KraneShares Launches KSPY ETF with Hedgeye for Volatility-Managed Equity Exposure

KraneShares, an asset management firm, has introduced a new exchange-traded fund (ETF) known as KraneShares Hedgeye Hedged Equity Index ETF KSPY on the New York Stock Exchange (NYSE). Developed in collaboration with Hedgeye Asset Management, this ETF aims to provide investors with exposure to the S&P 500 while reducing volatility and offering downside risk management. The Hedgeye Hedged Equity Index, which KSPY tracks, uses a model based on Hedgeye’s proprietary Risk Range™ Signals to analyze the daily trading range of the S&P 500 and adjust options strategies accordingly.

As global equities are experiencing record valuations, the concern regarding volatility is rising among investors. KPSY offers a compelling alternative by incorporating Hedgeye’s Risk Range™ Signals to manage S&P 500 volatility systematically. According to Brendan Ahern, the CIO of KraneShares, the ETF’s focus on lowering volatility and providing a downside hedge could be particularly beneficial given the current market conditions where certain sectors or companies may pose increased risks due to concentration within the index.

KraneShares CEO, Jonathan Krane, expressed excitement about the collaboration with Hedgeye, emphasizing their joint commitment to delivering innovative solutions for investors seeking equity exposure with sophisticated risk management. The KSPY ETF, classified as an option hedged equity fund, offers a strategic approach through options trading alongside equity investments. By leveraging this strategy, investors may benefit from reduced risk compared to traditional index ETFs. For those interested in learning more about the KraneShares Hedgeye Hedged Equity Index ETF KSPY, additional information can be found on the KraneShares website or by consulting a financial advisor.