Southern 2x Leveraged Samsung Electronics (07747) dropped more than 14% on Monday, trading at HK$76 with turnover reaching HK$96.186 million. The sharp decline follows Samsung Electronics' share price falling over 7% at the open of the Korean stock market this morning.

On Friday, Samsung Electronics announced plans to return up to KRW 110 trillion (approximately US$80 billion) to shareholders this year, with KRW 30 trillion earmarked for cash dividends in the third quarter. The remaining details of the return package are scheduled to be finalized at a board meeting in January.

According to J.P. Morgan analyst Jay Kwon, the market's disappointment stems from several specific factors: the amount committed for the third quarter, the absence of any share buyback program, and the decision to maintain the shareholder return ratio at 50% of cumulative free cash flow. Kwon noted, "It remains unclear why Samsung management chose dividends over buybacks, as we believe many investors would prefer share repurchases, viewing them as a more efficient method of capital return."