Micron Technology Office, San Jose, California, December 16, 2025.
David Paul Morris | Bloomberg | Getty Images
A new ETF looks to take advantage of Micron’s volatility – just in time
After achieving great success, Round Hill Memory ETF (DRAM) – A fund that has raised more than $22 billion in less than three months and more than doubled in value since its debut in April – Asset manager Round Hill Investments launched a new offering on Wednesday, alongside REXShares and Tuttle Capital Management. Round Hill T-REX 2X Long DRAM Daily Target ETF (RAM) is a 2x leveraged version of DRAM and began trading at approximately $24 per share.
This launch isn’t just about capitalizing on popularity. micron technology This is not only due to the popularity of stocks and options with investors after a 700% rise in a year, but also the increased popularity of leveraged funds and the overall comfort of traders, if not their preference for the volatile products associated with the artificial intelligence boom.
Micron Technology in the Past 12 Months
Micron is scheduled to report earnings Wednesday night, but you’d be hard-pressed to find an investor who doesn’t have some form of exposure to this stock.
It is currently the fourth-largest holding in a fortune of $73 billion. VanEck Semiconductor ETF (SMH)which accounts for 28% of the DRAM ETF and 8% of the approximately $30 billion in leveraged funds. Direxion Daily Semiconductor Bull 3X ETF (SOXL). The company is among the top 10 companies on the S&P 500. Micron, which has a market capitalization of just under $1.2 trillion, regularly trades billions of dollars in options a day, with $1.4 billion already traded on Wednesday.
“For the next 48 hours, the market and Micron are essentially the same,” said Zed Francis, chief information officer at Chicago-based Convexitas, which runs semiconductor options strategies.
Leveraged ETFs are the most popular ETFs targeting the tech companies that have been driving the bull market, regularly delivering more than $20 billion in daily rebalancing flows, according to Barclays’ Equity Tactical Strategy analysis.
This could exacerbate market volatility surrounding big events such as Micron’s earnings, where traders are currently predicting a 10% swing. The stock’s implied volatility is 111, the highest in the S&P 500, tied with Memory Peer. sandisk.
“Sometimes it’s better to be lucky than to be lucky, but on the day we release Micron’s report, this is the most important earnings report the entire market has seen in a while,” Round Hill CEO Dave Mazza said by phone.
There is also the Korean stock market, where memory manufacturers SK Hynix and Samsung account for about 40% of the market capitalization. Volatility 92 is relatively cheap. iShares MSCI Korea ETF (EWY).
On Wednesday morning, one of the fund’s traders made a bullish “risk reversal” trade. They sold $1.2 million worth of 170-strike EWY puts expiring on July 17, then bought $700,000 worth of 240-strike calls, betting on a 23% rise to that date.
