Home 
Today's Top Picks 
Top Performers 
Watchlist 
My Robo Portfolios 
ETF Zone 
Help & Tutorial 
Cancel anytime
- Chart
- Upturn Summary
- Highlights
Upturn AI SWOT - About
KraneShares Trust - KraneShares China Internet and Covered Call Strategy ETF (KLIP)
- BUY Advisory
- SELL Advisory (Profit)
- SELL Advisory (Loss)
- Profit
- Loss
- Pass (Skip investing)
Stock price based on last close (see disclosures)
- ALL
- YEAR
- MONTH
- WEEK
Upturn Advisory Summary
03/27/2025: KLIP (1-star) has a low Upturn Star Rating. Not recommended to BUY.
Upturn Star Rating
Not Recommended Performance
These Stocks/ETFs, based on Upturn Advisory, consistently fall short of market performance, signaling caution before investing.
AI Based Fundamental Rating
Moderate Performance
These Stocks/ETFs, based on Upturn Advisory, typically align with the market average, offering steady but unremarkable returns.
Analysis of Past Performance
Type ETF | Historic Profit 1.56% | Avg. Invested days 40 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating | Upturn Advisory Performance  3.0 | ETF Returns Performance  1.0 |
| Profits based on simulation | Last Close 03/27/2025 |
Key Highlights
Volume (30-day avg) 32630 | Beta - | 52 Weeks Range 28.30 - 34.31 | Updated Date 03/27/2025 |
52 Weeks Range 28.30 - 34.31 | Updated Date 03/27/2025 |
Upturn AI SWOT
KraneShares Trust - KraneShares China Internet and Covered Call Strategy ETF
ETF Overview
Overview
The KraneShares China Internet and Covered Call Strategy ETF (KLIP) aims to provide income and some downside protection by investing in China-based internet companies while employing a covered call strategy on those holdings.
Reputation and Reliability
KraneShares is known for its China-focused ETFs. Their reputation is solid, with experience in navigating Chinese markets.
Management Expertise
KraneShares' management team has expertise in China-focused investments and ETF management.
Investment Objective
Goal
To generate income and provide potential downside protection by implementing a covered call strategy on a portfolio of China-based internet stocks.
Investment Approach and Strategy
Strategy: The ETF uses a covered call strategy. It holds shares of Chinese internet companies and sells call options on those shares to generate income.
Composition The ETF primarily holds stocks of China-based internet companies, also known as the 'Internet of China' companies (e.g., Alibaba, Tencent), and uses call options on those shares.
Market Position
Market Share: KLIP's market share is relatively small within the broader China-focused ETF market.
Total Net Assets (AUM): 25966658
Competitors
Key Competitors
- KraneShares CSI China Internet ETF (KWEB)
- Global X MSCI China Consumer Discretionary ETF (CHIQ)
- Invesco China Technology ETF (CQQQ)
Competitive Landscape
The China internet ETF market is competitive, with several large ETFs like KWEB dominating. KLIP's covered call strategy differentiates it from competitors that focus solely on capital appreciation. Advantages of KLIP include income generation, while disadvantages include potential capped upside and added complexity.
Financial Performance
Historical Performance: Historical performance data is crucial but varies; look at timeframes matching your investment horizon. (Data not explicitly provided; consult financial data sources.)
Benchmark Comparison: The ETF's performance should be compared to a China internet index and other covered call strategies. (Specific comparison requires real-time data.)
Expense Ratio: 0.79
Liquidity
Average Trading Volume
The average trading volume is moderate, which can affect ease of entry and exit.
Bid-Ask Spread
The bid-ask spread is relatively small, reflecting reasonable liquidity.
Market Dynamics
Market Environment Factors
The ETF's performance is influenced by Chinese economic growth, regulatory changes affecting the internet sector in China, and global market conditions.
Growth Trajectory
The growth trajectory of the ETF is dependent on the performance of Chinese internet companies and the effectiveness of its covered call strategy.
Moat and Competitive Advantages
Competitive Edge
KLIP's competitive edge lies in its covered call strategy, offering potential income generation that pure China internet ETFs lack. It provides investors with a hybrid approach that blends growth potential with income. This appeals to income-seeking investors and those wanting to mitigate downside risks in the volatile China internet sector. The covered call element can produce smoother return profile than other pure equity ETFs.
Risk Analysis
Volatility
Volatility is expected to be moderate due to the covered call strategy, potentially dampening volatility compared to non-covered call China internet ETFs.
Market Risk
The ETF is exposed to market risk associated with China-based internet companies, regulatory risk, and currency risk.
Investor Profile
Ideal Investor Profile
The ideal investor is one seeking income generation, while still participating in the growth potential of China-based internet companies, and is comfortable with options strategies.
Market Risk
This ETF is suitable for investors with a moderate risk tolerance seeking income or those looking to reduce the volatility of their China internet holdings.
Summary
KLIP offers a unique blend of growth and income by investing in Chinese internet companies while implementing a covered call strategy. This approach provides potential downside protection and income generation, making it attractive to income-seeking investors. However, the strategy caps the upside potential, and investors should consider the impact of regulatory risk. The ETF's success depends on the performance of the underlying China internet stocks and the management of its covered call strategy.
Similar Companies
- KWEB
- CHIQ
- CQQQ
- FXI
- MCHI
Sources and Disclaimers
Data Sources:
- KraneShares official website
- ETF.com
- Bloomberg
- Yahoo Finance
Disclaimers:
The information provided is for informational purposes only and should not be considered investment advice. Consult with a financial advisor before making any investment decisions. Market share estimates are approximate and may vary.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About KraneShares Trust - KraneShares China Internet and Covered Call Strategy ETF
Exchange NYSE ARCA | Headquaters - | ||
IPO Launch date - | CEO - | ||
Sector - | Industry - | Full time employees - | Website |
Full time employees - | Website | ||
Under normal circumstances, the fund invests at least 80% of its net assets in the component securities of the CSI Overseas China Internet Index or in instruments that have economic characteristics similar to those in the index and writes covered call options on the index or in instruments that have economic characteristics similar to writing covered call options on the index. Currently, the adviser intends to invest in KraneShares CSI China Internet ETF ("underlying fund") and to write (sell) covered call options on the underlying fund. The fund is non-diversified.
Upturn is now on iOS and Android!
Experience Upturn on your mobile. Install it now!
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.