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Overview

Performance

Growth of $10,000

Holdings

Fund Documents

Overview

Investment Strategy:

KTEC seeks to track the performance of the Hang Seng TECH Index, which captures the 30 largest companies in Hong Kong's rapidly growing technology sector. The Index provides exposure to innovative companies with strong research & development investment, high revenue growth, and themes such as cloud, E-Commerce, fintech and internet. The Index is freefloat market capitalization weighted with an 8% cap on individual constituent weighting.

Hong Kong Technology Sector Highlights:

  • China led the world in retail web sales with $1.8 trillion total sales in 20201 (compared to $861 billion2 in the United States).
  • China is becoming a world leader in advanced Information Technology hardware production, focusing on 5G equipment and semiconductors.
  • Since the launch of the Shanghai and Shenzhen Stock Connect programs in 2014 and 2016, Mainland investors now represent 8.5% of Hong Kong's free-float market capitalization. This number is projected to increase significantly in the coming years3.

KTEC Provides:

  • Focused exposure to the largest technology companies listed in Hong Kong.
  • Access to companies benefitting from increasing domestic consumption by China's growing middle class, which is increasingly occurring online.
  • Access to Hong Kong-listed 5G and semiconductor companies that offer a potential source of uncorrelated, long-term growth.

1. National Bureau of Statistics of China. Note: Figures converted from Chinese Renminbi to USD as of 4/6/2021.
2. Digital Commerce 360. “US ecommerce grows 44.0% in 2020.” January 29, 2021.
3. Lockett Hudson, "Chinese investors flood Hong Kong's bruised stock market with cash" Financial Times, January 12, 2021.

Premium Discount Chart

Daily Performance

Data as of 02/03/2023
Daily Net Asset Value (NAV) and Market Price
NAV $14.45
NAV Daily Change -1.37%
Market Price $14.18
Market Price Daily Change -2.14%
30 Day Median Bid/Ask Spread
0.48%
Distributions

Performance History

Cumulative %
Data as of: 01/31/2023
Fund NAV Closing Price Index
1 Month 8.41% 9.24% 9.43%
3 Month 61.39% 60.96% 59.57%
6 Month 6.54% 6.62% 5.28%
Since Inception -43.19% -43.15% -43.14%
Avg Annualized %
Data as of month end: 01/31/2023
Fund NAV Closing Price Index
1 Year -14.70% -19.06% -15.98%
Since Inception -29.03% -28.99% -28.98%
Avg Annualized %
Data as of quarter end: 12/31/2022
Fund NAV Closing Price Index
1 Year -25.01% -26.12% -26.68%
Since Inception -33.84% -34.13% -34.19%

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.

Growth of $10,000

Data as of 02/03/2023

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.

Top 10 Holdings

Data as of 02/06/2023 Full Holdings .CSV
Rank Name % of Net Assets Ticker Identifier Shares Held Market Value($)
1 TENCENT HOLDINGS LTD 9.16% 700 KYG875721634 14,600 701,144
2 XIAOMI CORP-CLASS B 8.95% 1810 KYG9830T1067 419,000 684,613
3 ALIBABA GROUP HOLDING LTD 8.53% 9988 KYG017191142 49,600 652,386
4 KUAISHOU TECHNOLOGY 8.27% 1024 KYG532631028 75,500 632,683
5 MEITUAN-CLASS B 7.73% 3690 KYG596691041 28,280 591,468
6 JD.COM INC - CL A 7.48% 9618 KYG8208B1014 20,160 571,938
7 NETEASE INC 5.40% 9999 KYG6427A1022 23,305 413,161
8 BAIDU INC-CLASS A 4.78% 9888 KYG070341048 20,350 365,442
9 SUNNY OPTICAL TECH 4.45% 2382 KYG8586D1097 25,540 340,158
10 HAIER SMART HOME CO LTD-H 4.28% 6690 CNE1000048K8 91,626 327,563

Holdings are subject to change.