On the morning of December 19, Hong Kong stocks strengthened, with the Hang Seng Tech Index rising over 1% amid notable movements. The semiconductor sector led gains, as the first-ever Hong Kong-listed chip industry-focused ETF, the HK Information Technology ETF (159131), climbed 1.94% intraday with a trading volume of RMB 25 million.
CITIC Securities noted in a recent report that after a unilateral rally in September, Hong Kong stocks experienced fluctuations in October due to shifting overseas macroeconomic expectations. Currently, both A-shares and H-shares are completing mid-term adjustments, with some high-quality Hong Kong assets re-entering attractive valuation ranges. Supported by sustained northbound capital inflows, earnings recovery expectations, and improving year-end macro conditions, the Hong Kong market is entering a critical year-end trading window.
Ping An Securities highlighted robust demand for AI computing power, with global and domestic markets maintaining strong growth. Domestic AI chip self-sufficiency has become a definitive trend, driven by supportive policies, strong downstream demand, and vast substitution potential. This positions China’s AI chip industry for accelerated development.
Targeting Hong Kong’s chip supercycle, the newly launched HK Information Technology ETF (159131)—the first to focus on the "HK chip" supply chain—offers T+0 trading. Its underlying index comprises 70% hardware and 30% software, heavily weighted toward semiconductors, electronics, and computer software. The ETF covers 42 Hong Kong-listed hard-tech firms, including SMIC (20.48% weighting), Xiaomi Group-W (9.53%), and Hua Hong Semiconductor (5.80%). Notably, it excludes large-cap internet stocks like Alibaba and Tencent, enhancing its focus on Hong Kong’s AI and tech-driven opportunities (data as of November 30, 2025).
Source: CSI Index Co., Shanghai/Shenzhen Stock Exchanges. Note: The "first-ever" designation refers to being the inaugural ETF tracking the CSI HK Connect IT Composite Index. The index caps single-stock weights at 15%, though fluctuations may temporarily exceed this limit during semi-annual rebalancing. Recent market volatility may persist; short-term performance does not indicate future results. Investors should assess risk tolerance and manage positions prudently.
Risk Disclosure: The ETF passively tracks the CSI HK Connect IT Composite Index (base date: November 14, 2014; launch date: June 23, 2017). Constituent stocks are for reference only and do not represent holdings or recommendations. The product is issued and managed by Huabao Fund. Distributors assume no investment or risk management liability. Investors must review fund documents to understand risks. Past performance does not guarantee future results. The fund is rated R4 (moderately high risk) and suits aggressive (C4) or higher-risk investors. Sales institutions conduct independent risk assessments—investors should align with their matching results. Regulatory approval does not endorse the fund’s value or prospects. Investing involves risks.