KraneShares InspereX Nasdaq Dynamic Buffered High Income Index ETF (KIQQ)

Overview

KraneShares InspereX Nasdaq Dynamic Buffered High Income Index ETF is an innovative exchange-traded fund designed to follow an index-based options strategy specifically connected to the Nasdaq-100. The ETF aims to mirror the performance of the Nasdaq InspereX Dynamic Buffered High Income Index, integrating both equity exposure and a systematic risk management component through an income-focused options overlay. The structure of this fund employs a modern interpretation of the traditional collar strategy.

By utilizing dynamically adjusted put replication, the ETF seeks to buffer against downside shifts within the Nasdaq-100. Additionally, it generates option premium income by writing short-dated, out-of-the-money call options. This approach is tailored to maintain engagement in the performance of prominent Nasdaq-100 companies while offering a clearly defined, rules-based framework aimed at both hedging risk and generating income through options. Developed collaboratively with InspereX, which specializes in structured risk management solutions, this ETF is designed to serve as a foundational element for investment portfolios committed to large-cap growth equities while simultaneously applying derivative-based strategies to control volatility and introduce a supplementary income aspect.

Products and Services

• Exchange-Traded Fund (ETF)

  The primary offering is the KraneShares InspereX Nasdaq Dynamic Buffered High Income Index ETF. This ETF follows a specific index and utilizes an options strategy tied to the Nasdaq-100 to provide investors with exposure to leading companies in this market while managing risks associated with volatility.

• Risk Management Strategy

  The ETF employs a systematic risk management strategy that includes dynamically adjusted put replication. This technique serves to buffer against potential downturns in the underlying index, providing a safeguard for investors against significant market declines.

• Income Generation through Options

  In addition to equity exposure, the ETF generates option premium income by writing short-dated, out-of-the-money call options. This strategy is designed not only to earn income but also to enhance the overall return potential of the fund.

• Core Portfolio Component

  The ETF is positioned as a core building block for investment portfolios that prioritize allocations to large-cap growth equities, combining both traditional equity exposure with modern derivative-based techniques aimed at volatility management.

• Partnership with InspereX

  Developed in partnership with InspereX, a specialist in structured risk-managed solutions, the ETF leverages expert insights to inform its strategies. This collaboration enhances the ETF’s ability to deliver both performance and risk management to investors.