FXI vs. KLIP

Last updated Aug 2, 2026

FXI (iShares China Large-Cap ETF) and KLIP (KraneShares China Internet and Covered Call Strategy ETF) are both China Equities funds. FXI is passively managed, while KLIP is actively managed. Over the past 3 years, FXI returned 9.88%/yr vs 6.19%/yr for KLIP. Their correlation of 0.85 means they have usually moved in the same direction. FXI charges 0.74%/yr vs 0.95%/yr for KLIP.

Performance

FXI vs. KLIP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in iShares China Large-Cap ETF (FXI) and KraneShares China Internet and Covered Call Strategy ETF (KLIP). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FXI achieves a -3.96% return, which is significantly higher than KLIP's -7.10% return.

FXI

• 1D: -0.05%
• 1M: 14.38%
• 6M: -7.16%
• YTD: -3.96%
• 1Y: 0.93%
• 3Y*: 9.88%
• 5Y*: 0.26%
• 10Y*: 2.81%
• ALL TIME*: 5.58%

KLIP

• 1D: 0.31%
• 1M: 6.50%
• 6M: -11.47%
• YTD: -7.10%
• 1Y: -3.45%
• 3Y*: 6.19%
• 5Y*: —
• 10Y*: —
• ALL TIME*: 6.43%

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

Liquidity Comparison

Position	Avg. Volume Value (2W)	Avg. Volume Value (1M)	Avg. Volume Value (3M)
FXI iShares China Large-Cap ETF	$773.89M	$798.32M	$975.73M
KLIP KraneShares China Internet and Covered Call Strategy ETF	$623.83K	$609.30K	$993.79K

FXI vs. KLIP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
FXI iShares China Large-Cap ETF	-3.96%	28.95%	28.98%	-22.33%
KLIP KraneShares China Internet and Covered Call Strategy ETF	-7.10%	16.92%	3.37%	11.11%

Correlation

The correlation between FXI and KLIP is 0.82, meaning they have usually moved in the same direction, including during past declines.

	Correlation
Correlation (1Y) Focuses on recent behavior, but can change the most.	0.82
Correlation (3Y) Balances recent behavior with more history.	0.84
Correlation (All Time) Calculated using the full available price history since Jan 12, 2023	0.85

The correlation between FXI and KLIP has been stable across timeframes, ranging from 0.82 to 0.85 - a consistent structural relationship.

FXI vs. KLIP - Sectors Allocation Comparison

Sectors	FXI	KLIP
Financial Services	35.2%	2.0%
Consumer Cyclical	25.3%	34.2%
Communication Services	17.8%	45.8%
Technology	5.9%	4.2%
Energy	4.8%	-
Basic Materials	3.4%	-
Industrials	2.8%	-
Healthcare	2.6%	6.0%
Real Estate	1.0%	3.9%
Consumer Defensive	0.8%	4.0%
Utilities	0.3%	-

Return for Risk

FXI vs. KLIP — Risk / Return Rank

Compare historical risk-adjusted metric ranks over the past 12 months.

FXI

FXI Risk / Return Rank: 10
FXI Sharpe Ratio Rank: 11
FXI Sortino Ratio Rank: 10
FXI Omega Ratio Rank: 10
FXI Calmar Ratio Rank: 10
FXI Martin Ratio Rank: 10

KLIP

KLIP Risk / Return Rank: 7
KLIP Sharpe Ratio Rank: 7
KLIP Sortino Ratio Rank: 7
KLIP Omega Ratio Rank: 7
KLIP Calmar Ratio Rank: 8
KLIP Martin Ratio Rank: 8

The rank (0–100) uses a weighted average of the Sharpe, Sortino, Omega, Calmar, and Martin percentile ranks for the trailing 12 months. Higher means stronger historical risk-adjusted performance within the peer group.

FXI vs. KLIP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares China Large-Cap ETF (FXI) and KraneShares China Internet and Covered Call Strategy ETF (KLIP). 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.

	FXI	KLIP	Difference
Sharpe ratio: Return per unit of total volatility	-0.04	-0.26	+0.22
Sortino ratio: Return per unit of downside risk	0.09	-0.25	+0.34
Omega ratio: Gain probability vs. loss probability	1.01	0.97	+0.04
Calmar ratio: Return relative to maximum drawdown	-0.03	-0.20	+0.17
Martin ratio: Return relative to average drawdown	-0.07	-0.46	+0.39

FXI vs. KLIP - Sharpe Ratio Comparison

The current FXI Sharpe Ratio is -0.04, which is higher than the KLIP Sharpe Ratio of -0.26. The chart below compares the historical Sharpe Ratios of FXI and KLIP, 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

FXI vs. KLIP - Drawdown Comparison

The maximum FXI drawdown since its inception was -72.68%, which is greater than KLIP's maximum drawdown of -21.48%. Use the drawdown chart below to compare losses from any high point for FXI and KLIP.

Drawdown Indicators

	FXI	KLIP	Difference
Max Drawdown Largest peak-to-trough decline	-72.68%	-21.48%	-51.20%
Max Drawdown (1Y) Largest decline over 1 year	-22.94%	-21.48%	-1.46%
Max Drawdown (3Y) Largest decline over 3 years	-25.56%	-21.48%	-4.08%
Max Drawdown (5Y) Largest decline over 5 years	-49.88%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-60.81%	—	—
Current Drawdown Current decline from peak	-24.37%	-12.44%	-11.93%
Average Drawdown Average peak-to-trough decline	-31.21%	-4.32%	-26.89%
Ulcer Index Depth and duration of drawdowns from previous peaks	10.00%	9.19%	+0.81%

Volatility

FXI vs. KLIP - Volatility Comparison

iShares China Large-Cap ETF (FXI) has a higher volatility of 5.14% compared to KraneShares China Internet and Covered Call Strategy ETF (KLIP) at 2.40%. This indicates that FXI's price experiences larger fluctuations and is considered to be riskier than KLIP based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FXI	KLIP	Difference
Volatility (1M) Calculated over the trailing 1-month period	5.14%	2.40%	+2.74%
Volatility (6M) Calculated over the trailing 6-month period	14.61%	13.02%	+1.59%
Volatility (1Y) Calculated over the trailing 1-year period	20.32%	16.59%	+3.73%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	31.44%	17.99%	+13.45%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	27.60%	17.99%	+9.61%

FXI vs. KLIP - Expense Ratio Comparison

FXI has a 0.74% expense ratio, which is lower than KLIP's 0.95% expense ratio.

Dividends

FXI vs. KLIP - Dividend Comparison

FXI's dividend yield for the trailing twelve months is around 1.86%, less than KLIP's 27.63% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FXI iShares China Large-Cap ETF	1.86%	2.42%	1.76%	3.17%	2.61%	1.60%	2.19%	2.74%	2.69%	2.31%	2.69%	2.90%
KLIP KraneShares China Internet and Covered Call Strategy ETF	27.63%	25.14%	54.26%	61.22%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both FXI and KLIP in my portfolio?

FXI and KLIP have a correlation of 0.82, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FXI or KLIP?

FXI has higher volatility (5.14%) compared to KLIP (2.40%). In terms of maximum drawdown, FXI dropped -72.68% vs KLIP's -21.48%.

Which ETF is better, FXI or KLIP?

On 3-year performance, FXI leads with 9.88% vs 6.19% for KLIP. On fees, FXI is cheaper at 0.74% per year. On volatility, KLIP has been the lower-risk option at 2.40%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FXI or KLIP?

Over the 3-year period, FXI has performed better with a 9.88% return vs 6.19%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FXI or KLIP?

FXI is cheaper with a 0.74% expense ratio, compared with 0.95% for KLIP.

Which ETF pays a higher dividend yield, FXI or KLIP?

KLIP has the higher dividend yield at 27.63%, compared with 1.86% for FXI.

What is the main difference between FXI and KLIP?

They also come from different issuers: iShares and KraneShares. Their fees differ too: 0.74% for FXI and 0.95% for KLIP.

Which has better risk-adjusted returns?

FXI currently has the higher Sharpe Ratio (-0.04 vs -0.26), 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.