Krane Funds Advisors, LLC (KSTR issuer) operates a fund that predominantly invests in the SSE Science and Technology Innovation Board (STAR Board), a specialized listing exchange by the Shanghai Stock Exchange focusing on Chinese science and technology firms. With a commitment to mirror the index's performance, the fund typically allocates at least 80% of its assets to securities within the Underlying Index, comprising the top 50 companies by free-float market capitalizations on the STAR Board. These companies primarily operate in high-tech and strategic emerging sectors such as next-generation information technology and biomedicine. To qualify for inclusion, companies must meet stringent market capitalization and liquidity criteria and have traded for a minimum of 11 days. While the index targets 50 constituents, it may hold fewer if screening requirements aren't met. The fund mainly invests in China A-Shares, utilizing mechanisms like Stock Connect Programs or Qualified Foreign Investor licenses. Additionally, up to 20% of assets may be allocated to securities outside the index, strategically chosen to align with index tracking. These could include various China-related securities like B-Shares, H-Shares, N-Shares, P-Chips, Red Chips, and S-Chips. The fund, while maintaining a non-diversified status, mirrors the sectoral concentration of the index, which as of May 31, 2023, was primarily in Information Technology, Industrials, and Health Care sectors. Regular rebalancing and reconstitution of the index ensure alignment with market dynamics. Furthermore, the fund may engage in securities lending activities.
KSTR Dividend, offered by Krane Funds Advisors, LLC, is an investment product tailored to investors seeking income from dividend-paying stocks within the Chinese market. This fund aims to provide consistent dividend payouts by investing primarily in dividend-yielding securities listed on the SSE Science and Technology Innovation Board (STAR Board) and other relevant exchanges. By focusing on companies with a track record of distributing dividends, KSTR Dividend offers investors an opportunity to participate in the potential growth of Chinese technology and innovation sectors while receiving regular income streams. Additionally, the fund may utilize various investment strategies, including sector rotation and stock selection, to optimize dividend yield and overall performance. With its emphasis on dividend-paying stocks in China's burgeoning technology landscape, KSTR Dividend presents a compelling option for income-oriented investors seeking exposure to this dynamic market segment.
KSTR Tracking, managed by Krane Funds Advisors, LLC, is a specialized investment vehicle designed to closely follow the performance of the SSE Science and Technology Innovation Board (STAR Board) index. This fund is structured to replicate the index's composition and weightings, aiming to provide investors with returns that mirror those of the underlying benchmark. By investing at least 80% of its assets in securities within the STAR Board index, KSTR Tracking offers investors a straightforward way to gain exposure to the top 50 Chinese science and technology companies by free-float market capitalization. Utilizing mechanisms such as Stock Connect Programs or Qualified Foreign Investor licenses, the fund gains access to China A-Shares, ensuring alignment with the index's constituents. Additionally, KSTR Tracking may employ representative sampling strategies to track the index effectively, offering investors a cost-efficient means of participating in China's rapidly evolving technology sector. With regular rebalancing and adherence to the index's sectoral concentration, KSTR Tracking provides investors with a transparent and efficient way to capture the potential growth opportunities presented by the STAR Board.
KSTR Correlation, managed by Krane Funds Advisors, LLC, is an investment vehicle strategically designed to closely correlate with the performance of the SSE Science and Technology Innovation Board (STAR Board) index. This fund seeks to achieve a high degree of correlation with the index by investing primarily in securities that reflect the composition and weightings of the benchmark. With a focus on aligning its holdings with those of the STAR Board index, KSTR Correlation offers investors the opportunity to participate in the growth potential of Chinese science and technology companies. By tracking the index's constituents, which are predominantly from high-tech and strategic emerging industries, the fund aims to replicate the index's performance over time. Through various investment strategies, including representative sampling and sector rotation, KSTR Correlation strives to minimize tracking error and maintain a strong correlation with the index. With its commitment to closely mirroring the performance of the STAR Board index, KSTR Correlation provides investors with a reliable tool for accessing the dynamic Chinese technology market.
KSTR Sector, managed by Krane Funds Advisors, LLC, is a specialized investment fund designed to target specific sectors within the Chinese market, with a particular focus on the SSE Science and Technology Innovation Board (STAR Board) index. This fund aims to capitalize on the growth potential of various sectors, including Information Technology, Industrials, and Health Care, which represent significant portions of the STAR Board index. By strategically allocating its assets to these sectors, KSTR Sector offers investors targeted exposure to key areas of innovation and development in China's economy. Leveraging the expertise of its managers and comprehensive research capabilities, the fund seeks to identify opportunities for growth and potential outperformance within specific sectors. With a disciplined approach to sector selection and regular rebalancing in line with the index's sectoral concentration, KSTR Sector provides investors with a focused and efficient means of participating in China's dynamic economic landscape.
KSTR Exposure, managed by Krane Funds Advisors, LLC, is an investment product engineered to provide investors with targeted exposure to the SSE Science and Technology Innovation Board (STAR Board) index and the broader Chinese technology and innovation landscape. This fund offers investors an opportunity to gain diversified exposure to the top 50 Chinese science and technology companies by free-float market capitalization listed on the STAR Board, a premier exchange focusing on high-tech and strategic emerging industries. By investing in securities primarily within the STAR Board index, KSTR Exposure enables investors to capitalize on the growth potential of China's rapidly evolving technology sector. Through its strategic asset allocation and robust risk management techniques, the fund seeks to provide investors with a balanced approach to capturing the opportunities presented by China's innovation-driven economy. With its emphasis on targeted exposure to the STAR Board index and the broader Chinese technology landscape, KSTR Exposure offers investors a convenient and efficient vehicle for accessing one of the world's most dynamic markets.dscape.
ETF Insider is a data-driven portfolio analytics and optimization platform that introduces a more efficient and practical way to visualize, analyze and optimize portfolios.
Rather than focusing on the surface-level attributes of ETFs and Mutual Funds, ETF Insider goes deeper by examining the underlying holdings of exchange traded products.
By organizing and structuring that data, investors can easily navigate within their overlapping layers.
This innovative perspective combined with modern data visualization and modeling tools, provides an entirely new approach to portfolio optimization that can quickly expose both portfolio inefficiencies and opportunities.
6 min readIWM stands for "iShares Russell 2000 ETF." It is an exchange-traded fund that tracks the performance of the Russell 2000 Index, which represents a broad range of small-cap U.S. stocks. IWM provides investors with a convenient way to gain exposure to a diversified portfolio of small-cap companies and participate in their potential growth.
4 min readDiscover the DRN and ALFA ETFs - This article delves into the world of Exchange-Traded Funds (ETFs) and explores the DRN and ALFA ETFs, providing insights into their investment strategies and potential benefits for investors.
6 min readThe KSTR ETF is a specialized investment fund that focuses on a specific sector. This exchange-traded fund offers investors exposure to a range of companies in this sector.
ETF Insider is a novel portfolio optimization tool that uses the power of data visualization to gain insight into portfolio compositions, concentration risks, portfolio efficiency and more. Complex financial data can be transformed into visually appealing and easily digestible graphs and charts, allowing investors to quickly identify trends and make well-informed investment decisions. Not only does this save time, but it also increases the accuracy and effectiveness of portfolio management.
