JD is now a bigger holding in KWEB than Alibaba with only Tencent receiving a larger weight in the ETF than JD.
KraneShares also cites MSCI’s decision to include Alibaba and Baidu (NasdaqGS: BIDU) in some of its widely followed international benchmarks as a catalyst that could lift Chinese Internet stocks this year.
In January, MSCI said it will allow some companies with primary stock market listings outside of their home domiciles into the firm’s equity indexes, paving the way for Alibaba and Baidu to join some-well know international indexes. Prior to Alibaba’s IPO, MSCI said the company would not be eligible to join MSCI indexes because of the company’s decision to primarily list in New York while incorporating in the Cayman Islands. [MSCI to Add Alibaba, Baidu to Global Indexes]
MSCI’s inclusion process will not start until November and work in two stages lasting until February 2016, according to KraneShares.
KraneShares CSI China Internet Fund
