After a prolonged correction, risks in Hong Kong's technology sector have significantly eased. Recently, driven by expectations of a Fed rate cut, AI advancements, and earnings reports, the sector has shown sustained momentum. Wind data shows that the popular Hang Seng Tech ETF (513130) recorded daily turnovers of RMB 6.789 billion, RMB 9.796 billion, and RMB 7.06 billion over the past three trading sessions (11/20-11/24). By midday today, its turnover exceeded RMB 3.4 billion.

On the monetary policy front, a Fed governor suggested a potential December rate cut on November 24, 2025, boosting market expectations. Easing liquidity constraints, a key drag on Hong Kong stocks, could unlock new growth opportunities.

Positive industry developments include upcoming Q3 earnings reports from major internet firms, with AI investments and applications under scrutiny. On November 24, Qwen App's public beta surpassed 10 million downloads in a week, outpacing ChatGPT, Sora, and DeepSeek. Separately, a consumer electronics giant's founder invested over HKD 100 million in company shares, signaling confidence.

As of November 24, 19 of the Hang Seng Tech Index's 30 constituents reported Q3 earnings, with 16 showing revenue growth and 13 posting profit growth. The Hang Seng Tech ETF (513130) saw 10 straight days of net inflows (11/11-11/24), totaling RMB 2.76 billion, pushing its shares outstanding to a record 58.877 billion.

The Hang Seng Tech Index, tracking 30 leading Hong Kong-listed tech firms, currently trades at a P/E of 21.56x—near a five-year low of 22.61%. With AI commercialization and looser liquidity, it may offer attractive valuation opportunities. Top holdings include Alibaba-W, Tencent, SMIC, Meituan-W, and NetEase-S.

Hang Seng Tech ETF (513130), with over 220,000 holders as of mid-2025, features high liquidity, T+0 trading, and a low 0.2% management fee. Offshore investors can access its feeder funds (Class A 015310, Class C 015311).

Note: T+0 refers to same-day trading. Risks include market volatility, currency fluctuations, and overseas market exposure. Index data is provided by Hang Seng Indexes Company.