“China is outpacing other world leaders in growth of electric power capacity from renewable technologies,” KraneShares said.
Related: A Cheap Way for Bond ETF Investors to Diversify
China is the world leader in total renewable energy capacity at 28% of total global capacity. Beijing is expected to spend $360 billion on renewable energy and achieve 50% commercial green building certification by 2020, which would create as much new renewable energy as the entire U.S. electricity system.
“China has a proven track record of achieving ambitious long term renewable energy goals set forth within The Five Year Plan,” according to KraneShares.
KGRN’s sector weights include consumer discretionary 8.3%, real estate 27.1%, information technology 13.5%, industrials 16.7% and utilities 34.5%.
For more information on new fund products, visit our new ETFs category.