Tom Lydon Interviews KraneShares Brendan Ahern

When it comes to investing in the Chinese markets, exchange traded fund investors have many options. However, potential investors should understand that gaining exposure to China depends on where company stocks are listed.

ETF Trends’ Tom Lydon sat down with Brendan Ahern, Managing Director at KraneShares, to discuss Chinese stock listings and differences in indexing methodologies.

“We’ve partnered with China Securities Index,” Ahern said. “CSI is the largest index provider in mainland China, and we like their approach of [sic]they view Chinese stocks that are either mainland, which means they are listed on the Shanghai or Shenzhen exchange, or you’re overseas.”

For instance, Baidu (NasdaqGS: BIDU), “the Google of China,” is listed on the Nasdaq, but Baidu isn’t on a lot of China indices because of where the company is listed, Ahern explained.

KraneShares is a relatively new ETF provider that focuses on China-related ETFs. The firm currently offers the KraneShares CSI China Internet ETF (NasdaqGS: KWEB) and the KraneShares CSI China Five Year Plan ETF (NYSEArca: KFYP). The provider is also working on a China A-shares ETF, KraneShares Bosera MSCI China A ETF (KBA). [KraneShares Eyes Its Own China A-Shares Play]

Watch the video below to see the full interview with Brendan Ahern.

To view past video interviews, visit our videos section.