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KCCA

KraneShares California Carbon Allowance Strategy ETF*

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Investment Strategy:

The KraneShares California Carbon Allowance Strategy ETF (KCCA) provides targeted exposure to the California Carbon Allowances (CCA) cap-and-trade carbon allowance program. KCCA is benchmarked to the IHS Markit Carbon CCA Index, which tracks the most traded CCA futures contracts. As a part of the KraneShares suite of carbon ETFs, KCCA provides a new vehicle for participating in the price of carbon and hedging risk while supporting responsible investing and ESG goals.

KCCA Features:

  • The CCA cap-and-trade program began in 2012, implemented by the California Air Resources Board (CARB) and covers approximately 80% of the states Green House Gas (GHG) emissions. In 2014, the program was expanded to cover Quebec and its emissions1.
  • The program plans to reduce carbon levels to 60% of 1990 levels by 2030 and achieve carbon neutrality by 2045. The cap will reduce 4% per year to achieve this objective. Further, the program has a floor price that rises 5% plus inflation adjustment each year.1
  • CCA carbon allowances are among the fastest growing, strongest performing and diversifying asset classes. In 2021, CCA carbon allowance futures have traded around $1.5 billion per month.2, 3
  • Can provide potential portfolio diversification due to the historically low correlation to traditional asset classes.3, 4

By pairing KCCA with other KraneShares carbon funds, investors can customize their allocation to the global carbon credit market:

*Formerly the KraneShares California Carbon Allowance ETF

1. California Air Resources Board, 2017.
2. Data from Bloomberg as of 8/31/2021.
3. Diversification does not ensure a profit or guarantee against a loss.
4. IHS Markit, 12/31/2020.

Fund Details

Data as of 10/03/2022
Ticker KCCA
Primary Exchange NYSE
CUSIP 500767553
ISIN US5007675532
Net Assets $257,763,652
Total Annual Fund Operating Expense 0.78%
Inception Date 10/5/2021
Distribution Frequency Annual

Daily Performance

Data as of 10/03/2022
Premium Discount Chart
NAV
Net Asset Value$22.56 
Daily Change 1.99%
Price
Market Price $22.63 
Daily Change 2.77%
30 Day Median Bid/Ask Spread
 
0.57%

The ETF’s 30 Day Median Bid-Ask Spread is calculated by identifying the ETF’s national best bid and national best offer ("NBBO") as of the end of each 10 second interval during each trading day of the last 30 calendar days and dividing the difference between each such bid and offer by the midpoint of the NBBO. The median of those values is identified and that value is expressed as a percentage rounded to the nearest hundredth.

Performance History

Distributions
Cumulative %
Data as of: 09/30/2022
Fund NAV Closing Price Index
1 Month -1.43% -2.78% -2.24%
3 Month -14.53% -15.28% -12.37%
6 Month -14.16% -14.15% -13.67%
Since Inception -11.52% -11.92% -11.67%
Cumulative %
Data as of quarter end: 09/30/2022
Fund NAV Closing Price Index
Since Inception -11.52% -11.92% -11.67%
Growth of $10,000
Data as of 10/03/2022

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.

The Growth of $10,000 chart reflects an initial investment of $10,000 on the day prior to the selected time period and assumes reinvestment of dividends and capital gains. For the growth of $10,000 chart since inception, the initial investment of $10,000 is instead made on the inception date of the Fund. Fund expenses, including management fees and other expenses were deducted. The growth of a $10,000 investment in the fund is hypothetical and for illustration purposes only.

Carbon Allowance Futures

Data as of 10/04/2022
Name Identifier Position Current Exposure($) % NAV
California Carbon Allowance (CCA) Vintage 2022 Future CTIZ22 Comdty 9,452 260,591,640 99.93%
260,591,640 100%

Collateral and Currency Management

Data as of 10/04/2022
Name Identifier Position Current Exposure($) % NAV
USD Cash & Equivalents** USD 260,782,817 260,782,817 100%
260,782,817 100%

Holdings, carbon allowance futures, and collateral are subject to change.
**Includes USD cash deposits & cash in margin accounts ($260,782,817)

Top 10 Holdings

Data as of 10/04/2022
Full Holdings .CSV
Rank Name % of Net Assets Ticker Identifier Type Shares Held Market Value($) Notional Value($)
1 Cash 100.00% Cash 260,782,817 260,782,817 0
2 CA CARBON ALLOW 21DEC22 0.00% CTIZ22 Future 9,452 0 260,591,640

Holdings are subject to change.