KraneShares Launches China Internet ETF
KraneShares CSI China Internet ETF offers investors exposure to China’s rapidly growing internet sector
New York, NY—August 1, 2013—Krane Funds Advisors LLC, a provider of China-focused Exchange Traded Funds (ETFs), today announced the launch on the NASDAQ of KraneShares CSI China Internet ETF (NASDAQ ticker: KWEB), a new ETF that provides exposure to Chinese Internet and Internet-related companies.
“KraneShares CSI China Internet ETF provides US investors with an opportunity to gain exposure to China’s growing internet sector with the cost efficiencies of ETF investing,” said Brendan Ahern, Managing Director of KraneShares. “We see two powerful demographic trends driving China’s internet sector: since 2000, internet spending by urban Chinese has increased 14% annually, and China’s rural population continues to migrate to urban areas, further fueling internet usage.” Ahern cited a McKinsey & Company report that stated China E-Tailing accounted for $190 billion in sales in 2012 and could reach as much as $650 billion by 2020. Mr. Ahern went on to say “we are very fortunate to partner again with China Securities Index Co. of Shanghai, as the index provider for this ETF.”
“We believe the China Internet sector offers an excellent opportunity for US investors. There are approximately 600 million internet users in Mainland China. Chinese internet company market capitalizations now rival the largest US and global industry leaders, along with the potential for Chinese internet IPOs to come later this year, this is definitely a sector that warrants attention,” said Dr. Zhigang Ma, General Manager of China Securities Index Co.
The Fund’s benchmark is the CSI Overseas China Internet Index. Krane Funds Advisors LLC, serves as the investment adviser to the Fund.
About CSI Overseas China Internet Index
The CSI Overseas China Internet Index is designed to measure the performance of the investable universe of publicly traded China-based companies in the Internet and Internet-related sectors. The Index is comprised of companies whose primary business or businesses involve internet software and services, internet retail services, internet commercial services, internet home entertainment software, and mobile internet. The Index is generally comprised of 20-30 securities. The Index was created and is maintained by China Securities Index Co., Ltd.
Krane Funds Advisors LLC, (“Krane”) was founded in 2011 and is based in New York City. Krane is an ETF provider and an education leader for US investors on China. Krane was developed with local insight from our Chinese partners with strategies tailored to the specific needs of US investors. Krane is focused on delivering Chinese investment opportunities to US investors by helping them navigate China’s continuing economic evolution so they can invest in China with confidence.
Tyler Bradford, Hewes Communications, Inc., 212.207.9454, [email protected]