KraneShares MSCI All China Health Care Index ETF (KURE)

Overview

This fund is specialized in the health sector, focusing on investing in Chinese companies that are pivotal in the equity market performance related to healthcare. It dedicates at least 80% of its net assets, including borrowings for investment purposes, towards instruments listed in its underlying index or those with close economic characteristics. The underlying index is a free float-adjusted, market capitalization-weighted index, which respects the 10/40 Constraint, signifying a strategic approach to investment in the healthcare sector of China. As a non-diversified fund, it targets specific growth areas within the Chinese healthcare sector, aiming to leverage the dynamic and rapidly evolving landscape of healthcare advancements and innovations in China.

Products and Services

The fund offers a focused investment strategy in the Chinese healthcare sector through the following instruments:

• Underlying Index Investment:
  Invests at least 80% of its net assets in instruments comprised in its underlying index, capitalizing on the growth and performance of the equity market of Chinese companies in the healthcare sector.
• Similar Economic Characteristics Instruments:
  Commits to investing in financial instruments that, while not directly part of the underlying index, possess similar economic characteristics to those included, ensuring broader exposure to the healthcare market trends and opportunities in China.
• 10/40 Constraint:
  Applies the 10/40 Constraint in its investment strategy, which is a safeguard measure limiting the investment weight in any single issuer to a maximum of 10% of the fund's assets and ensuring that the cumulative investment in issuers with more than 5% of the fund's assets does not exceed 40%. This strategic constraint promotes diversification within the non-diversified fund's focus area.