At a glance
KBAB charges 0.99% a year. It has $2.2M in assets; it paid 132.51% of its price in distributions over the past 12 months, semiannual. Over the past year it returned −71.0% with distributions reinvested (S&P 500: +11.5%).
The short version
KraneShares 2x Long BABA Daily ETF (KBAB) uses swaps to seek twice the daily percentage change of Alibaba Group's American depositary receipt (ADR), its US-traded shares, resetting exposure every trading day. It is built for traders seeking amplified short-term moves in one Chinese stock; held longer, results can drift far from 2x. As of October 27, 2026, it had lost 71% over one year, and its net expense ratio is 0.99%.
Price history
The interactive chart needs JavaScript.
KBAB -71.0% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| KBAB price data to Oct 27, 2026 | -54.8% | -71.0% | — | — | — | -41.8% |
- Over the year to Oct 27, 2026, KBAB returned -71.0%.
- The deepest fall in its price history was 79.1% (Oct 2, 2025 to Jun 25, 2026), not yet recovered.
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -54.8% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Before this security existed |
Dividends and income
No distribution history is available for this fund.
Distributions through Oct 27, 2026.What's inside
As of Jun 30, 2026, most of the fund sat in cash, Treasury bills and money-market holdings (109.71% of net assets), with its exposure coming from 1 swap and futures positions rather than from owning the stocks outright.
| Holding | Weight |
|---|
By country
By asset type
What changed recently
- Over the three months to Jun 30, 2026, investors added a net $475K (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -40.33%, -13.58%, +8.44%.
How it works
KBAB follows no index. Its adviser, Krane Funds Advisors, LLC, aims to deliver twice (200%) the daily percentage change of Alibaba Group Holding Limited's ADR (NYSE: BABA), before fees, measured from one day's close to the next. It can hold BABA shares directly and uses swaps: contracts with large financial institutions to exchange the return on a set dollar amount of the stock. As of June 30, 2026, it held only cash and cash-like holdings worth about 110% of net assets, plus one 2x BABA swap with Marex carrying a negative value of about 18%, a loss owed on the contract.
Exposure resets daily. If BABA rises, the fund's assets grow and it adds exposure; if BABA falls, it trims exposure. Because each day's return compounds on the last, results over weeks or months will very likely differ from twice BABA's return. The prospectus warns the fund will lose money if BABA is flat over time, and can lose money even when BABA rises, especially when the stock swings sharply.
The fund is non-diversified (allowed to hold few positions) and concentrated in Alibaba's assigned industry, consumer discretionary distribution and retail, as of March 31, 2026. It generally takes no defensive positions when BABA falls. If a swap counterparty fails to pay, the fund's value could drop.
What it really costs
- KBAB charges 0.99% a year.
- Of that, 1.25% is the management fee; the rest covers other fund expenses.
- The fee includes a 0.27% waiver from the adviser, which may end.
- Using the prospectus's standard example, $10,000 invested would cost about $101 in the first year and $1,474 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| KBAB | $101 | $345 | $638 | $1,474 |
Structure and tax notes
- Resets its exposure every day. Over periods longer than a day, compounding means returns can differ sharply from 2× the index — usually worse in choppy markets. Built for short-term trading, not buy-and-hold.
In a retirement portfolio
It offers 2x Alibaba's daily move with a daily reset, and its prospectus says longer-term results will very likely differ from 2x and can be losses even when the stock rises.
Launched March 11, 2025, KBAB has no record from the 2008, 2020 or 2022 downturns and no full calendar year. It fell 79.1% from October 2, 2025, to June 25, 2026, and had not recovered as of October 27, 2026, when it was down 71% over one year. Anyone needing cash in a slump like that would lock in a deep loss, and the daily reset means an Alibaba rebound may not restore the fund's value.
Trailing 12-month distributions of $8.54 per share, paid semiannually, equaled a 132.5% yield as of October 27, 2026, a figure inflated by the falling share price, not a sign of steady income. The net expense ratio is 0.99%; the SEC's standard example shows $101 in costs on $10,000 after one year and $1,474 after 10. Past results don't predict the future, and any plan needs a whole-portfolio view, not a single fund.
Who it may suit — and who should look elsewhere
May suit
- Active traders who check positions daily and want twice Alibaba's one-day move without opening a margin account.
- Traders with a strong short-term view on Alibaba who accept the risk of total loss the prospectus describes.
- Experienced investors who understand daily compounding and can stomach swings like its 82.1% annualized volatility in the year to October 27, 2026.
Look elsewhere if
- Retirees or savers seeking long-term growth: the daily reset means multi-month returns can fall short of 2x, even turning negative while BABA rises.
- Income seekers: its 132.5% trailing yield as of October 27, 2026, came alongside a 71% one-year loss and reflects a shrunken share price.
- Anyone wanting diversification: it offers exposure to one Chinese company, with China, emerging-market and swap counterparty risks, and charges 0.99% a year.
Close alternatives
Matched by leveraged/inverse funds on the same index (the index could not be identified from the name).
No close alternatives found.
Questions investors ask
Is KBAB good for long-term investors?
No, KBAB is not built for long-term holding. It seeks twice the daily percentage change of Alibaba's ADR and resets every day, so returns over longer periods will very likely differ from 2x. The prospectus says it will lose money if BABA is flat over time and can lose money even while BABA rises. As of October 27, 2026, it was down 71% over one year, and its 79.1% fall from an October 2, 2025, peak had not been recovered.
What's the difference between KBAB and BABA stock?
BABA is Alibaba's US-traded stock, an American depositary receipt (ADR); holders gain or lose one-for-one with its price. KBAB aims for twice BABA's daily percentage change, before fees, using swaps and possibly the stock itself. As of June 30, 2026, it held cash and one BABA swap, and no Alibaba shares. KBAB adds a 0.99% net expense ratio, swap counterparty risk and daily compounding, so over months its return can differ widely from double BABA's.
Does KBAB pay dividends?
Yes, KBAB makes distributions, on a semiannual (twice-a-year) schedule. Over the trailing 12 months they totaled $8.54 per share, a yield of about 132.5% as of October 27, 2026. That figure is a poor guide to income: the fund lost 71% over the same year, shrinking the share price the yield is measured against, and payouts from a swap-based fund can vary widely. Each distribution also lowers the fund's per-share value by the amount paid.
What is KBAB's expense ratio?
KBAB's net expense ratio is 0.99%, according to its prospectus filed July 29, 2026. The prospectus lists a 1.25% management fee and a 0.27% fee waiver. In the SEC's standard example, which assumes $10,000 invested, a 5% annual return and shares redeemed at the end of each period, costs total about $101 after one year, $345 after three years, $638 after five and $1,474 after 10. Trading costs, such as bid-ask spreads (the gap between quoted purchase and sale prices), come on top.
Can you lose all your money in KBAB?
Yes. The prospectus states that an investment in KBAB involves the risk of total loss. Because the fund aims to double Alibaba's daily moves, a severe one-day fall in BABA hits it roughly twice as hard, and losses compound. It fell 79.1% from October 2, 2025, to June 25, 2026. It also carries China, emerging-markets and swap counterparty risks, and with about $2.2 million in net assets on June 30, 2026, it is a very small fund.