ProShares Launches 2x Leveraged Long ETF on Innolight, Expected to List on U.S. Markets in Two Months
N.R. Finch
ProShares has filed with the SEC for a 2× leveraged long ETF tracking Zhongji Innolight, expected to list in about two months. This means → Innolight is evolving from a domestic A-share heavyweight into a multi-market anchor, with offshore leveraged capital about to enter.
How does this ETF actually work?
The fund, named "ProShares Ultra ZhongjiInnolight," targets 2× the daily return of Zhongji Innolight's stock price.
In plain terms = if Innolight rises 10% in a day, the fund aims for roughly 20%; if it falls 10%, losses are roughly 20% — leverage amplifies both directions.
The fund rebalances daily using net asset value (NAV) as the cycle, investing at least 80% of assets in instruments that replicate the 2× target.
Retail investors cannot subscribe directly — they must buy and sell on the secondary market through a broker.
What is A-share capital doing?
On June 11, Innolight's margin buying hit RMB 4.77 billion — the highest of any stock in the market. Eoptolink (RMB 4.72 billion) and BOE (RMB 3.00 billion) followed.
On June 12's morning session, the stock opened nearly 5% higher and turnover quickly exceeded RMB 10 billion.
This reflects A-share leveraged money front-running the event — Innolight is now the single largest constituent of the CSI 300 and the top holding across multiple ETF funds.
Who is paying the bills?
Bloomberg data shows Alphabet is Innolight's largest customer at roughly 22% of total revenue; Amazon accounts for 11%; Meta Platforms for 6.4%.
Domestically, Huawei contributes about 5% and Alibaba about 1.9%.
This means → the revenue mix is tightly tied to offshore hyperscaler capex cycles. A U.S.-listed leveraged product is essentially amplifying that transmission chain.
Can the fundamentals support this?
TF Securities analyst Wang Yihong argues that rising compute demand and expanding hyperscaler capex mean Innolight stands to keep benefiting, with R&D and delivery capabilities in the industry's top tier.
Shanxi Securities notes that in the Scaleup — next-generation data-center interconnect — segment, Innolight holds silicon-photonics R&D barriers, ecosystem positioning, and deep CSP client lock-in.
NPO and XPO products may reach scale ahead of the CPO route — put simply = the technology path the company is betting on could pay off faster than the market's baseline expects.
How far along is the multi-market push?
Innolight announced in November 2025 that management was authorized to begin preparations for an H-share offering and Hong Kong listing.
Combined with the U.S. leveraged-ETF filing, the company is moving from a single A-share listing toward an A-share + Hong Kong + U.S. derivatives multi-market anchor.
This means → offshore institutions will soon be able to hold equity directly via Hong Kong and add leverage via U.S. ETFs — pricing power is decentralizing.
Content is for reference only, not financial advice.