KraneShares MSCI China ESG Leaders UCITS ETF

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Investment Strategy:

KESG seeks to track the MSCI China ESG Leaders 10/40 Index. The MSCI China ESG Leaders 10/40 Index aims to provide exposure to companies with high Environmental, Social and Governance (ESG) ratings relative to their sector peers. The MSCI China ESG Leaders 10/40 Index consists of large and mid-cap companies in China. In order to ensure diversification, the Index is designed to limit individual constituent weights to 10% and sector weights to 40% of its composition.

China’s ESG Highlights:

  • Chinese domestic investors and issuers are moving fast to incorporate ESG considerations in their decision making, driven by strong regulatory initiatives to promote ESG practices and disclosures.
  • China’s commitment to stricter environmental mandates and conservation efforts is necessary to achieve national goals of sustained economic growth. Consequently, China now is the world leader in total renewable energy capacity, at approximately 31% of total global capacity1.
  • China’s economic and technological transformation drives demand for a more educated workforce. In recent years, many Chinese companies in knowledge-intensive sectors have improved their talent programs, which has in turn upgraded their MSCI ESG Rating.
  • Greater inclusion of China’s capital markets internationally creates more of an incentive to align shareholder rights and governance policies with global standards, paving the way for Chinese companies to develop a more diversified shareholder structure.

KESG Features:

  • MSCI China ESG Leaders 10/40 Index inclusion criteria has a track record of effectively identifying growth companies within China’s new economy.
  • As companies with high ESG scores have proven to consistently outperform their peers in China, investors do not necessarily have to compromise returns for investing based on beliefs.
  • Benchmarked to an MSCI ESG Index: MSCI is the #1 index provider for ESG, Socially Responsible Investment (SRI), and Corporate governance indexes according to a 2018 survey of 1,300 participants conducted by SRI Connect and Extel.

1. REN21’s Renewables 2019 Global Status Report (GSR)

Daily Performance

Data as of 03/03/2021
Net Asset Value$41.00 
Daily Change 1.98%

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

Cumulative %
Data as of: 02/28/2021
Fund NAV Index
1 Month-1.49% -1.67%
3 Month11.21% 11.08%
6 Month24.03% 25.85%
Since Inception58.76% 61.19%
Avg Annualized %
Data as of month end: 02/28/2021
Fund NAV
1 Year58.00% 60.23%
Since Inception53.74% 56.16%
Avg Annualized %
Data as of quarter end: 12/31/2020
Fund NAV Index
Since Inception 57.53%

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.

Top 10 Holdings

Data as of 03/03/2021
Full Holdings .CSV
Rank Company Name % of Net Assets Ticker Identifier Shares Held Market Value($)
1 CHINA CONSTRUCTION BANK-H 9.79% 939 CNE1000002H1 3,744,000 3,089,228
2 TENCENT HOLDINGS LTD 9.36% 700 KYG875721634 31,700 2,954,825
3 MEITUAN-CLASS B 8.29% 3690 KYG596691041 54,500 2,618,024
4 ALIBABA GRP-ADR 8.20% BABA US01609W1027 10,960 2,589,519
5 CHINA MERCHANTS BANK-H 4.34% 3968 CNE1000002M1 169,000 1,371,566
6 WUXI BIOLOGICS CAYMAN INC 4.01% 2269 KYG970081173 96,000 1,267,376
7 NIO INC - ADR 3.42% NIO US62914V1061 26,016 1,080,444
8 BYD CO LTD-H 2.89% 1211 CNE100000296 33,000 912,164
9 GEELY AUTOMOBILE 2.71% 175 KYG3777B1032 254,000 856,327
10 VIPSHOP HOLDINGS 2.47% VIPS US92763W1036 19,301 778,602

Holdings are subject to change.