On April 3, the semiconductor sector showed notable strength against broader market weakness, with the HUABAO SHANGHAI SCI TECH INNOVATION BOARD CHIP TRADING OPEN ENDED INDEX SECURITIES INVESTMENT FUND (589190) rising over 1% in intraday trading. Among constituent stocks, Peric Special Gases Co.,Ltd. (688146) surged by the 20% daily limit, followed by Advanced Semiconductor Manufacturing and Sitronix with gains of 8.71% and 4.6% respectively.
Central China Securities highlighted that global semiconductor sales maintained year-over-year growth, reaching $82.54 billion in January 2026—a 46.1% increase that marks the 27th consecutive month of expansion. China's semiconductor sales reached $22.82 billion, up 47.0% year-over-year. The ongoing recovery in domestic semiconductor industry is expected to drive demand for semiconductor materials.
Ping An Securities noted that driven by AI computing power and global digital economy development, the semiconductor market's projected milestone of $1 trillion—originally anticipated for 2030—may arrive by late 2026. Current intensified AI infrastructure investments by overseas cloud service providers are fueling a sustained upturn in the memory sector, with both volumes and prices rising. This memory cycle is expected to demonstrate greater strength and durability compared to the previous cycle.
For exposure to the semiconductor "super cycle," high-volatility 20% limit stocks present strategic opportunities. Public information indicates that the HUABAO SHANGHAI SCI TECH INNOVATION BOARD CHIP TRADING OPEN ENDED INDEX SECURITIES INVESTMENT FUND (589190) and its feeder funds (Class A 021224, Class C 021225) track the SSE Science and Technology Innovation Board Chip Index, which includes 50 companies involved in semiconductor materials, equipment, chip design, manufacturing, packaging, and testing. While providing comprehensive coverage of the semiconductor industry chain, the fund maintains over 90% weighting in core areas like integrated circuits and semiconductor equipment, reflecting high technological content and strong barriers to entry.
Data shows that as of end-2025, the SSE Science and Technology Innovation Board Chip Index achieved an annualized return of 17.93% since its base date, significantly outperforming peer indices such as the STAR Market Semiconductor Index and China Semiconductor Index, while demonstrating smaller maximum drawdowns and superior risk-adjusted returns.
Historical performance data for the SSE Science and Technology Innovation Board Chip Index over the past five full years: 2021 +6.87%, 2022 -33.69%, 2023 +7.26%, 2024 +34.52%, 2025 +61.33%. Index constituents are periodically adjusted according to index methodology, and past performance does not guarantee future results.
ETF fee structure: Subscription/redemption agents may charge commissions up to 0.5%, including fees levied by exchanges and registration institutions. Feeder fund fees: Class A shares carry a front-end load of 0.5% for subscriptions below ¥1 million, 0.2% for ¥1-2 million, and a flat ¥1,000 fee for subscriptions above ¥2 million. Redemption fees are 1.5% for holdings under 7 days, and 0% for 7 days or longer. Class C shares charge no subscription fees, with redemption fees of 1.5% for holdings under 7 days and 0% thereafter, plus a 0.2% service fee.
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