Hong Kong stock market breaks major news! The market's only Hong Kong tech ETF (159131) surges over 3% in afternoon trading

This afternoon (March 16), Hong Kong stocks collectively surged. The Hong Kong Stock Connect Information Technology Index (C Index) jumped 1.85%, with GigaDevice Semiconductor rising over 11%, Huahong Semiconductor up more than 6%, and Lankes Technology and Hongteng Precision gaining over 5%. The only market-wide Hong Kong Information Technology ETF (159131) experienced wide fluctuations near the water surface after opening in the morning, then suddenly surged in the afternoon, currently up 3.01%, potentially ending its three-day losing streak.

On the news front, Wall Street’s “big short” Michael Burry publicly stated on social media that the Hang Seng Tech Index is significantly undervalued. According to Hong Kong media reports, some financial industry insiders have noted that there have been recent inquiries from Middle Eastern clients about investing in the Hong Kong stock market, including establishing family offices in Hong Kong. Financial Secretary Paul Chan said that the Middle East situation presents both risks and opportunities for Hong Kong. Compared to other parts of the Middle East, Hong Kong’s safety, stability, and certainty are more prominent.

CITIC Securities International pointed out that the foundation for a bull market in Hong Kong stocks remains intact, with relative undervaluation advantages. First, there is still a gap from the average level of historical bull markets; second, compared to major global stock markets, Hong Kong stocks are still at low valuation levels; third, A-shares still carry a premium over H-shares, and Hong Kong stocks have an advantage in dividend yields, with southbound funds gradually recovering; fourth, some sectors like information technology remain undervalued.

Highlighting a super cycle in Hong Kong chip stocks! The T+0 Hong Kong chip industry chain ETF—the only ETF focused on the “Hong Kong chip” industry chain (159131)—has a target index composed of “70% hardware + 30% software,” heavily weighted in Hong Kong-listed “semiconductors, electronics, and computer software,” covering 45 Hong Kong high-tech companies. Notably, SMIC accounts for 14.07%, Xiaomi Group-W 12.41%, and Huahong Semiconductor 7.47%. Excluding large-cap internet giants like Alibaba, Tencent, and Meituan, the ETF offers sharper focus and is more likely to capture the AI high-tech trend in Hong Kong stocks. (As of March 11, 2026)

Data source: China Securities Index Co., Ltd., Shanghai and Shenzhen Stock Exchanges.

Note: “The only market-wide” refers to the only ETF tracking the CSI Hong Kong Stock Connect Information Technology Composite Index.

Institutional views: CITIC Securities International’s “When will the second half of the Hong Kong ‘slow bull’ start?”; Galaxy Securities’ “Semiconductor sector overall correction, core logic remains unchanged.”

Fund fee disclosure: The Hong Kong Information Technology ETF’s subscription and redemption agents may charge a commission of up to 0.5%. On-market trading fees are based on the actual charges of securities firms. No sales service fee is charged.

Risk warning: The Hong Kong Stock Connect Information Technology ETF passively tracks the CSI Hong Kong Stock Connect Information Technology Composite Index, which was launched on November 14, 2014, and published on June 23, 2017. The index components shown are for display purposes only; individual stock descriptions do not constitute investment advice and do not reflect holdings or trading activity of any fund managed by the fund manager. This product is issued and managed by Huabao Fund, with distribution handled by agents who do not assume investment, redemption, or risk management responsibilities. Investors should carefully read the fund contract, prospectus, and key information documents to understand the fund’s risk-return profile and choose products suitable for their risk tolerance. Past performance does not predict future results. The performance of other funds managed by the fund manager does not guarantee future performance. Investment in funds involves risks! The fund’s risk level, assessed by the fund manager, is R4—medium-high risk, suitable for aggressive (C4) and above investors. Sales institutions (including the fund manager’s direct sales channels and other sales agents) will evaluate the fund’s risk according to relevant laws and regulations. Investors should pay attention to suitability opinions issued by sales agents and rely on their matching results. Different sales agents may have varying suitability opinions, and the risk level assessments provided by sales agents should not be lower than those made by the fund manager. The fund contract may specify different risk and return characteristics due to differing considerations. Investors should understand the fund’s risk-return profile, consider their own investment objectives, time horizon, experience, and risk capacity, and choose funds carefully, bearing all risks themselves. The China Securities Regulatory Commission’s registration of this fund does not imply any judgment or guarantee of its investment value, market prospects, or returns. Funds carry risks; invest cautiously!