KraneShares and Rockefeller Asset Management have teamed up to launch an ETF offering access to the blue economy.
The KraneShares Rockefeller Ocean Engagement ETF (KSEA), listed on the NYSE Arca on September 12, invests in public companies with significant impact on oceans and ocean resources, reflecting the meaningful investment opportunities within the blue economy, according to a statement from KraneShares.
A subset of the ocean economy, the blue economy focuses on sustainable solutions that have ocean-positive benefits. Rolando F. Morillo, co-portfolio manager for thematic investments at Rockefeller said in a statement the blue economy has significant growth potential.
The blue economy is projected to expand at twice the rate of the mainstream economy by 2030. Currently, the global economic output of the ocean stands at $2.4 trillion per year, according to the OECD.
Under the Hood of KSEA
Rockefeller subadvises KSEA. The fund aims to generate competitive returns and improve ocean health through shareholder engagement activity focused on pollution prevention, carbon transition, and ocean conservation, according to the statement. The fund comprises companies from diverse sectors including aquaculture, commercial fishing, waste management, renewable energy, and logistics.
“A subset of investors want their money to support pollution prevention and the broader environment not just generate strong returns,” Todd Rosenbluth, head of research at VettaFi, said. “KraneShares has a strong heritage with their climate change focused ETFs of bringing such strategies to life.”
KraneShares is a global ETF provider specializing in China, climate, and uncorrelated assets. The firm’s climate investment portfolio includes the KraneShares Global Carbon ETF (KRBN ), the KraneShares Electric Vehicles and Future Mobility ETF (KARS ), and the KraneShares California Carbon Allowance ETF (KCCA ), among others.
Rockefeller Asset Management is the asset management arm of Rockefeller Capital Management. Rockefeller has over three decades of impact investing experience. The firm has partnerships with leading non-profit organizations for ocean conservation, including The Ocean Foundation and World Resources Institute.
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