KraneShares Lists MSCI China Clean Technology Index UCITS ETF on LSE

The KraneShares MSCI China Clean Technology Index UCITS ETF (KGRN) is a passively managed fund that seeks to track the performance of the MSCI China IMI Environment 10/40 (USD Net) Index. The Index is comprised of securities that derive at least 50% of their revenues from environmentally beneficial products and services. The Index is based on four key Clean Technology environmental themes: Alternative Energy, Sustainable Water, Pollution Prevention and Energy Efficiency. The Index aims to serve as a benchmark for investors seeking exposure to Chinese companies that focus on contributing to a more environmentally sustainable economy by making efficient use of scarce natural resources or by mitigating the impact of environmental degradation. Constituent selection is based on data from MSCI Environment, Social, and Governance (ESG). ​

KGRN has been classified as an Article 8 investment under the EU Sustainable Finance Disclosure Regulation (SFDR).

China’s Environmental Protection Highlights:

• China is expected to remain the global leader in renewable energy over the next five years, accounting for almost half of new renewable power capacity from 2022-2027.
• China allocated $607 million for its 2022 renewable power subsidy and is projected to have renewable energy account for over 40% of its electricity consumption by 2027.
• China plans to hit peak emissions before 2030 and reach carbon neutrality by 2060. In 2021, China launched its national emission trading scheme (ETS)—now the largest carbon market in the world, which should help the country meet its emission reduction goals.
• Historically, China has a proven track record of achieving ambitious long term renewable energy goals set forth within The Five-Year Plan.​

KGRN Features:

• Access to China’s fast-growing environmental protection industry that has rapidly become the largest renewable energy market in the world¹.
• Exposure to companies that stand to benefit from China’s increased focus and spending on clean energy technologies.​
• Benchmarked to an MSCI ESG Index: MSCI is the #1 Socially Responsible Investment (SRI) and corporate governance research firm for the last four years, as determined by the Extel & SRI Connect Independent Research in Responsible Investment (IRRI) Survey.​