KWEB's down more than 50% YTD, touching a near 3-year low as Chinese stocks selloff

China flag. A series of "Flags of the world." (The country - China flag)

Igor Ilnitckii/iStock via Getty Images

  • KraneShares CSI China Internet ETF (NYSEARCA:KWEB) drops 5.5% on Monday’s trading session, pushing the internet and internet-related technology fund to a near 3-year trading low dating back to Jan. 3, 2019.
  • KWEB is now down 51.7% year-to-date and is also off 64.3% from its 2021 high, which came back on Feb. 17. Moreover, the fund has now closed to the downside in 19 of its last 25 trading sessions. Below is a three-year chart of KWEB, highlighting its recent drop-off.

  • Fueling KWEB's downward spiral is the continued regulatory pressures coming from Beijing and the broader market concerns around the Omicron COVID-19 variant.
  • KWEB's slide on Monday can also be attributed to a handful of its key holdings, which finished in the red.
  • Tencent Holdings (OTCPK:TCEHY), KWEB's top holding, weighted at 9.93%, closed -2.5%. Meituan (OTCPK:MPNGF), the fund's second-largest holding at 7.91%, fell 2.9%, and JD.com (NASDAQ:JD), its third-largest holding at 6.75%, ended -4%.
  • Moreover, KWEB's fourth and fifth largest holdings Alibaba (NYSE:BABA) and Baidu (NASDAQ:BIDU), weighted at 6.11% and 5.92%, also dropped 5.8% and 3.9%.
  • KWEB's descent continues as earlier in the month the fund sank in lieu of DiDi Global (NYSE:DIDI) which fell 6% today, announced plans to delist from the NYSE.

Recommended For You

Comments (25)

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.