KWEB vs. KLIP

Last updated Aug 2, 2026

KWEB (KraneShares CSI China Internet ETF) and KLIP (KraneShares China Internet and Covered Call Strategy ETF) are both China Equities funds from KraneShares. KWEB is passively managed, while KLIP is actively managed. Over the past 3 years, KWEB returned 0.77%/yr vs 6.19%/yr for KLIP. Their correlation of 0.92 means they have usually moved in the same direction. KWEB charges 0.70%/yr vs 0.95%/yr for KLIP.

Performance

KWEB vs. KLIP - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in KraneShares CSI China Internet ETF (KWEB) 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, KWEB achieves a -16.33% return, which is significantly lower than KLIP's -7.10% return.

KWEB

• 1D: 1.53%
• 1M: 14.01%
• 6M: -19.47%
• YTD: -16.33%
• 1Y: -12.39%
• 3Y*: 0.77%
• 5Y*: -7.53%
• 10Y*: 0.31%
• ALL TIME*: 2.65%

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)
KLIP KraneShares China Internet and Covered Call Strategy ETF	$623.83K	$609.30K	$993.79K
KWEB KraneShares CSI China Internet ETF	$554.38M	$548.17M	$693.22M

KWEB vs. KLIP - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023
KWEB KraneShares CSI China Internet ETF	-16.33%	23.55%	12.01%	-21.21%
KLIP KraneShares China Internet and Covered Call Strategy ETF	-7.10%	16.92%	3.37%	11.11%

Correlation

The correlation between KWEB and KLIP is 0.92, 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.	0.92
Correlation (3Y) Balances recent behavior with more history.	0.91
Correlation (All Time) Calculated using the full available price history since Jan 12, 2023	0.92

The correlation between KWEB and KLIP has been stable across timeframes, ranging from 0.91 to 0.92 - a consistent structural relationship.

KWEB vs. KLIP - Sectors Allocation Comparison

Sectors	KWEB	KLIP
Consumer Cyclical	36.4%	34.2%
Communication Services	32.4%	45.8%
Technology	11.8%	4.2%
Healthcare	6.0%	6.0%
Industrials	4.5%	-
Real Estate	4.0%	3.9%
Consumer Defensive	3.0%	4.0%
Financial Services	1.8%	2.0%
Basic Materials	-	-
Energy	-	-
Utilities	-	-

Return for Risk

KWEB vs. KLIP — Risk / Return Rank

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

KWEB

KWEB Risk / Return Rank: 5
KWEB Sharpe Ratio Rank: 5
KWEB Sortino Ratio Rank: 5
KWEB Omega Ratio Rank: 5
KWEB Calmar Ratio Rank: 6
KWEB Martin Ratio Rank: 6

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.

KWEB vs. KLIP - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for KraneShares CSI China Internet ETF (KWEB) 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.

	KWEB	KLIP	Difference
Sharpe ratio: Return per unit of total volatility	-0.53	-0.26	-0.27
Sortino ratio: Return per unit of downside risk	-0.62	-0.25	-0.37
Omega ratio: Gain probability vs. loss probability	0.93	0.97	-0.04
Calmar ratio: Return relative to maximum drawdown	-0.35	-0.20	-0.16
Martin ratio: Return relative to average drawdown	-0.67	-0.46	-0.21

KWEB vs. KLIP - Sharpe Ratio Comparison

The current KWEB Sharpe Ratio is -0.53, which is lower than the KLIP Sharpe Ratio of -0.26. The chart below compares the historical Sharpe Ratios of KWEB 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

KWEB vs. KLIP - Drawdown Comparison

The maximum KWEB drawdown since its inception was -80.92%, which is greater than KLIP's maximum drawdown of -21.48%. Use the drawdown chart below to compare losses from any high point for KWEB and KLIP.

Drawdown Indicators

	KWEB	KLIP	Difference
Max Drawdown Largest peak-to-trough decline	-80.92%	-21.48%	-59.44%
Max Drawdown (1Y) Largest decline over 1 year	-41.62%	-21.48%	-20.14%
Max Drawdown (3Y) Largest decline over 3 years	-41.62%	-21.48%	-20.14%
Max Drawdown (5Y) Largest decline over 5 years	-63.96%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-80.92%	—	—
Current Drawdown Current decline from peak	-67.05%	-12.44%	-54.61%
Average Drawdown Average peak-to-trough decline	-35.65%	-4.32%	-31.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	21.98%	9.19%	+12.79%

Volatility

KWEB vs. KLIP - Volatility Comparison

KraneShares CSI China Internet ETF (KWEB) has a higher volatility of 7.76% compared to KraneShares China Internet and Covered Call Strategy ETF (KLIP) at 2.40%. This indicates that KWEB'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

	KWEB	KLIP	Difference
Volatility (1M) Calculated over the trailing 1-month period	7.76%	2.40%	+5.36%
Volatility (6M) Calculated over the trailing 6-month period	20.68%	13.02%	+7.66%
Volatility (1Y) Calculated over the trailing 1-year period	27.82%	16.59%	+11.23%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	46.99%	17.99%	+29.00%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	40.04%	17.99%	+22.05%

KWEB vs. KLIP - Expense Ratio Comparison

KWEB has a 0.70% expense ratio, which is lower than KLIP's 0.95% expense ratio.

Dividends

KWEB vs. KLIP - Dividend Comparison

KWEB's dividend yield for the trailing twelve months is around 7.36%, less than KLIP's 27.63% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
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%
KWEB KraneShares CSI China Internet ETF	7.36%	6.16%	3.51%	1.71%	0.00%	7.07%	0.29%	0.08%	3.40%	0.58%	1.19%	0.46%

Frequently Asked Questions

Can I hold both KWEB and KLIP in my portfolio?

With a correlation of 0.92, KWEB and KLIP move almost identically. Holding both adds very little diversification - you're essentially doubling your position in the same market segment. Choosing one is usually more capital-efficient.

Which is riskier, KWEB or KLIP?

KWEB has higher volatility (7.76%) compared to KLIP (2.40%). In terms of maximum drawdown, KWEB dropped -80.92% vs KLIP's -21.48%.

Which ETF is better, KWEB or KLIP?

On 3-year performance, KLIP leads with 6.19% vs 0.77% for KWEB. On fees, KWEB is cheaper at 0.70% 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, KWEB or KLIP?

Over the 3-year period, KLIP has performed better with a 6.19% return vs 0.77%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, KWEB or KLIP?

KWEB is cheaper with a 0.70% expense ratio, compared with 0.95% for KLIP.

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

KLIP has the higher dividend yield at 27.63%, compared with 7.36% for KWEB.

What is the main difference between KWEB and KLIP?

Their fees differ too: 0.70% for KWEB and 0.95% for KLIP.

Which has better risk-adjusted returns?

KLIP currently has the higher Sharpe Ratio (-0.26 vs -0.53), 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.