The fund will be allowed to invest up to 49% of net asset value in options from Tuesday, extending a series of cap increases for the 2x daily SK Hynix product.
CSOP Asset Management Ltd. is raising the options investment cap on its $14.4 billion leveraged ETF tied to SK Hynix to 49% of net asset value from Tuesday, according to Bloomberg. The fund, which targets twice the daily return of SK Hynix shares, previously increased the limit from 25% to 40% in May. The latest change gives the product more room to manage exposure through options, a notable step for a leveraged ETF built to magnify daily moves rather than track long-term performance.