Storage chips suddenly surge, Baividian Storage hits historical high! Huabao Fund Sci-Tech Chip ETF (589190) probes above 2%, industry welcomes new wave of price increases

On the afternoon of March 16, chip stocks surged. Baiwei Storage and Huahong Company rose over 10%, with Baiwei Storage hitting a new all-time high! The full “chip” industry layout of Kechuang Chip ETF Huabao (589190) shot up sharply from below the surface, with intraday prices once rising over 2%, now up 1.67%. According to data from the Shanghai Stock Exchange, Kechuang Chip ETF Huabao (589190) has been attracting continuous inflows over the past five days, with a total net fund inflow of 30.13 million yuan.

In terms of news, after storage chips and packaging, the semiconductor industry chain may usher in a new wave of price increases. Reports indicate that mature process wafer foundries such as UMC, World Advanced, and Powertech are expected to raise prices starting as early as April, with increases of up to 10% or more.

Dongan Securities pointed out that recently, domestic and international tech companies have entered the performance disclosure period. Driven by the development of AI and computing power industries, the industry entering a high prosperity cycle, and continuous product price hikes, most listed semiconductor companies, represented by storage, have achieved year-on-year and quarter-on-quarter growth in performance. It is recommended to continue focusing on investment opportunities in high-prosperity niche fields brought by AI.

Layout for the “super cycle” of the chip industry, with a preference for 20CM high-elasticity varieties! Public information shows that the Kechuang Chip ETF Huabao (589190) and its associated funds (Class A 021224, Class C 021225) passively track the SSE Science and Technology Innovation Board Chip Index, which includes 50 targets involved in semiconductor materials and equipment, chip design, chip manufacturing, packaging, and testing. While covering the entire chip industry chain, core areas such as integrated circuits and semiconductor equipment account for over 90% of the weight, with high technological content and strong barriers.

Data shows that by the end of 2025, the SSE Science and Technology Innovation Board Chip Index has achieved an annualized return of 17.93% since its base date, significantly outperforming similar indices such as the Sci-Tech Innovation Semiconductor, Guozheng Chip, and CSI All-Semiconductor Index, while also having a smaller maximum drawdown and better risk-return ratio.

Source: Shanghai and Shenzhen Stock Exchanges, etc. The Kechuang Chip ETF Huabao passively tracks the SSE Science and Technology Innovation Board Chip Index, which was established on December 31, 2019, and published on June 13, 2022. The index components are adjusted periodically according to the index rules. Past performance does not predict future results. The five-year total return of the SSE Science and Technology Innovation Board Chip Index was 6.87% in 2021, -33.69% in 2022, 7.26% in 2023, 34.52% in 2024, and 61.33% in 2025.

Institutional views: Dongan Securities 20260225 “Overall industry prosperity rising, storage, equipment, and wafer foundry demand heating up”; Donghai Securities 20260304 “Semiconductor industry price hikes continue, focus on structural opportunities driven by AI in niche tracks.”

ETF fee-related notes: When investors subscribe or redeem fund shares, the agency may charge a commission of up to 0.5%, including fees charged by stock exchanges, registries, etc. Associated fund fees: Huabao SSE Science and Technology Innovation Board Chip ETF (A class 021224, C class 021225) has a subscription fee (front load) of 1,000 yuan per transaction for subscriptions of 2 million yuan or more, 0.2% for 1-2 million yuan, and 0.5% for less than 1 million yuan; redemption fee is 1.5% if held less than 7 days, 0% if held 7 days or more. The C class has no subscription fee, with redemption fees of 1.5% for holdings under 7 days and 0% for 7 days or more; sales service fee is 0.2%.

Risk warning: This product is issued and managed by Huabao Fund, and the distributor does not bear investment, redemption, or risk management responsibilities. Investors should carefully read the “Fund Contract,” “Prospectus,” “Fund Product Summary,” and other legal documents to understand the risk-return characteristics and choose products suitable for their risk tolerance. The fund manager’s risk rating for this fund is R4—medium-high risk, suitable for investors with a suitability rating of C4 or above. The performance of other funds managed by the fund manager does not guarantee the performance of this fund. Past performance does not predict future results. Funds carry risks; invest cautiously! Sales organizations (including direct sales by the fund manager and other sales channels) evaluate the fund’s risk according to relevant laws and regulations. Investors should pay attention to the suitability opinions issued by the fund manager. The risk level assessments provided by sales institutions may vary and should not be lower than the fund manager’s risk level. Differences may exist between the fund’s risk-return features and its risk level due to different considerations. Investors should understand the fund’s risk-return profile, consider their investment objectives, time horizon, experience, and risk capacity, and choose funds carefully, bearing the risks themselves. The China Securities Regulatory Commission’s registration of this fund does not imply any substantive judgment or guarantee of its investment value, market prospects, or returns. Funds are risky; invest cautiously.