Overview

Performance

Holdings

Listings

Security Documents

Overview

Investment Strategy:

The KraneShares Global Carbon Strategy ETC (KRBN) is intended to track the level of its reference index, the S&P Global Carbon Credit Index, which offers broad coverage of cap-and-trade carbon allowances by tracking the most traded carbon credit futures contracts. The index introduces a new measure for hedging risk and going long the price of carbon while supporting responsible investing. The index covers the major European and North American cap-and-trade programs: European Union Allowances (EUA), California Carbon Allowances (CCA), United Kingdom Allowances (UKA), and the Regional Greenhouse Gas Initiative (RGGI), which covers the Northeast US Power Market.

Performance

  • Carbon portfolio historically provides annualized returns nearly 2x the S&P 500.1
  • Structurally designed for long-term price appreciation due to the markets’ increasing supply scarcity.2
  • Low correlations to major asset classes, including 0.3 to US large cap.1
  • Provides alternative return profile with potential inflation and climate risk hedging.

Impact

  • Provides potential impact by supporting price discovery and liquidity in carbon markets.3
  • Counterbalance portfolio’s emissions exposure and energy transition/climate risk.
  • Cap and trade supports fuel switching and capital directed toward innovation in renewable technology.3

1. Data from Bloomberg and S&P Dow Jones Indices as of 31/Jul/2024.
2. European Commission, “What is the EU ETS?” retrieved 25/Jun/2024.
3. International Swaps and Derivatives Association, “Role of Derivatives in Carbon Markets,” Sep 2021.

Daily Performance

Data as of 15/Jan/2025
Daily Net Asset Value (NAV)
NAV $25.67
NAV Daily Change 0.47%

Performance History

Cumulative %
Data as of: 31/Dec/2024
Security NAV Underlying Index
1 Month -0.08%
3 Month
6 Month
YTD
Since Inception 2.72%
Cumulative %
Data as of quarter end: 31/Dec/2024
Security NAV Underlying Index
Since Inception 2.72%

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.

Carbon Allowance Futures

Data as of 15/Jan/2025
Name Identifier Position Current Exposure ($) % NAV
European Union Allowance (EUA) 2025 Future MOZ25 Comdty 86 6,911,126 57.89%
California Carbon Allowance (CCA) Vintage 2025 Future BCYZ25 Comdty 63 2,016,000 16.89%
European Union Allowance (EUA) 2026 Future MOZ26 Comdty 8 662,435 5.55%
Washington Carbon Allowance (WCA) Vintage 2025 Future WKCZ25 Comdty 10 555,000 4.65%
California Carbon Allowance (CCA) Vintage 2026 Future KBCZ26 Comdty 16 544,000 4.56%
Regional Greenhouse Gas Initiative (RGGI) Vintage 2025 Future JELZ25 Comdty 24 535,440 4.49%
UK Allowance (UKA) 2025 Future UKEZ5 Comdty 12 490,733 4.11%
11,714,733 98%

Collateral and Currency Management

Data as of 15/Jan/2025
Name Identifier Position Current Exposure($) % NAV
Euro FX Futures ECH5 Curncy 50 6,450,938 54.04%
USD Cash & Equivalents** USD 4,877,625 4,877,625 40.86%
EURO EUR 1,261,152 1,299,674 10.89%
BRITISH STERLING POUND GBP 331,348 406,183 3.4%
13,034,421 109%

Holdings, carbon allowance futures, and collateral are subject to change.
**Includes USD cash deposits & cash in margin accounts ($11,328,563), and implied short USD exposure from Euro FX futures

Top 10 Holdings

Data as of 15/Jan/2025 Full Holdings .CSV
Rank Name % of Net Assets Ticker Identifier Type Shares Held Market Value($) Notional Value($)
1 Cash 85.71% Cash 10,231,599 10,231,599 0
2 EURO 10.89% Currency 1,261,152 1,299,674 0
3 BRITISH STERLING POUND 3.40% Currency 331,348 406,183 0
4 CA CARBON ALLOW 25DEC25 0.00% BCYZ25 Future 63 0 2,016,000
5 CCA VINTAGE 2026 DEC26 0.00% KBCZ26 Future 16 0 544,000
6 ECX EMISSION DEC25 0.00% MOZ25 Future 86 0 6,911,126
7 ECX EMISSION DEC26 0.00% MOZ26 Future 8 0 662,435
8 EURO FX CURR FUT MAR25 0.00% ECH5 Future 50 0 6,450,938
9 REG GH GAS VNT 25 DEC25 0.00% JELZ25 Future 24 0 535,440
10 UK EMISS ALLOW FU DEC25 0.00% UKEZ5 Future 12 0 490,733

Holdings are subject to change.

Listings

Data as of 15/Jan/2025
Exchange Ticker Currency Listing Date SEDOL ISIN
Deutsche Börse Xetra KRBN GY EUR 03/Oct/2024 BSRH0H6 XS2879867773
Deutsche Börse Xfra KRBN GY EUR 03/Oct/2024 BSRH0H6 XS2879867773
Borsa Italiana KRBN IM EUR 03/Oct/2024 BSTJGN8 XS2879867773
London Stock Exchange KRBN LN USD 16/Jan/2025 BSRH0B0 XS2879867773
London Stock Exchange KRBP LN GBP 16/Jan/2025 BR4Y040 XS2879867773

Current Authorized Participants for the KraneShares ETC Programme are Jane Street Financial Limited and Flow Traders B.V.