KraneShares KSTR ETF Offers U.S. Investors Exposure to Cambricon, “China's answer to Nvidia,” Amid 2025 Rally

October 03, 2025 08:30 ET | Source: KraneShares NEW YORK, Oct. 03, 2025 (GLOBE NEWSWIRE) -- Cambricon Technologies Corporation Limited (“Cambricon”), often described as “China's answer to Nvidia1,” has been one of the standout performers on Shanghai’s Science & Technology Innovation Board (“STAR Market”) in 2025. Cambricon’s shares have gained about ~111% year-to-date amid strong revenue growth (+4,347.8% year-over-year as of 6/30/2025) and profitability milestones (Net income went from a RMB -545.3 million net loss in H1 2024 to RMB +1.04 billion net profit in H1 2025).2 U.S. investors seeking exposure to Cambricon and other STAR companies can consider the KraneShares SSE STAR Market 50 Index ETF (NYSE: KSTR)—the only U.S.-listed ETF that tracks the SSE STAR Market 50 Index.3 Founded in 2016, Cambricon designs AI chips for cloud, edge, and terminal applications. The STAR Market—often likened to a Nasdaq-style venue because of its focus on high-tech and strategic emerging industries like next-generation information technology, biomedicine, high-end equipment, and similar industries—serves as a platform for high-growth science and technology firms. “Cambricon’s rapid ascent speaks to the scale and speed of innovation across China’s semiconductor and AI industries,” said Brendan Ahern, Chief Investment Officer at KraneShares. “Through KSTR, investors can gain exposure to STAR Market companies—including Cambricon—within a regulated, U.S.-listed vehicle.” Launched on January 26, 2021, KSTR provides exposure to up to 50 companies that meet market capitalization and liquidity requirements listed on the STAR Market, connecting investors to China’s next generation of innovators across semiconductors, next-gen IT, biotech, and new energy. KSTR is the only U.S.-listed ETF licensing the SSE STAR 50 Index.3 KSTR Performance (YTD): As of the most recent data available, KSTR is up ~48% year-to-date.2 The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed or sold, may be worth more or less than the original cost. Current performance may be lower or higher than the performance quoted. For performance data current to the last month-end, please visit https://kraneshares.com/kstr. For top 10 holdings, risks, and other important information about the KraneShares SSE STAR Market 50 Index ETF (Ticker: KSTR), please visit https://kraneshares.com/kstr. High short-term performance from a limited number of the fund’s holdings is unusual, and investors should not expect such performance to be continued over the long term. Past performance does not guarantee future results. Cambricon represents 12.55% of the fund (KSTR) as of 9/25/2025. Holdings are subject to change. About KraneShares KraneShares is a specialist investment manager focused on delivering global investors innovative, high-conviction strategies. The firm is known for its China-focused and climate-focused ETFs, as well as its solutions across emerging markets, carbon allowances, options income, and disruptive technologies like artificial intelligence and electric vehicles. KraneShares helps investors access transformative growth opportunities through research-driven products and educational resources. For more information, visit www.kraneshares.com. Citations: Reuters, “China investors seen looking past Cambricon index rebalance, staying bullish on AI,” as of 9/12/2025. Link: https://www.reuters.com/world/china/china-investors-seen-looking-past-cambricon-index-rebalance-staying-bullish-ai-2025-09-12/.Data from Bloomberg as of 9/25/2025.Data from Bloomberg as of 9/22/2025. Definitions: Revenue: The total amount of money generated by a company from its business activities, such as sales of goods or services, before any expenses are deducted. Net income: Accounts for all revenues and subtracts all expenses, including cost of goods sold, operating expenses, interest, and taxes. It reflects the true bottom-line profit available to shareholders and provides the most comprehensive measure of profitability. Carefully consider the Funds’ investment objectives, risk factors, charges and expenses before investing. This and additional information can be found in the Funds’ full and summary prospectus, which may be obtained by visiting www.kraneshares.com/kstr. Read the prospectus carefully before investing. Risk Disclosures: Investing involves risk, including possible loss of principal. There can be no assurance that a Fund will achieve its stated objectives. Indices are unmanaged and do not include the effect of fees. One cannot invest directly in an index. This information should not be relied upon as research, investment advice, or a recommendation regarding any products, strategies, or any security in particular. This material is strictly for illustrative, educational, or informational purposes and is subject to change. Certain content represents an assessment of the market environment at a specific time and is not intended to be a forecast of future events or a guarantee of future results; material is as of the dates noted and is subject to change without notice. A-Shares are issued by companies in mainland China and traded on local exchanges. They are available to domestic and certain foreign investors, including QFIs and those participating in Stock Connect Programs like Shanghai-Hong Kong and Shenzhen-Hong Kong. Foreign investments in A-Shares face various regulations and restrictions, including limits on asset repatriation. A-Shares may experience frequent trading halts and illiquidity, which can lead to volatility in KSTR’s share price and increased trading halt risks. The Chinese economy is an emerging market, vulnerable to domestic and regional economic and political changes, often showing more volatility than developed markets. Chinese companies face risks from potential government interventions, and the export-driven economy is sensitive to downturns in key trading partners, impacting KSTR. U.S.-China tensions raise concerns over tariffs and trade restrictions, which could harm China’s exports and KSTR. China's regulatory standards are less stringent than in the U.S., resulting in limited information about issuers. Tax laws are unclear and subject to change, potentially impacting KSTR and leading to unexpected liabilities for foreign investors. Fluctuations in currency of foreign countries may have an adverse effect to domestic currency values. KSTR may invest in derivatives, which are often more volatile than other investments and may magnify KSTR's gains or losses. A derivative (i.e., futures/forward contracts, swaps, and options) is a contract that derives its value from the performance of an underlying asset. The primary risk of derivatives is that changes in the asset’s market value and the derivative may not be proportionate, and some derivatives can have the potential for unlimited losses. Derivatives are also subject to liquidity and counterparty risk. KSTR is subject to liquidity risk, meaning that certain investments may become difficult to purchase or sell at a reasonable time and price. If a transaction for these securities is large, it may not be possible to initiate, which may cause KSTR to suffer losses. Counterparty risk is the risk of loss in the event that the counterparty to an agreement fails to make required payments or otherwise comply with the terms of the derivative. KSTR may invest in Initial Public Offerings (IPOs). Securities issued in IPOs have no trading history, and information about the companies may be available for very limited periods. In addition, the prices of securities sold in IPOs may be highly volatile. In addition, as KSTR increases in size, the impact of IPOs on KSTR’s performance will generally decrease. Narrowly focused investments typically exhibit higher volatility. KSTR’s assets are expected to be concentrated in a sector, industry, market, or group of concentrations to the extent that the Underlying Index has such concentrations. The securities or futures in that concentration could react similarly to market developments. Thus, KSTR is subject to loss due to adverse occurrences that affect that concentration. In addition to the normal risks associated with investing, investments in smaller companies typically exhibit higher volatility. KSTR is non-diversified. ETF shares are bought and sold on an exchange at market price (not NAV) and are not individually redeemed from the Fund. However, shares may be redeemed at NAV directly by certain authorized broker-dealers (Authorized Participants) in very large creation/redemption units. The returns shown do not represent the returns you would receive if you traded shares at other times. Shares may trade at a premium or discount to their NAV in the secondary market. Brokerage commissions will reduce returns. Beginning 12/23/2020, market price returns are based on the official closing price of an ETF share or, if the official closing price isn't available, the midpoint between the national best bid and national best offer (“NBBO”) as of the time the ETF calculates the current NAV per share. Prior to that date, market price returns were based on the midpoint between the Bid and Ask price. NAVs are calculated using prices as of 4:00 PM Eastern Time. The KraneShares ETFs and KFA Funds ETFs are distributed by SEI Investments Distribution Company (SIDCO), 1 Freedom Valley Drive, Oaks, PA 19456, which is not affiliated with Krane Funds Advisors, LLC, the Investment Adviser for the Funds, or any sub-advisers for the Funds. Contact:KraneShares Investor Relationsinfo@kraneshares.com

KraneShares KSTR ETF Offers U.S. Investors Exposure to Cambricon, “China's answer to Nvidia,” Amid 2025 Rally

FAQ

Why Bullish?

How important is it?

Why Short Term?

Related Companies

Related News