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ETFs Add CXMT Exposure After STAR Market Debut via Shares and Swaps

KraneShares said KSTR bought Shanghai-listed CXMT directly through its QFII quota at a 2.12% weight, while Tuttle Capital's HBMX used a total return swap after the Chinese DRAM maker's July 2026 IPO and rally.

Summary

KraneShares said it added ChangXin Memory Technology, or CXMT, to its China Technology & Semiconductor UCITS ETF, KSTR, at an initial 2.12% weight on Aug. 3, making it the only UCITS ETF with direct ownership of the Shanghai-listed DRAM maker through a QFII quota. Tuttle Capital Management's Concentrated Memory Stack ETF, HBMX, separately added economic exposure through a total return swap, giving U.S. investors indirect access to the stock. CXMT, which listed on Shanghai's STAR Market on July 27, 2026, raised $8.6 billion in what the newer source described as the largest mainland-China semiconductor offering on record, and its shares rose from 8.66 yuan to nearly 49 yuan in the debut period, a 466% gain. The sources described CXMT as the world's fourth-largest DRAM producer, with roughly 7.7% global market share, amid strong AI-driven memory demand.

Terms & Concepts
  • QFII: China's Qualified Foreign Institutional Investor program, which allows approved foreign institutions to invest directly in mainland China A-shares.
  • Total return swap: A derivative contract that passes through the economic performance of an underlying asset without requiring direct ownership of that asset.
  • DRAM: Dynamic random-access memory, a type of semiconductor memory used widely in computing systems and increasingly important in AI infrastructure.