In the afternoon session of June 29, technology leaders staged a V-shaped reversal. The domestic first-mover in the tech leader space, the Huabao Technology ETF (515000), recovered from earlier declines, with its on-market price turning positive and rising over 1%. Real-time turnover exceeded 2.5 billion yuan, and funds have accumulated net inflows of over 4.5 billion yuan in the past week.

Regarding constituent stocks, the semiconductor sector remained strong. Gigadevice Semiconductor Inc. surged over 6%, reaching a new high. Montage Technology and Yangjie Technology both skyrocketed over 10%. China Resources Microelectronics and Advanced Micro-Fabrication Equipment Inc. China gained over 7%. Additionally, the biotechnology sector saw a rare strong rally, with Hengrui Medicine and Pharmaron both climbing over 8%.

On the news front, semiconductor stocks received another significant signal. The South Korean government announced on the 29th that it plans to invest approximately 800 trillion won to build four semiconductor plants in the southwestern region of the country. Samsung Electronics and SK Hynix will each construct two new wafer fabs. It is projected that over the next 15 years, at least 30 trillion won will be invested in areas such as next-generation memory, edge artificial intelligence, and defense-related chips.

Some analysis suggests that from a global perspective, the restriction on the use of overseas advanced large models itself indicates that the demand for high-end training remains substantial. Furthermore, the rolling annual revenue of key global models continued to increase in June. Supply shortages in areas like memory are expected to persist for at least another year, and the long-term logic for global AI computing chips remains robust.

China Securities stated that recently, the technology sector in the A-share market has shown significantly stronger resilience compared to overseas markets, with the domestic computing power chain, in particular, exhibiting a trend independent of overseas counterparts. Companies in the A-share overseas chain have adopted a pricing logic similar to their overseas peers, akin to heavy-asset cyclical stocks. In contrast, the domestic chain, under the narrative of localization and self-sufficiency, has additionally demonstrated a typical growth stock premium, with two distinct pricing frameworks operating simultaneously.

For exposure to the technology bull market, focus on the leaders. The Huabao Technology ETF (515000) and its feeder funds (Feeder A: 007873, Feeder C: 007874) select 50 listed companies from the electronics, computer, communication, and biotechnology sectors in the Shanghai and Shenzhen markets based on criteria such as size, market share, growth potential, and R&D investment. These represent the core assets of A-share technology leaders, combining attributes of "hard tech beta" and "excess alpha from high-quality leaders."

In terms of performance, the on-market price of the Huabao Technology ETF (515000) has frequently reached new highs recently, with its underlying index showing strong performance, highlighting its ongoing value for allocation. As of June 25, 2026, the Science and Technology Leaders Index has accumulated a gain of 158% over the past year, significantly outperforming other popular tech indices like the Sci-Tech Innovation 50 Index during the same period, making it a quality tool for investing in the technology theme.

Note: The Huabao Technology ETF passively tracks the CSI Science and Technology Leaders Index. The base date for this index is June 29, 2012, and it was launched on March 20, 2019. The annual historical returns of the CSI Science and Technology Leaders Index from 2021 to 2025 were: -3.92%, -34.84%, 0.81%, 11.50%, and 51.54%, respectively. The composition of the index's constituent stocks is adjusted according to its compilation rules, and its back-tested historical performance does not indicate future index performance.

Data source: Shanghai and Shenzhen Stock Exchanges, etc. Note: "Domestic first-mover" refers to the first ETF tracking the CSI Science and Technology Leaders Index.

ETF fund fee description: When investors subscribe for or redeem fund shares, subscription/redemption agents may charge a commission not exceeding 0.5%. On-market trading fees are subject to the actual charges by securities firms, and no sales service fee is charged.

Feeder fund fee description: For Huabao Technology ETF Feeder A, the subscription fee is 1.00% for amounts below 1 million yuan, 0.60% for amounts between 1 million yuan (inclusive) and 2 million yuan, and a flat fee of 1,000 yuan per transaction for amounts of 2 million yuan (inclusive) and above. The redemption fee is 1.50% for holdings less than 7 days, 0.50% for holdings between 7 days (inclusive) and 180 days, and 0.00% for holdings of 180 days (inclusive) and above. No sales service fee is charged. Huabao Technology ETF Feeder C charges no subscription fee. The redemption fee is 1.50% for holdings less than 7 days and 0.00% for holdings of 7 days (inclusive) and above. The sales service fee is 0.40% per annum. ETF subscription/redemption agents may charge a commission not exceeding 0.5%. On-market trading fees are subject to the actual charges by securities firms.

Risk Disclosure: The Huabao Technology ETF passively tracks the CSI Science and Technology Leaders Index. The base date for this index is June 29, 2012, and it was launched on March 20, 2019. The composition of the index's constituent stocks is adjusted according to its compilation rules, and its back-tested historical performance does not indicate future index performance. The constituent stocks mentioned in this article are for illustrative purposes only. Descriptions of individual stocks do not constitute any form of investment advice and do not represent the holdings or trading动向 of any fund managed by the fund manager. The fund manager assesses the risk rating of this fund as R3 - Medium Risk, suitable for Balanced (C3) and above investors. Any information appearing in this article (including but not limited to individual stocks, commentary, forecasts, charts, indicators, theories, and any form of expression) is for reference only. Investors are responsible for any independent investment decisions. Furthermore, any views, analyses, or predictions in this article do not constitute investment advice of any kind to readers, and no responsibility is accepted for any direct or indirect losses arising from the use of this content. Fund investment involves risks. The past performance of a fund does not represent its future performance. The performance of other funds managed by the fund manager does not guarantee the performance of this fund. Caution is advised in fund investment.