On the first trading day of November, Hong Kong stocks opened slightly higher with active performance in the AI application sector. At press time, China Literature surged over 6%, while Mobvista and Meitu gained more than 4%. Kingdee International rose nearly 3%.
Bilibili-W jumped over 3% as its self-developed game "Escape from Yakoff" went viral. Xiaomi Group-W climbed nearly 2% after China Automotive Research data showed Xiaomi Auto ranked eighth globally with September sales of 41,900 units, a 208.7% year-on-year surge. Meituan-W rose over 1%.
Among popular ETFs, the HK Internet ETF (513770), which focuses on internet leaders, saw its price rise 0.34% intraday with significant premium signals indicating strong buying interest. Exchange data revealed the ETF attracted net inflows of 426 million yuan over the past five trading days.
Goldman Sachs' latest analysis suggests Chinese stocks are entering a growth phase, with AI, anti-involution strategies, and overseas expansion as three key profit drivers that could boost earnings prospects for Chinese companies. The firm projects about 30% potential returns for A-share and H-share indices by end-2027, driven by 12% annual compound profit growth and 5%-10% P/E expansion potential.
China Merchants Securities believes the proposed 15th Five-Year Plan outline exceeded market expectations. Combined with easing US-China tensions and strengthened Fed rate cut expectations, these three marginal positives could shift Hong Kong stocks from suppression to growth, with AI as a key focus.
The HK Internet ETF (513770) and its feeder funds track the CSI Hong Kong Stock Connect Internet Index. Its top three holdings are Alibaba-W (19.22%), Tencent Holdings (16.46%), and Xiaomi Group-W (10.41%). The top 10 holdings, representing over 73% weighting, concentrate leading internet companies across sectors, making it a core AI asset in Hong Kong.
With assets exceeding 11.4 billion yuan and average daily turnover over 600 million yuan this year, the ETF supports intraday T+0 trading without QDII quota restrictions, offering strong liquidity.
Investors are reminded that recent market volatility may remain elevated, and short-term performance doesn't indicate future trends. Rational investment decisions should consider individual financial conditions and risk tolerance, with careful attention to position sizing and risk management.
Historical data shows the CSI Hong Kong Stock Connect Internet Index's annual returns: 109.31% (2020), -36.61% (2021), -23.01% (2022), -24.74% (2023), and 23.04% (2024). Index components are adjusted per compilation rules, and past performance doesn't guarantee future results.
Risk Disclosure: The ETF passively tracks the index (base date: 2016.12.30, launched 2021.1.11). Constituent stocks are for reference only and don't constitute investment advice or reflect fund holdings. The fund carries R4 (medium-high) risk, suitable for aggressive (C4+) investors. All information is for reference, and investors bear full responsibility for decisions. Past performance doesn't guarantee future results.