ETF Education Report: KraneShares 2x Long BIDU Daily ETF (KBDU)

What this ETF is trying to do

The KraneShares 2x Long BIDU Daily ETF (ticker: KBDU) is an exchange-traded fund designed to track the performance of a specific stock. Based on its name, it seeks to provide "2x" exposure, which means it aims to move with twice the daily performance of Baidu Inc. ADR (BIDU).

What the numbers show

As of August 11, 2026, the current price of KBDU is $16.28.

When looking at how the fund has performed this year, we look at two different types of numbers: price return and total return.

• Price Return: This measures only the change in the share price.

• Total Return: This includes both the share price change and any cash distributions (like dividends) paid to investors.

For KBDU, the year-to-date (YTD) price return is approximately -47.03%. The YTD total return is also approximately -47.03%. Because these numbers are the same, it shows that the share price has dropped significantly since the start of the year.

Income and distribution explanation

Some investors look for ETFs that pay regular cash, known as distributions. However, for KBDU, no distributions were detected over the last 12 months. The distribution yield is 0%. This means the fund has not been providing cash income to shareholders during this period.

Portfolio Exposure

The holdings in an ETF can change over time. According to the most recent data updated on August 20, 2026, the fund's exposure is as follows:

• BAIDU INC ADR (BIDU): -0.44%

Pros

• The fund provides a way to gain leveraged (2x) exposure to Baidu Inc. ADR through a single ticker symbol.

Cons

• Significant Price Decline: The fund has experienced a large year-to-date price decline of approximately 47.03%.

• No Income: There are no recorded distributions or dividend yields for this ETF based on the current data.

Beginner takeaway

It is important to understand that "leveraged" ETFs, like those with "2x" in their name, can experience very large price swings. When the underlying stock goes down, a 2x ETF is designed to go down twice as much. This can lead to a rapid share-price decline. Always remember that a falling share price means the value of your investment is decreasing.