Hong Kong stocks' chip sector is booming! At a new high, in just 30 minutes, the Hong Kong Stock Connect Information Technology ETF Huabao (159131) received 89 million units of net subscriptions.

On May 11th, Hong Kong stocks represented by the Hong Kong stock chips continued to strengthen, with the “Hang Seng Tech Enhanced” — the CSI Hong Kong Stock Connect Information Technology Composite Index — surging 2.51% in the morning session, outperforming Hang Seng Tech (-0.03%). The largest and most liquid Hong Kong Stock Connect Information Technology ETF, Huabao (159131), opened with a gap up and once rose over 4.5%, hitting a new listing high, and ranked first in the market-wide cross-border ETF gain list. Currently, Huabao (159131) has a real-time net subscription of 89 million units, indicating active capital inflow into the Hong Kong chip sector.

Changjiang Securities analysis shows that as the global competitiveness of domestic models continues to increase and the adaptation to domestic chips is constantly optimized, the demand for domestic computing power chips is rapidly exploding. Coupled with future CPU-driven incremental growth, wafer manufacturing and advanced packaging are becoming new capacity constraints. The localization + technological inflation creates a dual opportunity for the performance and valuation of wafer manufacturing and advanced packaging industries to double uptrend.

Since bottoming out and rebounding on March 31st, the CSI Hong Kong Stock Connect Information Technology Composite Index, the target index of Huabao (159131), has increased by 27.79%. During the same period, Hang Seng Tech and Hong Kong Stock Connect Tech increased by 9.19% and 7.78%, respectively, with sharper and more flexible gains.

Huabao (159131), the market’s first, largest in scale, and most liquid Hong Kong Stock Connect Information Technology ETF, with an off-market connection fund code of 026755, is based on an index composed of “70% hardware + 30% software.” It heavily invests in Hong Kong stocks in “semiconductors + electronics + computer software,” covering 52 Hong Kong tech companies, with China International Semiconductor (SMIC) weighting at 14.21%, Xiaomi Group-W at 10.31%, Lenovo Group at 9.33%, and Huahong Semiconductor at 8.82%. Excluding large-cap internet companies like Alibaba, Tencent, and Meituan, it has higher sharpness and is more capable of capturing the AI hardware tech market in Hong Kong stocks.

Daily Economic News