least 5 years. This figure has more than TRIPLED in less than 12 months.