KraneShares Emerging Markets Consumer Technology (KEMQ)

Overview

The KraneShares Emerging Markets Consumer Technology ETF (KEMQ) seeks to provide investment results that, before fees and expenses, correspond to the Solactive Emerging Markets Consumer Technology Index. It focuses on companies involved in consumer technology sectors within emerging markets.

Reputation and Reliability

KraneShares is a well-regarded issuer known for its focus on China and emerging markets ETFs. They have a track record of providing innovative and specialized investment products.

Management Expertise

KraneShares has a team with experience in emerging markets and ETF management, demonstrating their competence in navigating complex investment landscapes.

Goal

To track the performance of the Solactive Emerging Markets Consumer Technology Index, focusing on companies involved in consumer-related technology in emerging markets.

Investment Approach and Strategy

Strategy: The ETF aims to replicate the Solactive Emerging Markets Consumer Technology Index, a benchmark designed to represent the performance of companies involved in consumer technology in emerging markets.

Composition The ETF primarily holds stocks of companies involved in consumer technology sectors within emerging markets. This includes e-commerce, fintech, online education, and digital entertainment.

Market Share: Data for KEMQ's specific market share in the emerging markets consumer technology ETF sector is limited, but it is considered a niche player.

Total Net Assets (AUM): 89100000

Key Competitors

• EMQQ The Next Frontier Internet ETF (EMQQ)
• Global X MSCI China Consumer Discretionary ETF (CHIQ)
• iShares MSCI Emerging Markets ETF (EEM)

Competitive Landscape

The competitive landscape includes broader emerging market ETFs and those specifically targeting internet or technology sectors. KEMQ's advantage lies in its specific focus on consumer technology, offering a more targeted approach compared to broader emerging market ETFs. However, its relatively smaller AUM compared to competitors might affect liquidity.

Historical Performance: Historical performance data should be sourced from financial data providers and will vary over time. Please refer to official ETF data for the most accurate information.

Benchmark Comparison: The ETF's performance should be compared to the Solactive Emerging Markets Consumer Technology Index to assess its tracking effectiveness. Please refer to official ETF data for the most accurate information.

Expense Ratio: 0.55

Average Trading Volume

The average trading volume indicates moderate liquidity, which is typical for a specialized emerging market ETF.

Bid-Ask Spread

The bid-ask spread is generally manageable, but can widen during periods of market volatility.

Market Environment Factors

Economic growth in emerging markets, increasing consumer spending, technological advancements, and regulatory changes significantly impact the ETF's performance.

Growth Trajectory

The ETF's growth trajectory depends on the continued expansion of the consumer technology sector in emerging markets and the adoption of digital technologies by consumers.

Competitive Edge

KEMQ offers focused exposure to the burgeoning consumer technology sector within emerging markets, differentiating itself from broader emerging market funds. Its targeted strategy allows investors to capitalize on the growth of e-commerce, digital entertainment, and fintech in developing economies. KraneShares' expertise in emerging markets provides an additional layer of understanding and access to these unique opportunities. This targeted approach potentially leads to higher growth compared to general emerging market funds.

Volatility

Emerging markets generally exhibit higher volatility compared to developed markets, and the technology sector can also experience significant price swings.

Market Risk

Specific risks include regulatory risks in emerging markets, currency fluctuations, geopolitical risks, and potential technology disruptions within the consumer sector.

Ideal Investor Profile

Investors seeking targeted exposure to the growth of consumer technology in emerging markets and who are comfortable with higher levels of risk.

Market Risk

The ETF is more suitable for long-term investors or active traders with a higher risk tolerance, and those who believe in the long-term growth potential of emerging market consumer technology.

KraneShares Emerging Markets Consumer Technology ETF (KEMQ) provides targeted exposure to the consumer technology sector in emerging markets. It is designed for investors seeking to capitalize on the growth of e-commerce, digital entertainment, and fintech in these regions. While the ETF offers a focused investment strategy, it also comes with the inherent risks associated with emerging markets and the technology sector. Investors should consider their risk tolerance and investment goals before investing in KEMQ, understanding that it is a niche product within the broader ETF market.

Data Sources:

• KraneShares website
• ETF.com
• Bloomberg
• Morningstar

Disclaimers:

The information provided is for informational purposes only and does not constitute financial advice. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions. Market data is subject to change.