KESG

KraneShares MSCI China ESG Leaders ETF

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Investment Strategy:

KESG seeks to track the MSCI China ESG Leaders 10/40 Index, designed to provide exposure to companies with high Environmental, Social and Governance (ESG) ratings relative to their sector peers. The Index consists of large and mid-cap companies in China. In order to ensure diversification, the Index limits individual constituent weights to 10% and sector weights to 40% of its composition.

China’s ESG Highlights:

  • Chinese domestic investors and issuers are moving fast to incorporate ESG considerations in their decision making, driven by strong regulatory initiatives to promote ESG practices and disclosures.
  • China’s commitment to stricter environmental mandates and conservation efforts is necessary to achieve national goals of sustained economic growth. Consequently, China now is the world leader in total renewable energy capacity, at approximately 31% of total global capacity1.
  • China’s economic and technological transformation drives demand for a more educated workforce. In recent years, many Chinese companies in knowledge-intensive sectors have improved their talent programs, which has in turn upgraded their MSCI ESG Rating.
  • Greater inclusion of China’s capital markets internationally creates more of an incentive to align shareholder rights and governance policies with global standards, paving the way for Chinese companies to develop a more diversified shareholder structure.

KESG Features:

  • MSCI China ESG Leaders 10/40 Index inclusion criteria has a track record of effectively identifying growth companies within China’s new economy.
  • As companies with high ESG scores have proven to consistently outperform their peers in China, investors do not necessarily have to compromise returns for investing based on beliefs.
  • Benchmarked to an MSCI ESG Index: MSCI is the #1 index provider for ESG, Socially Responsible Investment (SRI), and Corporate governance indexes according to a 2018 survey of 1,300 participants conducted by SRI Connect and Extel.

1. REN21’s Renewables 2019 Global Status Report (GSR)

Fund Details

Data as of 10/20/2020
TickerKESG
Primary ExchangeNYSE
CUSIP500767660
ISINUS5007676605
Net Assets$2,761,139
Total Annual Fund Operating Expense0.59%
Inception Date7/29/2020
Distribution FrequencyAnnual

Daily Performance

Data as of 10/20/2020
Premium Discount Chart
NAV
Net Asset Value$27.61 
Daily Change0.86%
Price
Closing Price$27.73 
Daily Change1.13%

Performance History

Distributions
Cumulative %
Data as of: 09/30/2020
Fund NAVClosing PriceIndex
1 Month-3.02%-2.71%-2.89%
3 Month12.17%
6 Month31.88%
Since Inception2.84%3.48%3.09%
Cumulative %
Data as of quarter end: 09/30/2020
Fund NAVClosing PriceIndex
Since Inception2.84% 3.48%3.09%

The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted.

Top 10 Holdings

Data as of 10/20/2020
Full Holdings .CSV
RankCompany Name% of Net AssetsTickerShares HeldMarket Value($)
1
TENCENT HOLDINGS LTD
8.97%700 HK3,400247,652
2
ALIBABA GRP-ADR
8.89%BABA792245,370
3
MEITUAN DIANPING-CLASS B
8.65%3690 HK7,100238,926
4
CHINA CONSTRUCTION BANK-H
8.22%939 HK314,000226,890
5
NIO INC - ADR
5.46%NIO5,395150,844
6
WUXI BIOLOGICS CAYMAN INC
4.24%2269 HK4,500117,058
7
CHINA MERCHANTS BANK-H
3.81%3968 HK19,500105,048
8
CHINA MENGNIU DAIRY CO
2.56%2319 HK14,00070,632
9
GEELY AUTOMOBILE
2.33%175 HK30,00064,335
10
BYD CO LTD-H
2.29%1211 HK3,50063,181

Holdings are subject to change.