KLXY - ETF AI Analysis

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KraneShares Global Luxury Index ETF (KLXY)

Rating:66Neutral

Price Target:―

The ETF KLXY, focused on luxury goods, has a solid overall rating driven by strong contributions from holdings like LVMH and Hermes International. LVMH benefits from robust financial performance and market confidence, while Hermes excels with strategic investments and growth despite valuation risks. However, weaker holdings like Kering SA, which faces declining revenues and valuation concerns, slightly temper the fund’s overall score. A key risk factor is the ETF's concentration in the luxury sector, which may expose it to economic downturns or shifts in consumer spending.

Positive Factors

Strong Luxury Sector Exposure

The ETF is heavily weighted in consumer cyclical and defensive sectors, which are supported by steady demand for luxury goods.

Geographic Diversification

The fund invests across multiple countries, including France, the USA, Switzerland, and Japan, reducing reliance on any single economy.

Solid Recent Performance

The ETF has shown strong year-to-date and short-term gains, indicating positive momentum in its holdings.

Negative Factors

High Concentration in France

Nearly 40% of the fund is allocated to French companies, which increases exposure to country-specific risks.

Underperforming Top Holding

LVMH, the largest position in the portfolio, has delivered weak year-to-date performance, potentially dragging down overall returns.

Relatively High Expense Ratio

The ETF charges a higher expense ratio compared to many broad-market funds, which could eat into investor returns over time.

KLXY vs. SPDR S&P 500 ETF (SPY)

AUM2.04M

RegionDeveloped Markets

Expense Ratio0.69%

Beta0.95

IssuerKraneShares

Inception DateSep 07, 2023

Dividend YieldN/A

Asset ClassEquity

Index TrackedSolactive Global Luxury Index - Benchmark TR Net

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume1,635

30 Day Avg. Volume2,658

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

29.11

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering23

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

KLXY Summary

The KraneShares Global Luxury Index ETF (KLXY) is an investment fund that focuses on high-end luxury goods and services. It includes companies like LVMH Moet Hennessy Louis Vuitton and L'Oreal, which are leaders in fashion, beauty, and premium products. This ETF tracks the Solactive Global Luxury Index, giving investors exposure to prestigious brands from around the world, including France, the USA, and Switzerland. People might consider investing in KLXY to benefit from the steady demand for luxury goods, even during economic ups and downs. However, new investors should be aware that this ETF is heavily tied to consumer spending, which can fluctuate with broader economic conditions.

How much will it cost me?The KraneShares Global Luxury Index ETF (KLXY) has an expense ratio of 0.69%, meaning you’ll pay $6.90 per year for every $1,000 invested. This is higher than average because it is actively managed to focus on a specific niche of luxury goods and services. Actively managed ETFs typically have higher costs due to the research and strategy involved.

What would affect this ETF?KLXY could benefit from growing global demand for luxury goods, particularly in developed markets, as consumers increasingly prioritize premium and experiential purchases. However, economic downturns or rising interest rates could negatively impact discretionary spending on luxury items, and regulatory changes or supply chain disruptions might pose challenges for its top holdings in the consumer cyclical sector.

KLXY Top 10 Holdings

KLXY is a luxury-focused ETF with a strong tilt toward consumer cyclical names, led by European giants like LVMH and Richemont. LVMH has been steady, but its year-to-date performance is losing some sparkle, while Richemont is rising thanks to robust cash management and strategic positioning. Moncler and Ralph Lauren are also adding flair with solid gains and bullish momentum. However, Deckers Outdoor and Ferrari are holding the fund back, with bearish trends and valuation concerns weighing on their performance. Overall, the ETF leans heavily on developed markets and the enduring appeal of high-end brands.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
MC	LVMH Moet Hennessy Louis Vuitton	10.04%	$205.27K	€316.40B	-1.46%	78 Outperform
CFR	Compagnie Financiere Richemont SA	9.27%	$189.50K	CHF99.37B	23.30%	78 Outperform
OR	L'Oreal	8.00%	$163.62K	€198.97B	9.03%	71 Outperform
RMS	Hermes International	5.97%	$121.97K	€225.93B	6.95%	79 Outperform
EL	EssilorLuxottica SA	5.96%	$121.81K	€128.51B	19.09%	68 Neutral
DECK	Deckers Outdoor	5.56%	$113.68K	$15.19B	-48.28%	79 Outperform
RL	Ralph Lauren	4.99%	$101.93K	$22.40B	65.34%	78 Outperform
TPR	Tapestry	4.89%	$99.95K	$25.19B	98.28%	69 Neutral
EL	The Estée Lauder Companies	4.89%	$99.90K	$37.62B	40.47%	56 Neutral
MONC	Moncler S.p.A.	4.70%	$96.09K	€15.65B	11.79%	74 Outperform

KLXY Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

26.44

Positive

100DMA

25.84

Positive

200DMA

24.80

Positive

Market Momentum

MACD

0.25

Negative

RSI

56.14

Neutral

STOCH

76.60

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For KLXY, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 26.54, equal to the 50-day MA of 26.44, and equal to the 200-day MA of 24.80, indicating a bullish trend. The MACD of 0.25 indicates Negative momentum. The RSI at 56.14 is Neutral, neither overbought nor oversold. The STOCH value of 76.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KLXY.

KLXY Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
KLXY	―	―	$2.04M	0.69%	―
AGNG	―	―	$68.47M	0.50%	―
WISE	―	―	$39.98M	0.35%	―
FOWF	―	―	$6.94M	0.49%	―
EFRA	―	―	$5.51M	0.47%	―
TINY	―	―	$5.30M	0.58%	―

Performance Comparison

KLXY

KraneShares Global Luxury Index ETF

27.02

3.53

15.03%

AGNG

Global X Aging Population ETF

―

WISE

Themes Generative Artificial Intelligence ETF

―

FOWF

Pacer Solactive Whitney Future of Warfare ETF

―

EFRA

iShares Environmental Infrastructure and Industrials ETF

―

TINY

ProShares Nanotechnology ETF

―

Glossary

BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―

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