The government and the ruling party are weighing tighter rules for single-stock leveraged exchange-traded funds (ETFs) linked to Samsung Electronics and SK hynix after the products came under fire for exacerbating volatility in the domestic stock market, according to industry officials Thursday. With regulators signaling plans to strengthen investor protection and safeguard market stability, policymakers are expected to consider tightening investor eligibility requirements, lowering leverage limits, restricting approvals for new single-stock leveraged ETFs and strengthening oversight of fund size and rebalancing practices. Heightened market volatility since the high-risk products were introduced is reflected in market data. The KOSPI 200 Volatility Index, or VKOSPI, stood at 70.7 on May 27, when 14 leveraged ETFs and two inverse ETFs tracking the two major chipmakers, which together account for more than half of the KOSPI's market capitalization, began trading simultaneously. It had risen to 93.8 by June 30, exceeding the previous high of 89.3 reached during the 2008 global financial cr