In early trading on September 18, semiconductor chips demonstrated renewed strength, with the benchmark index of the lower-fee HUABAO SHANGHAI SCI TECH INNOVATION BOARD CHIP TRADING OPEN ENDED INDEX SECURITIES INVESTMENT FUND (589190) climbing 3% in the current session.
Leading the charge, heavyweight Hygon Information Technology Co.,Ltd. (688041) advanced 5%, alongside notable gains from a host of other sector participants including Fuchan Precision, Fudan Microelectronics, Zhongke Feice, and Yandong Microelectronics, all of which posted strong performances in early trading.
As of September 17, 2026, the respective weightings of these stocks within the Sci-Tech Innovation Board Chip Index are as follows: Hygon Information Technology Co.,Ltd. holds a 7.6% share, Fudan Microelectronics accounts for 0.7%, Fuchan Precision represents 1.21%, Zhongke Feice carries 2.89%, and Yandong Microelectronics constitutes 0.91%.
On the news front, NVIDIA's Chief Executive Officer Jensen Huang publicly emphasized that AI safety is crucial to the development of the global AI industry. He also revealed expectations that the company's chip sales next year would double this year's volume, further underscoring the robust demand currently prevailing in the global AI chip market.
Overnight, all seven major US technology giants closed higher. Memory components performed admirably, with flagship leader Changxin Technology rising over 2%. Data indicates that Changxin Storage has achieved mass production capability for HBM3, with its three wafer fabs in Hefei and Beijing currently producing approximately 300,000 wafers per month. Once the new facility commences operations in 2027, total DRAM capacity is set to double, potentially supplying 3 million units of 24GB HBM3 annually, supporting 500,000 to 750,000 domestic GPUs.
On the demand side, GPU manufacturers such as Cambricon and Hygon Information Technology Co.,Ltd. are transitioning their per-card HBM configurations from HBM3 to HBM3E, significantly increasing their reliance on domestic high-bandwidth memory. Data reveals that by 2027, domestic AI chips will require the equivalent of 39 million HBM3/HBM3E units. The historic capital expenditures from Alibaba and Tencent are expected to further accelerate the adoption pace of domestic HBM.
The AI chip industry chain is currently experiencing a comprehensive and systematic upgrade wave. From front-end chip design and mid-stream advanced process manufacturing to core supporting segments such as cooling and storage, the entire industrial ecosystem continues to iterate and innovate intensively around AI high-computing-power demands, reinforcing the sector's medium-to-long-term growth fundamentals.
For investors, selecting individual chip stocks poses considerable difficulty. A more prudent approach involves a one-stop allocation through an index that covers the entire chip industry chain.
The HUABAO SHANGHAI SCI TECH INNOVATION BOARD CHIP TRADING OPEN ENDED INDEX SECURITIES INVESTMENT FUND (589190) passively tracks the Shanghai Sci-Tech Innovation Board Chip Index, encompassing the complete chip value chain with significant positions in storage, semiconductor equipment, and materials. This positioning effectively mirrors the industrial development trend driven by the continuous upgrade of AI computing infrastructure, offering strong offensive characteristics and substantial upside potential with its 20% price fluctuation limit.
Investors trading off-exchange may consider the feeder fund (code 021225). Public data shows that the HUABAO SHANGHAI SCI TECH INNOVATION BOARD CHIP TRADING OPEN ENDED INDEX SECURITIES INVESTMENT FUND (589190) charges a management fee of 0.3%, a custody fee of 0.08%, and a combined fee of 0.38%, making it one of the lower-fee options among ETFs tracking the same benchmark index.
Data sources include the Shanghai and Shenzhen stock exchanges. Regarding ETF fees: when investors subscribe to or redeem fund shares, subscription and redemption agents may charge commissions at a rate not exceeding 0.5%, which includes relevant fees charged by stock exchanges and registration institutions.
Feeder fund fee details: For the HUABAO Shanghai Sci-Tech Innovation Board Chip ETF Feeder Fund Class A, the subscription fee (front-end) is RMB 1,000 per transaction for subscription amounts of RMB 2 million and above, 0.2% for amounts between RMB 1 million and RMB 2 million, and 0.5% for amounts below RMB 1 million. The redemption fee is 1.5% for holding periods of fewer than 7 days and 0% for holding periods of 7 days or more. Class C shares of the HUABAO Shanghai Sci-Tech Innovation Board Chip ETF Feeder Fund do not incur subscription fees, with redemption fees of 1.5% for holding periods of fewer than 7 days and 0% for holding periods of 7 days or more; the sales service fee is 0.2%.
Risk disclosure: The HUABAO SHANGHAI SCI TECH INNOVATION BOARD CHIP TRADING OPEN ENDED INDEX SECURITIES INVESTMENT FUND (589190) and its feeder funds passively track the Shanghai Sci-Tech Innovation Board Chip Index, which has a base date of December 31, 2019, and a publication date of June 13, 2022.
The Shanghai Sci-Tech Innovation Board Chip Index's performance over the past five complete years was 6.87% in 2021, -33.69% in 2022, 7.26% in 2023, 34.52% in 2024, and 61.33% in 2025. Its volatility over the same period was 34.32% in 2021, 36.60% in 2022, 28.64% in 2023, 44.67% in 2024, and 34.34% in 2025.
The index's constituent stocks are adjusted periodically according to the index compilation rules, and historical backtest performance does not predict future index performance. This product is issued and managed by HUABAO FUND, and distribution institutions do not bear responsibility for the product's investment, payment, or risk management.
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The MACD golden cross signal has formed, and these stocks are showing strong upward momentum!
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