Recent concerns over valuation bubbles in U.S. tech stocks have weighed on the global technology sector. However, supported by China’s relatively stable economic fundamentals, expectations of continued Fed rate cuts, and the valuation appeal of Hong Kong stocks—alongside the global AI boom and domestic innovation—the long-term investment value of Hong Kong’s tech sector remains recognized. Many investors are capitalizing on market volatility to build positions.
Despite recent fluctuations in Hong Kong’s tech sector, funds continue flowing into ETFs for exposure. Notably, the benchmark Hang Seng Tech ETF (513130) attracted RMB 2.13 billion in net inflows over the past three trading days (11/3–11/5), making it the only ETF tracking the Hang Seng Tech Index to surpass RMB 2 billion in inflows during this period. On November 5 alone, net inflows hit a record high of RMB 1.2 billion since its launch (May 24, 2021). Trading activity also surged, with daily turnover reaching RMB 6.809 billion on November 5, up 26% from the previous session, reflecting strong market interest. (Source: Wind)
Driven by sustained inflows, the fund’s shares outstanding have grown for 11 consecutive trading days (10/21–11/5), with a net subscription of 1.572 billion shares on November 5, pushing total shares outstanding to a record 55.188 billion. This further solidifies its scale advantage. (Source: Wind, exchange data, as of 11/5)
The Hang Seng Tech ETF (513130) closely tracks the Hang Seng Tech Index, a representative benchmark comprising 30 leading Hong Kong-listed tech firms with strong R&D capabilities across internet, software, automotive, semiconductors, and communications. The index remains a "global valuation gap," with its P/E and P/B ratios at just 53% and 44% of the Nasdaq’s, respectively, positioning it for potential upside as valuations rebound. (Source: Wind, Hang Seng Indexes Company; as of 11/5, Hang Seng Tech Index P/E: 22.52x, P/B: 3.27x; Nasdaq P/E: 42.14x, P/B: 7.43x)
CICC recently noted that Hong Kong stocks have outperformed global markets this year amid rotational trends. Inflows stem from both global diversification demand amid "de-dollarization" narratives and southbound capital seeking higher returns amid limited domestic opportunities. China’s fundamentals remain key to long-term foreign capital flows. (Source: CICC report, November 2)
With advantages like large scale, high liquidity, and intraday T+0 trading (exchange mechanism), plus a low 0.2% annual management fee, the Hang Seng Tech ETF (513130) is a strategic tool for accessing Hong Kong’s tech core assets. Offshore investors can consider its feeder funds (Class A: 015310, Class C: 015311). (Source: Fund documents, as of 11/5)
Managed by Huatai-PineBridge Fund—a pioneer ETF provider with over 18 years of experience—the ETF is part of a suite of leading products, including the largest A-share ETF (CSI 300 ETF, 510300) and the top-performing A500 ETF (563360).
Note: As of November 5, CSI 300 ETF (510300) assets totaled RMB 424.334 billion; A500 ETF (563360) reached RMB 26.271 billion; Hang Seng Tech ETF (513130) stood at RMB 42.203 billion.
Risk Disclosure: Investing involves risks. Investors should assess suitability based on risk profiles and review fund documents, including prospectuses. Past performance does not guarantee future results. The fund is exposed to additional risks such as currency fluctuations and overseas market volatility. The Hang Seng Tech Index is compiled by Hang Seng Indexes Company, which disclaims liability for any errors.
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