KraneShares Launches Carbon Reducers ETF

The new fund tracks companies trying to reduce emissions.

KraneShares’ latest ETF aims to track companies that are materially decreasing their carbon emissions or trying to reduce other companies’ footprints. 

The KraneShares Global Carbon Transformation ETF (KGHG) debuted on the NYSE Arca Wednesday with an expense ratio of 0.88%. 

The actively managed fund targets companies that are cutting down their carbon emissions across their own operations and the operations of their suppliers. It also tracks companies that are making decarbonization technologies for the broader public. It is fully transparent. 

On-Demand Webinar: ETF.com and KraneShares discuss ‘What’s Driving the Electric Vehicle Market & How to Invest.’ Watch now. 

KGHG is purely an equity fund and does not hold carbon credits like the other three KraneShares ETFs that track various emissions permit markets in Europe, Canada and California. Those funds carry a combined $1.4 billion in assets. 

The new fund is entering an already packed thematic segment, ranging from the $1.3 billion BlackRock U.S. Carbon Transition Readiness ETF (LCTU) to the $22 million JPMorgan Climate Change Solutions ETF (TEMP). 

Contact Dan Mika at [email protected], and follow him on Twitter