EWH vs. KCAI

Last updated Jul 14, 2026

EWH (iShares MSCI Hong Kong ETF) and KCAI (KraneShares China Alpha Index ETF) are both exchange-traded funds - EWH is a Asia Pacific Equities fund tracking the MSCI Hong Kong Index, while KCAI is a China Equities fund tracking the Qi China Alpha Index. Both are passively managed. Over the past year, EWH returned 11.20% vs 39.53% for KCAI. At a 0.48 correlation, their price movements are largely independent. EWH charges 0.49%/yr vs 0.79%/yr for KCAI.

Performance

EWH vs. KCAI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares MSCI Hong Kong ETF (EWH) and KraneShares China Alpha Index ETF (KCAI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, EWH achieves a 1.86% return, which is significantly lower than KCAI's 3.23% return.

EWH

• 1D: -0.93%
• 1M: -1.62%
• 6M: -3.93%
• YTD: 1.86%
• 1Y: 11.20%
• 3Y*: 7.89%
• 5Y*: -0.65%
• 10Y*: 4.02%

KCAI

• 1D: -0.65%
• 1M: -4.13%
• 6M: 2.63%
• YTD: 3.23%
• 1Y: 39.53%
• 3Y*: —
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

EWH vs. KCAI - Yearly Performance Comparison

	2026 (YTD)	2025	2024
EWH iShares MSCI Hong Kong ETF	1.86%	34.50%	5.48%
KCAI KraneShares China Alpha Index ETF	3.23%	53.29%	11.36%

Correlation

The correlation between EWH and KCAI is 0.46, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.46
Correlation (All Time) Calculated using the full available price history since Aug 28, 2024	0.48

EWH vs. KCAI - Sectors Allocation Comparison

Sectors	EWH	KCAI
Financial Services	43.9%	39.0%
Industrials	18.3%	23.6%
Real Estate	18.0%	-
Utilities	11.6%	-
Consumer Cyclical	3.9%	11.5%
Consumer Defensive	2.6%	-
Communication Services	1.7%	-
Basic Materials	-	11.3%
Energy	-	-
Healthcare	-	1.3%
Technology	-	13.2%

Return for Risk

EWH vs. KCAI — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

EWH

EWH Risk / Return Rank: 23
EWH Sharpe Ratio Rank: 24
EWH Sortino Ratio Rank: 23
EWH Omega Ratio Rank: 22
EWH Calmar Ratio Rank: 22
EWH Martin Ratio Rank: 23

KCAI

KCAI Risk / Return Rank: 94
KCAI Sharpe Ratio Rank: 95
KCAI Sortino Ratio Rank: 95
KCAI Omega Ratio Rank: 93
KCAI Calmar Ratio Rank: 96
KCAI Martin Ratio Rank: 94

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

EWH vs. KCAI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares MSCI Hong Kong ETF (EWH) and KraneShares China Alpha Index ETF (KCAI). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	EWH	KCAI	Difference
Sharpe ratio: Return per unit of total volatility	0.68	2.88	-2.20
Sortino ratio: Return per unit of downside risk	1.06	4.15	-3.10
Omega ratio: Gain probability vs. loss probability	1.13	1.50	-0.38
Calmar ratio: Return relative to maximum drawdown	0.84	6.74	-5.90
Martin ratio: Return relative to average drawdown	2.29	21.56	-19.27

EWH vs. KCAI - Sharpe Ratio Comparison

The current EWH Sharpe Ratio is 0.68, which is lower than the KCAI Sharpe Ratio of 2.88. The chart below compares the historical Sharpe Ratios of EWH and KCAI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

EWH vs. KCAI - Drawdown Comparison

The maximum EWH drawdown since its inception was -66.44%, which is greater than KCAI's maximum drawdown of -25.48%. Use the drawdown chart below to compare losses from any high point for EWH and KCAI.

Drawdown Indicators

	EWH	KCAI	Difference
Max Drawdown Largest peak-to-trough decline	-66.44%	-25.48%	-40.96%
Max Drawdown (1Y) Largest decline over 1 year	-13.41%	-5.90%	-7.51%
Max Drawdown (3Y) Largest decline over 3 years	-24.93%	—	—
Max Drawdown (5Y) Largest decline over 5 years	-41.12%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-42.71%	—	—
Current Drawdown Current decline from peak	-11.84%	-5.37%	-6.47%
Average Drawdown Average peak-to-trough decline	-19.45%	-6.95%	-12.50%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.90%	1.84%	+3.06%

Volatility

EWH vs. KCAI - Volatility Comparison

The current volatility for iShares MSCI Hong Kong ETF (EWH) is 4.39%, while KraneShares China Alpha Index ETF (KCAI) has a volatility of 4.63%. This indicates that EWH experiences smaller price fluctuations and is considered to be less risky than KCAI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	EWH	KCAI	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.39%	4.63%	-0.24%
Volatility (6M) Calculated over the trailing 6-month period	12.04%	9.15%	+2.89%
Volatility (1Y) Calculated over the trailing 1-year period	16.52%	13.81%	+2.71%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	20.12%	20.88%	-0.76%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	19.51%	20.88%	-1.37%

EWH vs. KCAI - Expense Ratio Comparison

EWH has a 0.49% expense ratio, which is lower than KCAI's 0.79% expense ratio.

Dividends

EWH vs. KCAI - Dividend Comparison

EWH's dividend yield for the trailing twelve months is around 4.86%, less than KCAI's 34.31% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
EWH iShares MSCI Hong Kong ETF	4.86%	5.20%	4.17%	4.28%	2.91%	2.78%	2.56%	2.71%	2.93%	4.35%	3.08%	2.63%
KCAI KraneShares China Alpha Index ETF	34.31%	35.42%	2.19%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both EWH and KCAI in my portfolio?

EWH and KCAI have a correlation of 0.46, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, EWH or KCAI?

KCAI has higher volatility (4.63%) compared to EWH (4.39%). In terms of maximum drawdown, EWH dropped -66.44% vs KCAI's -25.48%.

Which ETF is better, EWH or KCAI?

On 1-year performance, KCAI leads with 39.53% vs 11.20% for EWH. On fees, EWH is cheaper at 0.49% per year. On volatility, EWH has been the lower-risk option at 4.39%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, EWH or KCAI?

Over the 1-year period, KCAI has performed better with a 39.53% return vs 11.20%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, EWH or KCAI?

EWH is cheaper with a 0.49% expense ratio, compared with 0.79% for KCAI.

Which ETF pays a higher dividend yield, EWH or KCAI?

KCAI has the higher dividend yield at 34.31%, compared with 4.86% for EWH.

What is the main difference between EWH and KCAI?

EWH is categorized as Asia Pacific Equities, while KCAI is China Equities. EWH tracks MSCI Hong Kong Index, while KCAI tracks Qi China Alpha Index. They also come from different issuers: iShares and KraneShares. Their fees differ too: 0.49% for EWH and 0.79% for KCAI.

Which has better risk-adjusted returns?

KCAI currently has the higher Sharpe Ratio (2.88 vs 0.68), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.