On January 21, Hong Kong stocks initially fell before rising, with the AI application sector, including GEO, becoming active again. GEO concept stocks Maifushi and Shiteng Holdings both surged over 5%, while SenseTime-W, Alibaba Health, Mobvista, and Meitu led the gains.
Among heavyweight leaders, Kuaishou-W rose 3.62%. Driven by intensive product iterations since December and the breakout popularity of features like "motion control," as of January 21, the paying user base of the Kling AI App had increased by approximately 350% compared to December last year, with daily average revenue rising about 30% from December's levels. Its latest monthly active users have surpassed 12 million. Alibaba-W and Bilibili-W both gained over 2%. On January 21, the latest data from Hugging Face, the world's largest AI open-source community, showed that derivative models of Alibaba's Qwen have exceeded 200,000, making it the first open-source large model globally to achieve this milestone. Simultaneously, the Qwen series models have surpassed 1 billion downloads, averaging 1.1 million downloads per day, fully overtaking the American Llama model to rank first globally among open-source large models.
Regarding popular ETFs, the HK Internet ETF (513770), a core asset in Hong Kong's AI sector, opened lower in the morning session below its annual moving average but then saw premium-driven gains. It traded mostly in positive territory in the afternoon, with its price further expanding by the close, ending up 0.73% and halting a previous four-day losing streak. High-frequency premiums throughout the day indicated active buying interest, showing strong support near the annual moving average.
Data from the Shanghai Stock Exchange shows that the HK Internet ETF (513770) received capital inflows on 15 of the past 20 trading days, with a total net inflow of 1.453 billion yuan. The fund's latest share size reached 25.823 billion shares, setting a new historical high. Since the start of 2026, the AI application industry chain has seen active trading under multiple catalysts. Whether it's the record-breaking IPO speed of large model firm MiniMax or the impressive gains of Maifushi, Bilibili, and Kuaishou, signals seem to point toward a pivotal shift in Hong Kong's AI market dynamics for 2026—a transition from "computing power worship" to "application worship."
The Hong Kong internet sector stands as a core beneficiary of the AI application theme, aggregating a group of tech giants scarce in the A-share market. This includes platform-based internet companies like Alibaba, Tencent Holdings, and Kuaishou, which possess synergistic advantages in computing resources, model capabilities, and application scenarios; as well as AI ecosystem players like Bilibili and JD Health, which have model or application capabilities.
A Goldman Sachs research report notes that 2026 will be a strategic inflection year for China's internet leaders—companies will increase consumer-facing AI investments, compete around "AI super gateways," while focusing more intensely on defending their core leadership positions. "Profit growth + new globalization narratives + shareholder returns" will become the core profit drivers for the industry in 2026.
Seize the opportunity in 2026, the inaugural year of AI commercialization, by focusing on core Hong Kong AI tools! The HK Internet ETF (513770) and its feeder funds (Class A: 017125; Class C: 017126) passively track the CSI Hong Kong Stock Connect Internet Index. Alibaba-W is its top constituent with a latest weighting of 14.71%. The top ten holdings aggregate tech giants like Alibaba-W, Tencent Holdings, Xiaomi Group-W, Kuaishou-W, and Bilibili-W, along with AI application firms across various sectors, collectively accounting for nearly 77% of the index, highlighting significant leadership concentration.
As of January 20, the fund's latest net asset value reached 14.182 billion yuan, setting another historical record! Since 2025, its average daily turnover has exceeded 600 million yuan, supporting intraday T+0 trading without being subject to QDII quota limitations, offering excellent liquidity.
Interested in Hong Kong tech but seeking to reduce volatility? Consider the market's first—Hong Kong Large Cap 30 ETF (520560), which employs a "tech + dividend" barbell strategy. Its major holdings include high-beta tech stocks like Alibaba and Tencent Holdings, as well as stable high-dividend players like China Construction Bank and Ping An of China, making it an ideal foundational holding for long-term Hong Kong market allocation.
Reminder: Recent market volatility may be significant; short-term price movements do not indicate future performance. Investors must make rational investment decisions based on their own capital situation and risk tolerance, paying close attention to position and risk management.
Data source: Shanghai and Shenzhen Stock Exchanges, etc. The CSI Hong Kong Stock Connect Internet Index's performance over the past five full years is as follows: 2021: -36.61%; 2022: -23.01%; 2023: -24.74%; 2024: 23.04%; 2025: 27.02%. Index constituents are adjusted according to the index methodology; past index performance does not predict future results.
ETF fee-related note: When subscribing for or redeeming fund shares, subscription/redemption agents may charge a commission of up to 0.5%, which includes relevant fees collected by stock exchanges and registration institutions.
Feeder fund fee-related note: For HuaBao CSI Hong Kong Stock Connect Internet ETF Feeder Fund (Class A), the front-end subscription fee is 1,000 yuan per transaction for subscription amounts over 2 million yuan; 0.6% for amounts between 1 million yuan (inclusive) and 2 million yuan; and 1% for amounts below 1 million yuan. The redemption fee is 1.5% for holding periods under 7 days, and 0% for holding periods of 7 days or more; no sales service fee is charged. For HuaBao CSI Hong Kong Stock Connect Internet ETF Feeder Fund (Class C), no subscription fee is charged; the redemption fee is 1.5% for holding periods under 7 days, and 0% for holding periods of 7 days or more; the sales service fee is 0.3%.
Risk warning: The HK Internet ETF passively tracks the CSI Hong Kong Stock Connect Internet Index, which has a base date of December 30, 2016, and was launched on January 11, 2021. Index constituents are adjusted according to the index methodology. Constituent stocks mentioned herein are for illustrative purposes only; individual stock descriptions do not constitute investment advice in any form nor represent the holdings or trading动向 of any fund managed by the manager. The fund manager assesses this fund's risk level as R4 - Medium-High Risk, suitable for Aggressive (C4) and higher risk-profile investors. Any information appearing in this article (including but not limited to individual stocks, commentary, forecasts, charts, indicators, theories, and any form of expression) is for reference only, and investors are solely responsible for any independent investment decisions. Furthermore, any views, analysis, or predictions herein do not constitute investment advice of any kind to readers, and no liability is accepted for any direct or indirect losses arising from the use of this content. The performance of other funds managed by the fund manager does not guarantee this fund's performance; past fund performance does not indicate future results. Fund investment carries risks; invest cautiously.
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