The technology market is entering a verification phase, according to the latest analysis from fund managers. Several prominent investment professionals have shared their perspectives on market trends and strategic approaches.
Xingye Fund's index investment team lead Xu Chengcheng stated that Hong Kong stocks remain a crucial market for China's new economy and technology assets. He believes their allocation value deserves reassessment. Xu highlighted that technology remains a long-term theme, but investment methods are shifting from emotion-driven approaches to fundamental validation. He suggests using representative indices for participation, as pinpointing specific winning technologies short-term is challenging.
Xingye Fund recently launched its first QDII product focusing on Hong Kong markets. Xu emphasized that Hong Kong-listed companies represent significant portions of China's internet platforms, biopharmaceuticals, and advanced manufacturing sectors. The Hang Seng Tech Index serves as a comprehensive benchmark for these assets, combining thematic focus with broad-based characteristics.
Regarding asset allocation, Xu noted that Hong Kong QDII products primarily address correlation issues in portfolios. As domestic asset correlations increase, overseas assets provide valuable diversification benefits. Institutional investors particularly value Hong Kong stocks for their long-term allocation properties rather than short-term trading opportunities.
Meanwhile, China AMC President Fang Jing emphasized differentiation strategies for medium and small-sized fund companies. He suggested avoiding direct competition with larger firms in standardized products and instead focusing on active management capabilities. Fang outlined three core product lines for his company: active equity investments, absolute return "fixed income+" products, and index enhancement strategies.
Fang stressed the importance of practical, specialized approaches rather than chasing popular trends. He advocates building distinctive product characteristics and avoiding over-diversification into uncompetitive areas. For research team management, he emphasizes balancing four key mechanisms while maintaining investment independence.
On "fixed income+" products, Liu Qi, Deputy Director of Fixed Income Department at China, highlighted their fundamental value lies in providing stable holding experiences. He focuses on controlling losses during unfavorable markets rather than pursuing short-term rankings. Liu's approach combines macro allocation with security selection, aiming for steady absolute returns through full market cycles.
Liu remains cautiously optimistic about current markets, noting structural opportunities in AI, internet, advanced manufacturing, consumer, cyclical and high-dividend sectors. He suggests conservative investors start with low-volatility products before gradually increasing risk exposure as they become comfortable with market fluctuations.