KraneShares China Tech ETF Surges 71% YTD on Semiconductor Boom
Event summary
- KraneShares China Technology & Semiconductor STAR 50 Index ETF (KSTR) up +71.70% YTD and +131.80% over the past year as of June 30, 2026.
- Top holdings include AI-chip maker Cambricon Technologies (9.55% of KSTR net assets), memory-chip designer Montage Technology (8.72%), and semiconductor equipment maker Advanced Micro-Fabrication Equipment (7.88%).
- KSTR has a 92.71% allocation to the Information Technology sector, with 60.04% in Semiconductors and 24.21% in Semiconductor Materials & Equipment.
- Fund will rebrand from KraneShares SSE STAR Market 50 Index ETF to KraneShares China Technology & Semiconductor STAR 50 Index ETF around July 20, 2026.
The big picture
KSTR's performance reflects the global AI data center buildout driving semiconductor demand, positioning China as a key supplier. The ETF's concentration in cutting-edge Chinese tech firms highlights the strategic importance of the STAR Market as a Nasdaq-like hub for next-generation industries. With U.S.-China tensions and regulatory uncertainties looming, KSTR's ability to capture this growth phase will depend on both technological execution and geopolitical stability.
What we're watching
- AI Chip Demand
- How sustained AI chip demand will affect semiconductor supply chains and KSTR's top holdings.
- China's Semiconductor Role
- Whether China can maintain its accelerating role in the global semiconductor trade amid geopolitical tensions.
- ETF Rebranding Impact
- The pace at which KSTR's rebranding influences investor perception and fund inflows.
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