Average Daily Volume
229.6K
Fund Overview
The Direxion Daily South Korea Bull 3X Shares (KORU) is a leveraged ETF designed to deliver three times the daily performance of the MSCI Korea 25/50 Index. This ETF is primarily aimed at traders and investors looking for short-term exposure to South Korean equities with amplified returns. The MSCI Korea 25/50 Index includes large and mid-cap companies across various sectors in South Korea, such as technology, consumer goods, and financial services. KORU uses financial derivatives and other instruments to achieve its leveraged objective, making it suitable for those who understand the risks associated with leveraged products. Due to its daily reset mechanism, KORU is not intended for long-term holding and is best suited for active traders.
- Asset Class
-
Equity
- Industry
-
N/A
- Annual Dividend Rate
-
- Smart Beta
-
No
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- N/A
- Currency Hedged
-
No
- Portfolio Turnover
-
82 %
- Dividend Date
-
Why Invest in the KORU ETF?
Potential Benefits
- Offers 3x daily leveraged exposure to South Korean equities, providing potential for amplified short-term gains.
- Provides a convenient way to gain targeted exposure to the South Korean market without direct stock picking.
- Liquidity is generally high, making it easier to enter and exit positions.
- Can be used for hedging or tactical trading strategies by experienced investors.
Potential Risks
- Leveraged ETFs like KORU are highly volatile and can lead to significant losses, especially in volatile markets.
- Daily reset mechanism means performance can diverge significantly from the underlying index over longer periods.
- High expense ratio compared to non-leveraged ETFs, which can erode returns over time.
- Not suitable for buy-and-hold investors due to compounding effects and decay in sideways markets.
- Exposure to geopolitical risks specific to South Korea, such as tensions with North Korea.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+91.6%
|
+81.1%
|
-54.9%
|
+106.9%
|
+85.4%
|
-28.3%
|
-61.6%
|
+39.8%
|
-4.5%
|
+4.9%
|
-
|
-
|
| 2025 |
+16.2%
|
+1.6%
|
-6.3%
|
+7.2%
|
+22.5%
|
+61.6%
|
+2.1%
|
-4.3%
|
+33.7%
|
+71.3%
|
-20.7%
|
+27.9%
|
| 2024 |
-27.0%
|
+22.3%
|
+12.8%
|
-19.4%
|
-5.7%
|
+18.0%
|
-0.1%
|
-8.6%
|
-10.0%
|
-19.2%
|
-14.0%
|
-26.7%
|
| 2023 |
+37.9%
|
-23.6%
|
+11.6%
|
-4.2%
|
+8.5%
|
+1.0%
|
+18.8%
|
-22.9%
|
-17.4%
|
-20.8%
|
+45.9%
|
+19.1%
|
| 2022 |
-21.0%
|
-0.7%
|
-8.0%
|
-19.4%
|
+4.3%
|
-39.5%
|
+10.5%
|
-13.8%
|
-46.8%
|
+27.4%
|
+54.6%
|
-18.6%
|
| 2021 |
+4.0%
|
-2.1%
|
+4.0%
|
+1.9%
|
+3.2%
|
+3.3%
|
-14.3%
|
-8.1%
|
-20.7%
|
-5.1%
|
-14.7%
|
+13.7%
|
| 2020 |
-22.2%
|
-16.0%
|
-55.5%
|
+25.3%
|
+8.9%
|
+17.0%
|
+16.1%
|
+12.6%
|
+10.4%
|
-4.1%
|
+61.6%
|
+43.4%
|
| 2019 |
+30.3%
|
-9.3%
|
-10.4%
|
+1.4%
|
-27.7%
|
+23.7%
|
-22.0%
|
-12.7%
|
+16.4%
|
+13.1%
|
-3.6%
|
+27.1%
|
| 2018 |
+12.5%
|
-24.6%
|
+11.3%
|
-0.8%
|
-13.0%
|
-19.8%
|
-3.2%
|
-1.7%
|
+3.4%
|
-39.6%
|
+10.4%
|
-6.6%
|
| 2017 |
+25.0%
|
+5.3%
|
+14.8%
|
+0.2%
|
+28.0%
|
-0.4%
|
+7.4%
|
-5.8%
|
+1.5%
|
+25.0%
|
0.0%
|
+7.8%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
|
EWY
|
ISHARES MSCI SOUTH KOREA ETF |
79.4 % |
Top 10 holdings shown, out of 2 total holdings.
Related ETFs: KORU vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
KORU seeks to deliver three times the daily performance of the MSCI Korea 25/50 Index by using swaps, futures, and other derivative instruments. The index is market-cap weighted and includes large and mid-cap South Korean companies. The fund rebalances daily to maintain its leveraged exposure, which means it resets its positions at the end of each trading day. This daily reset can lead to performance drift over longer periods, especially in volatile or trending markets. KORU primarily holds derivatives rather than the underlying stocks, which introduces counterparty risk.
Frequently Asked Questions
Is KORU suitable for long-term investing?
No, KORU is designed for short-term trading due to its daily reset mechanism, which can lead to significant performance drift over longer periods.
What index does KORU track?
KORU seeks to deliver three times the daily performance of the MSCI Korea 25/50 Index, which includes large and mid-cap South Korean companies.
How does KORU achieve its leveraged exposure?
KORU uses derivatives such as swaps and futures to amplify its returns, rather than holding the underlying stocks directly.
What are the main risks of investing in KORU?
Key risks include high volatility, daily reset-related performance drift, high expenses, and counterparty risk from derivatives.
Industry Overview
The Direxion Daily South Korea Bull 3X Shares (KORU) provides leveraged exposure to the South Korean equity market, which is dominated by sectors like technology (e.g., Samsung, SK Hynix), automotive (e.g., Hyundai), and consumer goods. South Korea is known for its export-driven economy and innovation in semiconductors and electronics. Investing in KORU allows traders to capitalize on short-term movements in this dynamic market, but it requires careful risk management due to its leveraged nature. The ETF is part of a broader category of leveraged and inverse products designed for tactical trading rather than long-term investment.
Alternative Comparison
Compared to non-leveraged South Korea ETFs like EWY (iShares MSCI South Korea ETF) or KF (VanEck Vectors South Korea ETF), KORU offers amplified returns but comes with higher risk and costs. EWY, for example, provides straightforward exposure to South Korean equities with a lower expense ratio, making it more suitable for long-term investors. KORU, on the other hand, is designed for short-term traders who can actively manage their positions. Unlike EWY, which holds physical stocks, KORU relies on derivatives, adding complexity and potential risks.
Issuer Overview
Direxion is a well-known issuer of leveraged and inverse ETFs, specializing in products designed for short-term trading. The firm offers a range of ETFs that provide amplified exposure to various markets, sectors, and themes. Direxion's products are popular among active traders and institutional investors seeking to magnify returns or hedge positions. However, their ETFs are generally not recommended for long-term investors due to the risks associated with leverage and daily resets.
Conclusion
KORU is a specialized leveraged ETF designed for traders seeking short-term, amplified exposure to South Korean equities. While it offers the potential for significant gains, it also carries substantial risks, including volatility decay and high expenses. Investors should thoroughly understand the mechanics of leveraged ETFs and use KORU only as part of a disciplined trading strategy. Long-term investors may prefer non-leveraged alternatives like EWY or KF for more stable exposure to the South Korean market.
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