KraneShares Electric Vehicles and Future Mobility ETF (Ticker: KARS) Lists on the New York Stock Exchange
Krane Funds Advisors, LLC, (“KraneShares”) a U.S. asset management firm known for its China focused KraneShares exchange traded funds (ETFs) and innovative China investment strategies, announced the launch of the KraneShares Electric Vehicles and Future Mobility ETF (Ticker: KARS) listed on the NYSE. KARS is focused on the fast-growing electric vehicle industry and the expanding technologies shaping the future of transportation and mobility. KARS holds globally listed companies involved in the entire future mobility ecosystem, including: Electric Vehicle production, Autonomous Driving, Shared Mobility, lithium and copper production, lithium-ion batteries, hydrogen fuel cell manufacturing and electric infrastructure businesses.
McKinsey & Company has classified Future Mobility into four categories: Autonomous Driving, Connectivity, Electrification, and Shared Mobility. These categories have developed into popular global business trends due to the enhanced convenience, cost-effectiveness, improved safety and pollution reduction benefits they can provide. The shift toward future mobility technologies is occurring rapidly. 54% of new car sales and 33% of the global car fleet are projected to be electric by 20401. The global electric vehicle market is projected to command $2.7 trillion of total investment before 20402. Autonomous vehicles and the resulting “passenger economy” are projected to generate a cumulative $8 trillion in global service revenues by 20503.
Future mobility initiatives are gaining particularly strong momentum in China as the country moves to address pollution concerns and a rapidly urbanizing population. “China is currently the world’s largest electric vehicle market. Chinese companies like Baidu are developing Artificial Intelligence necessary for Autonomous Driving, and BYD is a world leader in electric vehicles and electric battery manufacturing,” said Jonathan Krane, CEO of KraneShares. “Global companies within the future mobility ecosystem such as Tesla, Nividia, and Albemarle Corporation are also capitalizing on strong demand from Chinese and global consumers.”
KARS tracks the Solactive Electric Vehicles and Future Mobility Index. The index tracks companies listed globally including companies listed on the Shanghai and Shenzhen Stock Exchanges (A-shares). Example constituents and weightings in the index as of January 2018 include: Nvidia4, Baidu5, Daimler6, Tesla7, Samsung SDI8, BYD9, and Galaxy Resource10.
About Krane Funds Advisors, LLC:
Krane Funds Advisors, LLC is the investment manager for KraneShares ETFs. Our suite of China focused ETFs provides investors with solutions to capture China’s importance as an essential element of a well-designed investment portfolio. We strive to provide innovative, first to market strategies that have been developed based on our strong partnerships and our deep knowledge of investing. We help investors stay up to date on global market trends and aim to provide meaningful diversification. Krane Funds Advisors, LLC is majority owned by China International Capital Corporation (CICC).
The Fund’s holdings are subject to change. Click here for full fund holdings.
- Data from Bloomberg New Energy Finance as of 7/06/2017
- Morgan Stanley Research. “The EV Infrastructure 55: A Diversified Way to Play a Critical Enabler in the EV Theme.” Morgan Stanley. 10/17/2017
- Lanctot, Roger. “Accelerating The Future: The Economic Impact of the Emerging Passenger Economy.” Strategy Analytics. June 2017.
- Nvidia index weight as of 01/09/2018, 3.8%
- Baidu index weight as of 01/09/2018, 3.6%
- Daimler index weight as of 01/09/2018, 3.5%
- Tesla index weight as of 01/09/2018, 3.4%
- Samsung SDI index weight as of 01/09/2018, 1.6%
- BYD index weight as of 01/09/2018, 1.5%
- Galaxy Resource index weight as of 01/09/2018, 0.9%