In early trading on May 26, the Hong Kong Stock Connect healthcare sector showed notable movement, with core constituent stock WUXI BIO surging as much as 7%! The HuaBao Hong Kong Stock Connect Healthcare ETF (159137) rebounded from being down over 1% to quickly turn positive.
On the news front, WUXI BIO announced on the Hong Kong Exchange that the board has resolved to exercise the share buyback mandate and, as applicable, any future general mandate for share repurchases approved by shareholders at the company's general meetings to repurchase shares on the open market from time to time at a total price not exceeding US$400 million.
Analysis indicates that the pharmaceutical industry is driven by innovation, with the biotech and high-end medical device sectors warranting attention. Companies are continuously increasing R&D investment, and demand for innovative drugs and advanced medical equipment remains robust. The industry overall shows a steady growth trend, possessing long-term investment value.
Since mid-April, Hong Kong-listed healthcare stocks have accelerated their decline, reaching a relatively low stage, highlighting their attractive valuation for allocation. As of the previous trading day, the HuaBao Hong Kong Stock Connect Healthcare ETF (159137) had recorded ten consecutive daily declines.
For acquiring core Hong Kong healthcare assets at low levels, consider these two T+0 tools: For pure-play innovative drug exposure, target the HuaBao Hong Kong Stock Connect Innovative Drug ETF (520880), which is 100% invested in innovative drug R&D companies. Its top ten holdings account for over 70%, highlighting strong concentration in leading players. For exposure to the innovative drug industry chain, target the HuaBao Hong Kong Stock Connect Healthcare ETF (159137), with approximately 42% in CXO (Contract Research, Development & Manufacturing Organizations) and 20% in innovative drugs, while also including leading weights in AI healthcare and medical devices (including brain-computer interfaces).
Data sources: China Securities Index Co., Ltd., Shanghai, Shenzhen, and Hong Kong stock exchanges, etc. Note: ETF funds do not charge sales service fees. When investors subscribe for or redeem fund shares, the subscription/redemption agent broker may charge a commission of up to 0.5%, which includes related fees charged by stock exchanges, registration institutions, etc. Detailed fund fee structures are available in the respective fund's legal documents. Risk Disclosure: Constituent stocks mentioned are for illustrative purposes only. Descriptions of individual stocks do not constitute investment advice in any form, nor do they represent the holdings information or trading trends of any fund managed by the fund manager. The fund manager assesses the risk rating of the HuaBao Hong Kong Stock Connect Innovative Drug ETF and the HuaBao Hong Kong Stock Connect Healthcare ETF and their feeder funds as R4 - Medium to High Risk, suitable for Aggressive (C4) and above investors. Any information appearing in this content (including but not limited to individual stocks, commentary, forecasts, charts, indicators, theories, any form of expression, etc.) is for reference only. Investors are responsible for any independent investment decisions. Furthermore, any views, analysis, or forecasts herein do not constitute investment advice of any kind to readers, and no liability is accepted for any direct or indirect losses arising from the use of this content. The performance of other funds managed by the fund manager does not guarantee the performance of this fund. Past performance of a fund is not indicative of its future results. Fund investment carries risks.
MACD golden cross signals have formed, with some stocks performing well.