Recently, the Hong Kong stock market has experienced continued volatility due to multiple factors, including a global tech stock sentiment pullback and the U.S. government shutdown. Additionally, as the year-end approaches, the earnings season has entered a lull period, lacking new catalysts to support further upward momentum. However, short-term disturbances now appear to be easing, while the long-term logic of AI-driven growth for Hong Kong's leading tech companies may still be unfolding.
On the news front, on the evening of November 9, 2025, the U.S. Senate passed a procedural vote on a temporary funding bill aimed at ending the government shutdown, potentially alleviating external uncertainties. Meanwhile, several leading Hong Kong tech companies are set to release their Q3 earnings reports this week, which could shift market focus back to earnings-driven trading and introduce new catalysts.
In terms of capital flows, southbound funds have continued to steadily increase their holdings in Hong Kong stocks. According to Wind data, as of November 10, 2025, the net purchase amount for the year has exceeded HKD 1.3 trillion, while cumulative net inflows since the launch of the Stock Connect program (November 7, 2014) have surpassed HKD 5 trillion, setting a new historical record and providing strong support for the Hong Kong market.
For targeted exposure to the Hong Kong tech sector, the Hang Seng Tech ETF (513130) is a popular choice among investors. Over the past week (November 5–11, 2025), it attracted HKD 1.185 billion in net inflows, making it the only ETF tracking the Hang Seng Tech Index with net inflows exceeding HKD 1 billion during this period. Backed by strong capital inflows, the ETF's latest AUM stands at HKD 43.137 billion, with outstanding shares reaching 55.169 billion, highlighting its large scale and superior liquidity. Additionally, the fund's annual management fee is just 0.2%, enabling cost-efficient investment. (Data sources: Exchange, Wind, fund legal documents, as of November 11, 2025.)
The Hang Seng Tech ETF (513130) closely tracks the Hang Seng Tech Index, a representative benchmark for Hong Kong's tech sector, comprising 30 leading internet and manufacturing companies with strong R&D capabilities across industries such as internet, media, software, automotive, and semiconductors. (Data sources: Wind, Hang Seng Indexes Company, as of November 11, 2025.)
After an extended period of adjustment, valuations in Hong Kong's tech sector have become increasingly attractive. Wind data shows that the Hang Seng Tech Index's latest P/E ratio is 23.02x, at the 32.18th percentile over the past five years. Compared to the Nasdaq Index's 41.46x and the STAR 50 Index's 161.34x, its undervaluation remains notable, suggesting potential allocation value. (As of November 11, 2025.)
Guotai Haitong Securities notes that Hong Kong stocks currently trade at relatively low levels, with upside potential compared to historical and overseas benchmarks. After recent adjustments, their allocation value has become more pronounced. From a valuation-earnings perspective, mid-term valuation expansion potential remains. In 2026, incremental capital inflows into Hong Kong stocks could become more evident, with foreign funds likely to return amid underweight positions and potential Fed rate cuts. ("2026 Hong Kong Strategy Outlook: Toward New Heights" – November 2, 2025.)
As external disturbances gradually ease and Q3 earnings reports are released, the outlook for Hong Kong's tech sector may become clearer, with current valuations still offering attractive allocation opportunities. Among investment tools, the Hang Seng Tech ETF (513130) is widely recognized by investors. According to its latest mid-2025 fund report, the ETF had over 220,000 holders as of the reporting period. It also offers advantages such as large scale, high liquidity, intraday T+0 trading, and low fees, making it a key instrument for accessing Hong Kong's core tech assets. Off-exchange investors can consider its feeder funds (Class A: 015310, Class C: 015311).
Note: Intraday T+0 refers to the exchange's trading mechanism.
Risk Disclosure: Investments involve risks. Before purchasing any fund products, please comply with investor suitability regulations, complete a risk assessment, and select products matching your risk tolerance. Past performance does not guarantee future results, and the performance of other funds managed by the same manager does not serve as a benchmark. Carefully review the fund's prospectus, offering documents, and legal disclosures for details. This fund invests in overseas markets and may face additional risks such as currency fluctuations and foreign market volatility. The Hang Seng Tech Index is compiled and published by Hang Seng Indexes Company, which retains all rights. Hang Seng Indexes Company takes measures to ensure index accuracy but makes no guarantees and assumes no liability for errors.
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