US leveraged semiconductor ETF assets fall $63 billion from June peak
Assets under management dropped to $100 billion, the lowest since late April, in a 39% drawdown described as the biggest unwind since April.
Fact Check
The originating source (@KobeissiLetter post) matches the claim's figures exactly: -$63 billion decline from the June peak, AUM of $100 billion (lowest since late April), and a -39% drawdown described as the largest since April 2025. The independent Goldman-flows-based Substack analysis corroborates both the ~$63bn semiconductor figure and the 39% wipeout. The two sources are mutually consistent, supporting the claim.
Summary
A sharp deleveraging move is hitting U.S. leveraged semiconductor ETFs, with assets under management falling by $63 billion from their June peak to $100 billion. The drop leaves the group at its lowest level since late April and amounts to a 39% decline, the largest drawdown since April. Leveraged ETFs (funds that use borrowed exposure to amplify daily moves) often see rapid inflows and outflows when traders cut risk, making asset swings a useful gauge of sentiment around a high-volatility sector such as semiconductors.
Terms & Concepts
- leveraged ETFs: Funds using leverage to amplify daily market moves.
- assets under management: The total market value of assets a fund oversees.