At a glance
KSTR charges 0.89% a year, above the 0.6% average of the 3 funds most like it (the most expensive of 4). It has $302.6M in assets, the 2nd largest of that group. Over the past year it returned −7.2% with distributions reinvested (S&P 500: +11.5%), 2nd of those 4 funds; over three years it returned +15.5% a year. At its worst it fell 44.3% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 43 months after the low. Its ten largest positions make up 62.4% of the fund, out of 51 in all.
The short version
KraneShares SSE Star Market 50 Index ETF (KSTR) tracks the SSE Science and Technology Innovation Board 50 Index. That index holds the 50 largest companies on Shanghai's STAR Market, a stock exchange board for Chinese science and technology firms. The fund leans heavily toward semiconductor-related stocks such as Cambricon Technologies, Montage Technology and Hygon Information Technology. Its 0.89% expense ratio is the highest among its matched peers, and its price swings have been extreme.
Price history
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KSTR -7.2% 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 | |
|---|---|---|---|---|---|---|
| KSTR official prospectus, to Dec 31, 2025 | — | +41.28% | — | -5.87% | — | — |
| MSCI China All Shares Index (Reflects no deduction for fees, expenses or taxes) index, same period | — | +28.94% | — | -4.48% | — | — |
| SSE Science & Technology Innovation Board 50 Index (Reflects no deduction for fees, expenses or taxes) index, same period | — | +42.58% | — | -2.93% | — | — |
| KSTR price data to Oct 27, 2026 | -0.6% | -7.2% | +15.5% | -4.6% | — | -4.8% |
- Over the year to Oct 27, 2026, KSTR returned -7.2%, 2nd of 4 among similar funds.
- Its 5-year annualized return was -4.6%.
- Its worst full calendar year was 2022 (-38.5%); its best was 2025 (+42.8%).
- The deepest fall in its price history was 66.5% (Jul 12, 2021 to Sep 9, 2024), recovered by Jun 18, 2026.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | -0.6% | — |
| 2025 | +42.8% | +41.28% |
| 2024 | +6.1% | +6.40% |
| 2023 | -17.9% | -18.12% |
| 2022 | -38.5% | -38.14% |
| 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 | Lost 42.5% over that stretch · deepest drop along the way 44.3%, back to its old high 42.8 months after the low |
What's inside
As of Jun 30, 2026, the fund held 51 securities; the ten largest made up 62.37% of assets.
| Holding | Weight | |
|---|---|---|
| Cambricon Technologies Corp Ltd | 9.90% | |
| Montage Technology Co Ltd | 8.79% | |
| Hygon Information Technology Co Ltd | 8.51% | |
| Advanced Micro-Fabrication Equipment Inc China | 7.78% | |
| Yuanjie Semiconductor Technology Co Ltd | 5.34% | |
| Biwin Storage Technology Co Ltd | 5.30% | |
| Piotech Inc | 4.78% | |
| Verisilicon Microelectronics (Shanghai) Co., Ltd | 4.44% | |
| Hua Hong Grace Semiconductor Limited | 3.90% | |
| Hwatsing Technology Co Ltd | 3.62% | |
| Skyverse Technology Co Ltd | 3.00% | |
| SUPCON Technology Co Ltd | 2.11% | |
| National Silicon Industry Group Co., Ltd. | 1.87% | |
| ACM Research Shanghai Inc | 1.78% | |
| Nexchip Semiconductor Corporation | 1.68% |
By country
China 99.69%By asset type
Stocks 99.69%What changed recently
- Over the three months to Jun 30, 2026, investors added a net $128.5M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +26.44%, +12.11%, +26.09%.
How it works
The fund aims to match the SSE Science and Technology Innovation Board 50 Index, before fees. The STAR Market is a Shanghai Stock Exchange board for science and technology companies. The index picks its 50 largest stocks by free-float market capitalization, which is the value of shares available for public trading. Stocks must pass size and liquidity screens and must have traded for at least one month. Each stock's weight follows its free-float size, with a 10% cap on any one stock. If too few companies qualify, the index can hold as few as 30. It is rebalanced and reconstituted every quarter.
The holdings are China A-shares, which are stocks of mainland Chinese companies priced in renminbi. Foreign investors can buy them only through the Stock Connect trading links or with a Qualified Foreign Investor license. Krane Funds Advisors is the adviser. The sub-adviser, Bosera Asset Management (International), holds that license. The fund expects to hold every stock in the index but may use a representative sample instead. Up to 20% can go into other instruments, including swaps, futures, other ETFs and Hong Kong-listed Chinese shares.
The fund is non-diversified, so a single stock can move it sharply. As of March 31, 2026, information technology made up 85.8% of the index. The prospectus reports portfolio turnover of 188% and lists the fund as the KraneShares China Technology & Semiconductor STAR 50 Index ETF.
What it really costs
- KSTR charges 0.89% a year, versus an average of 0.6% for the similar funds below (4th of 4, cheapest first).
- Of that, 0.88% is the management fee; the rest covers other fund expenses.
- Using the prospectus's standard example, $10,000 invested would cost about $91 in the first year and $1,096 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| KSTR | $91 | $284 | $493 | $1,096 |
In a retirement portfolio
It is a concentrated, income-free bet on Chinese technology stocks that swung about 46% a year over three years, so it fits a small slice of a portfolio rather than its foundation.
KSTR could add a concentrated slice of Chinese semiconductor and technology stocks listed on the STAR Market, but the ride has been rough. It launched in 2021, so it missed the 2008 and 2020 crashes. In the 2022 bear market it fell 44.3% and didn't regain that peak until May 6, 2026. Its deepest drop was 66.5%, from July 2021 to September 2024. Recovery took another 21.3 months, to June 18, 2026. Its worst calendar year was 2022, when it fell about 38%. Anyone who has to sell during a slump could lock in heavy losses. The fund has paid no distributions, so it provides no income. In the SEC's standard example, its 0.89% expense ratio costs $91 in the first year on $10,000. Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want targeted exposure to Chinese semiconductor-related stocks like Cambricon, Montage and Hygon, and who accept that the top 10 hold about 62%.
- Long-horizon investors who could sit through a drop like the 66.5% fall from July 2021 to September 2024 without needing to sell.
- Holders of broad China funds who want STAR Market exposure that overlaps little with peers. It shares only about 11% of holdings with CQQQ.
Look elsewhere if
- Retirees or income seekers who need cash flow, since the fund has no recorded distributions.
- Cost-conscious investors: its 0.89% expense ratio ranks last of four matched funds, which average 0.60%.
- Anyone wanting broad Chinese stock exposure. Tech made up 85.8% of the index as of March 31, 2026, so CNYA or KBA are worth comparing.
Close alternatives
Matched by closest holdings overlap from the latest N-PORT reports (no similar fund shares 20% or more of its holdings).
Net assets from each fund's latest N-PORT or annual report where available. Returns through Oct 27, 2026.Questions investors ask
Is KSTR good for retirement?
KSTR is built as a high-risk satellite holding, not a core retirement fund. It holds about 50 Chinese technology stocks, mostly semiconductor-related. Its three-year volatility was 46.4% as of October 27, 2026. It fell 66.5% between July 2021 and September 2024 and didn't recover until June 2026. It pays no income and charges 0.89% a year. It may suit investors who keep it to a small share of a diversified portfolio.
Does KSTR pay dividends?
No. KSTR has no recorded distributions, so it produces no income for holders. All of its return comes from changes in the share price. That matters for retirees who rely on cash from their portfolio. Getting money out of KSTR means selling shares, possibly at a bad time given its swings. For example, it fell 21.3% in the month to October 27, 2026. Income would have to come from other holdings.
KSTR vs CQQQ: what's the difference?
Both focus on Chinese technology, but they share only about 11% of their holdings, based on the latest N-PORT reports. KSTR holds only STAR Market A-shares and charges 0.89%. Invesco China Technology ETF (CQQQ) charges 0.65% and is much larger. It had about $3.05 billion in net assets as of July 31, 2026, versus about $303 million for KSTR as of June 30, 2026. As of October 27, 2026, KSTR returned -7.2% over one year and 15.5% a year over three years. CQQQ returned -30.4% and 5.7%.
What stocks are in KSTR?
KSTR holds the largest companies on Shanghai's STAR Market, with a heavy tilt toward semiconductor-related firms. As of June 30, 2026, its largest positions were Cambricon Technologies (9.9%), Montage Technology (8.8%), Hygon Information Technology (8.5%), Advanced Micro-Fabrication Equipment (7.8%) and Yuanjie Semiconductor Technology (5.3%). The fund held 51 positions, and the top 10 made up 62.4% of assets. Nearly all of its money was in Chinese stocks.
How has KSTR performed since it launched?
KSTR's results have been uneven. Its prospectus shows a 41.28% gain in 2025. Over the five years to December 31, 2025, it lost 5.87% a year, trailing its index's -2.93%. Calendar-year returns were -38.14% in 2022, -18.12% in 2023 and 6.4% in 2024. Its strongest quarter gained 44.91% (third quarter of 2025), and its weakest lost 22.99% (first quarter of 2022). As of October 27, 2026, it was down 7.2% over one year.