KCAI vs. KSTR

Last updated Jun 27, 2026

KCAI (KraneShares China Alpha Index ETF) and KSTR (KraneShares SSE STAR Market 50 Index ETF) are both China Equities funds from KraneShares - KCAI tracks the Qi China Alpha Index while KSTR tracks the SSE Science and Technology Innovation Board 50 Index. Both are passively managed. Over the past year, KCAI returned 43.55% vs 117.73% for KSTR. At a 0.48 correlation, their price movements are largely independent. KCAI charges 0.79%/yr vs 0.89%/yr for KSTR.

Performance

KCAI vs. KSTR - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in KraneShares China Alpha Index ETF (KCAI) and KraneShares SSE STAR Market 50 Index ETF (KSTR). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, KCAI achieves a 4.28% return, which is significantly lower than KSTR's 58.36% return.

KCAI

• 1D: -1.13%
• 1M: -1.87%
• YTD: 4.28%
• 6M: 4.63%
• 1Y: 43.55%
• 3Y*: —
• 5Y*: —
• 10Y*: —

KSTR

• 1D: 0.20%
• 1M: 13.13%
• YTD: 58.36%
• 6M: 57.68%
• 1Y: 117.73%
• 3Y*: 25.89%
• 5Y*: 2.11%
• 10Y*: —

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

KCAI vs. KSTR - Yearly Performance Comparison

	2026 (YTD)	2025	2024
KCAI KraneShares China Alpha Index ETF	4.28%	53.29%	11.36%
KSTR KraneShares SSE STAR Market 50 Index ETF	58.36%	42.82%	34.46%

Correlation

The correlation between KCAI and KSTR is 0.35, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.35
Correlation (All Time) Calculated using the full available price history since Aug 28, 2024	0.48

The correlation between KCAI and KSTR shifts across timeframes, from 0.35 (1 year) to 0.48 (all time), reflecting how their relationship changes across market environments.

KCAI vs. KSTR - Sectors Allocation Comparison

Sectors	KCAI	KSTR
Financial Services	39.0%	-
Industrials	23.6%	6.6%
Technology	13.2%	86.3%
Consumer Cyclical	11.5%	0.9%
Basic Materials	11.3%	0.6%
Healthcare	1.3%	5.7%
Communication Services	-	-
Consumer Defensive	-	-
Energy	-	0.9%
Real Estate	-	-
Utilities	-	-

Return for Risk

KCAI vs. KSTR — Risk / Return Rank

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

KCAI

KCAI Risk / Return Rank: 95
KCAI Sharpe Ratio Rank: 95
KCAI Sortino Ratio Rank: 95
KCAI Omega Ratio Rank: 93
KCAI Calmar Ratio Rank: 97
KCAI Martin Ratio Rank: 96

KSTR

KSTR Risk / Return Rank: 91
KSTR Sharpe Ratio Rank: 95
KSTR Sortino Ratio Rank: 91
KSTR Omega Ratio Rank: 90
KSTR Calmar Ratio Rank: 95
KSTR Martin Ratio Rank: 88

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.

KCAI vs. KSTR - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for KraneShares China Alpha Index ETF (KCAI) and KraneShares SSE STAR Market 50 Index ETF (KSTR). 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.

	KCAI	KSTR	Difference
Sharpe ratio: Return per unit of total volatility	3.20	3.16	+0.04
Sortino ratio: Return per unit of downside risk	4.57	3.70	+0.87
Omega ratio: Gain probability vs. loss probability	1.56	1.49	+0.07
Calmar ratio: Return relative to maximum drawdown	9.93	6.69	+3.24
Martin ratio: Return relative to average drawdown	28.09	16.51	+11.58

KCAI vs. KSTR - Sharpe Ratio Comparison

The current KCAI Sharpe Ratio is 3.20, which is comparable to the KSTR Sharpe Ratio of 3.16. The chart below compares the historical Sharpe Ratios of KCAI and KSTR, 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

KCAI vs. KSTR - Drawdown Comparison

The maximum KCAI drawdown since its inception was -25.48%, smaller than the maximum KSTR drawdown of -66.46%. Use the drawdown chart below to compare losses from any high point for KCAI and KSTR.

Drawdown Indicators

	KCAI	KSTR	Difference
Max Drawdown Largest peak-to-trough decline	-25.48%	-66.46%	+40.98%
Max Drawdown (1Y) Largest decline over 1 year	-4.41%	-17.70%	+13.29%
Max Drawdown (3Y) Largest decline over 3 years	—	-41.55%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-66.46%	—
Current Drawdown Current decline from peak	-4.41%	0.00%	-4.41%
Average Drawdown Average peak-to-trough decline	-6.99%	-38.38%	+31.39%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.55%	7.16%	-5.61%

Volatility

KCAI vs. KSTR - Volatility Comparison

The current volatility for KraneShares China Alpha Index ETF (KCAI) is 4.56%, while KraneShares SSE STAR Market 50 Index ETF (KSTR) has a volatility of 15.87%. This indicates that KCAI experiences smaller price fluctuations and is considered to be less risky than KSTR based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	KCAI	KSTR	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.56%	15.87%	-11.31%
Volatility (6M) Calculated over the trailing 6-month period	9.00%	28.97%	-19.97%
Volatility (1Y) Calculated over the trailing 1-year period	13.69%	37.48%	-23.79%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	21.02%	38.64%	-17.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	21.02%	37.89%	-16.87%

KCAI vs. KSTR - Expense Ratio Comparison

KCAI has a 0.79% expense ratio, which is lower than KSTR's 0.89% expense ratio.

Dividends

KCAI vs. KSTR - Dividend Comparison

KCAI's dividend yield for the trailing twelve months is around 33.97%, while KSTR has not paid dividends to shareholders.

Position	TTM	2025	2024
KCAI KraneShares China Alpha Index ETF	33.97%	35.42%	2.19%
KSTR KraneShares SSE STAR Market 50 Index ETF	0.00%	0.00%	0.00%

Frequently Asked Questions

Can I hold both KCAI and KSTR in my portfolio?

KCAI and KSTR have a correlation of 0.35, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, KCAI or KSTR?

KSTR has higher volatility (15.87%) compared to KCAI (4.56%). In terms of maximum drawdown, KCAI dropped -25.48% vs KSTR's -66.46%.

Which ETF is better, KCAI or KSTR?

On 1-year performance, KSTR leads with 117.73% vs 43.55% for KCAI. On fees, KCAI is cheaper at 0.79% per year. On volatility, KCAI has been the lower-risk option at 4.56%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, KCAI or KSTR?

Over the 1-year period, KSTR has performed better with a 117.73% return vs 43.55%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, KCAI or KSTR?

KCAI is cheaper with a 0.79% expense ratio, compared with 0.89% for KSTR.

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

KCAI has the higher dividend yield at 33.97%, compared with 0.00% for KSTR.

What is the main difference between KCAI and KSTR?

KCAI tracks Qi China Alpha Index, while KSTR tracks SSE Science and Technology Innovation Board 50 Index. Their fees differ too: 0.79% for KCAI and 0.89% for KSTR.

Which has better risk-adjusted returns?

KCAI currently has the higher Sharpe Ratio (3.20 vs 3.16), 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.