While most investors are still debating whether “China assets are a slow bull,” another crowd has already shifted into a higher gear. They don’t wait for policy guidance or study annual reports — they trade on every tick of the index. These are the players of leveraged and inverse ETFs.As Hong Kong’s market revives, southbound inflows hit record highs, and the Hang Seng Tech ETF surged more than 15 percent in a month, short-term money is heating up again. For aggressive investors, leveraged and inverse ETFs have become the new weapons for amplifying gains — and, inevitably, losses.But like every sharp weapon, it cuts both ways. The moment you grip it, you must remember: this is a double-edged blade.1.Leveraged & Inverse ETFs — the Market’s “Turbo” and “Reverse Gear”In the investing wor

As we move into the second half of 2025, Hong Kong’s financial spotlight has quietly shifted toward the convergence of digital assets and traditional finance. According to The South China Morning Post, southbound capital inflows through Stock Connect surged past HKD 866.8 billion in the first 7 months of the year—already exceeding the full-year total of 2024 by more than 7 percent. Meanwhile, the Hong Kong dollar briefly strengthened to 7.79 against the U.S. dollar, an unexpected move that forced the HKMA to step in once again to defend its currency peg.Money is flowing back, exchange-rate volatility is rising, and one message is clear: Hong Kong is entering a new era of financial-infrastructure reform. And right in the middle of this transformation, a new player is quietly emerging—the Ho

Over the past year, Chinese assets have been gaining momentum. The Shanghai Composite Index surged past 3,800 points, while Hong Kong equities rebounded on the back of favorable policies and the return of U.S.-listed Chinese companies. But markets often rise fast and fall just as quickly. For example, in early September, sharp declines followed earlier gains, leaving investors on an emotional rollercoaster—thrilled one moment, anxious the next. Many focus only on individual stocks, only to realize that quick gains often come with equally fast losses.Investing in China and emerging markets can be both exciting and nerve-wracking. Volatility is part of the game—opportunities are plenty, but without proper risk management, it’s like sailing without a life jacket. Today, let’s walk through a s

China’s equity markets have been heating up. On August 22, the Shanghai Composite Index briefly broke above 3,800, reaching its highest closing level since 2015. On the same day, the total market capitalization of A-shares surpassed RMB 100 trillion for the first time, fueled by record margin financing and strong investor inflows. Turnover surged to nearly RMB 2.8 trillion, underscoring renewed enthusiasm across both institutional and retail investors.Against this backdrop, many investors are asking the same question: How should I gain exposure to China? Should I chase hot themes, or stick to a diversified approach? For most, the practical answer is not to pick individual stocks, but to use Exchange-Traded Funds (ETFs)—a tool that allows broad exposure while managing risk.This note outline

In the second half of 2025, interest in China assets has been heating up rapidly. Southbound capital inflows hit new records for consecutive days, while turnover in ETFs like the Hang Seng China Enterprises Index (HSCEI) ETF and the Hang Seng Tech ETF repeatedly set fresh highs. The Hong Kong market, once sluggish, has re-emerged on the “must-have” list for global capital. At the same time, the renminbi has stabilized after a wave of depreciation expectations, helping to restore investor confidence in cross-border allocation.From a valuation perspective, both A-shares and Hong Kong stocks are trading at historical lows. The CSI 300’s PE ratio is around 12x, the Hang Seng Index’s PB ratio has even slipped below 1x, while in contrast, the S&P 500’s PE is as high as 29x and PB above 3x. T

When investors think about markets, the first ideas that usually come to mind are stocks, ETFs, and the volatility of equity funds.Over the past year, equities in Asia have drawn renewed attention:Mainland indices reached multi-year highs.Hong Kong markets rebounded, supported by policy tailwinds and overseas-listed companies returning home.But as always, equity markets can be volatile. Many investors are now asking: Is there a more stable product to manage capital in between trades?One often overlooked option is the Money Market Fund (MMF). While widely used by institutions and retail investors alike, MMFs are rarely studied in detail. Their core strengths are stability, liquidity, and ease of use—making them an ideal short-term cash management tool. In this article, we’ll break down what

Over the past year, Chinese assets have attracted renewed attention. Mainland equities rallied (the Shanghai Composite climbed above 3,800), and Hong Kong-listed stocks staged a recovery amid supportive policy signals and the return of some China-related listings. At the same time, markets that remain volatile—sharp upswings can be followed by swift drawdowns (for example, a notable sell-off in early September). Many investors who focus solely on equities find they can make gains quickly — and lose them just as fast.That makes a more resilient approach worth considering. Rather than relying on single-asset bets, a simple cross-asset framework combining equities, bonds and commodities can improve stability without sacrificing exposure to upside. Below is a concise, practitioner-oriented pre

Why Focus on China Assets Now?As we move into the second half of 2025, activity in China’s economy has picked up — supported not only by a sequence of policy measures but also by a clear rebound in several high-frequency indicators:Service activity at a 15-month high: In August 2025, China’s services sector recorded its strongest monthly expansion in 15 months, driven by a recovery in domestic demand and a pickup in external orders.Retail recovery and consumption stimulus: Retail sales showed renewed strength — in May year-on-year retail growth was +6.4%, with appliance replacement and promotional events (e.g., shopping festivals) contributing to the improvement.Persistent stabilization expectations: Multilateral institutions have noted that China retains room for policy support, which hel

Over the past two years, the stories of both A-shares and Hong Kong stocks have revolved around one key phrase: pro-cyclical. Especially in commodities and resource-related equities, this phrase acts like a switch—once triggered by policy or the economic cycle, the market tends to surge swiftly and fiercely. Recently, market attention has again shifted to China’s resource sectors: steel, copper & aluminum, and rare earths, all riding on policy stimulus and a global price rebound.But why should we care about these “iron lumps” and “piles of ore”? Because they are not just cold raw materials—they represent China’s confidence in breaking free from economic “involution.” Steel fuels infrastructure, copper & aluminum are the “lifeblood” of new energy vehicles, and rare earths are the “v