News / Media

KraneShares MSCI China A Share UCITS ETF (KBA) Lists on the London Stock Exchange

NEW YORK, July 11, 2019 /PRNewswire/ --Krane Funds Advisors, LLC, (“KraneShares”), a global asset management firm known for its China-focused exchange-traded funds (ETFs) and innovative China investment strategies, announced the launch of the KraneShares MSCI China A Share UCITS ETF (Ticker: KBA LN) on the London Stock Exchange. The fund tracks the MSCI China A Index which captures large and mid-cap equities listed on the Shanghai and Shenzhen stock exchanges (A-shares). KraneShares has managed the same strategy through a New York Stock Exchange-listed ETF since 2014. KBA US has the longest track record for an MSCI-linked China A Share ETF in the United States1.

The inclusion of A-shares by global index provider, MSCI, is projected to trigger over $300 billion of inflows2 into securities tracked by the MSCI China A index, which is KBA’s benchmark. The MSCI China A Index is up over 26% year-to-date3. The index tracks a total of 427 constituents4 spanning large-cap, mid-cap, and eligible ChiNext securities representing a diverse exposure to China A-Shares. On 11 March 2019, the Hong Kong Stock Exchange announced a license agreement with MSCI to introduce futures contracts on the MSCI China A Index5.

“We are seeing strong demand for China A-Share exposure from European investors as the MSCI China A share inclusion progresses. With $1.8 trillion tracking the MSCI EM Index alone, potential inflows will be significant,” said Jonathan Krane CEO of KraneShares. “Our KBA UCITS fund provides European investors with strategic access to the Mainland China investment opportunity.”

For more information visit www.Europe.KraneShares.com/KBALN.

  1. Data from Morningstar as of 30/June/2019
  2. Based off latest reported assets tracking MSCI Emerging Market Index from MSCI; calculated using 17% inclusion factor. Retrieved 30/June/2019
  3. Data from Bloomberg as of 30/June/2019
  4. MSCI China A Share factsheet as of 28/June/2019
  5. South China Morning Post, “Hong Kong to Launch MSCI China A Index futures for global investors to hedge against risks in Asia’s largest stock market” as of 11/March/2019

This information is being communicated by KraneShares, which is an appointed representative of DMS Capital Solutions UK Limited, which is authorised and regulated by the Financial Conduct Authority in the United Kingdom under the reference number 503325. R-KS-DMS