Hong Kong Stock Tech Track Adds New Investment Tool; Fuguo Launches Major Hong Kong Stock Communications and Information Technology ETF

As the first year of the “14th Five-Year Plan” begins, a new wave of technological innovation is resonating deeply with national strategies, industrial upgrades, and the capital markets. The National Development and Reform Commission has explicitly stated that integrated circuits, artificial intelligence, and other emerging industries will be prioritized as new pillar industries. Efforts will be made to advance key core technologies along the entire supply chain and accelerate the building of a strong technological nation. In this strategic context, the importance of AI computing power and chip independence continues to grow, with domestic substitution processes deepening. Infrastructure for computing power, semiconductors, and high-end equipment are entering a more solid industrial support phase.

Meanwhile, southbound funds are keenly capturing the investment value of Hong Kong tech assets. According to Wind data, net inflows from southbound funds in 2025 exceeded HKD 1.4 trillion, with the information technology sector accounting for 23%, becoming one of the dominant forces in market pricing. With industry prosperity rising and continuous capital inflows, the GuoFeng Fund’s Hong Kong Stock Connect Information Technology ETF (Fund code: 159198) launched on March 16, aiming to provide investors with a one-click, index-based investment tool to access high-quality information technology sectors in Hong Kong.

Focusing on Hong Kong’s Hard Tech Sector — Higher “Sharpness” in Index Allocation

The Hong Kong Stock Connect Information Technology ETF closely tracks the CSI Hong Kong Stock Connect Information Technology Composite Index (Index code: 930967.CSI,简称：港股通信息C). This index selects from companies listed within the Hong Kong Stock Connect scope, choosing 45 securities from the CSI first-level industry “Information Technology” to comprehensively reflect the overall performance of the IT industry in the Hong Kong Stock Connect market.

Compared to some typical Hong Kong tech indices, the Hong Kong Stock Connect Information C index’s biggest feature is its more “pure” hard tech background. It excludes large-cap internet stocks with e-commerce attributes, making its tech characteristics more pure and its “sharpness” higher. Industry-wise, the index focuses on electronics, computers, semiconductors, and other foundational and application fields of information technology, covering core hardware manufacturing as well as software and service growth targets, fully aligning with the development ecosystem of the IT industry. Electronics account for nearly 60% of the weight, with semiconductor, consumer electronics, and AI hardware showing significantly higher concentrations of “hard tech” than similar indices. During tech sector rallies, this “sharpness” advantage becomes even more prominent.

In terms of performance, the index has shown excellent long-term results, demonstrating strong growth resilience. Wind data indicates that from 2023 to February 28, 2026, the index’s cumulative increase reached 71.99%. In 2025, driven by accelerated domestic substitution in semiconductors and technological iteration, the index’s annual gain was 39.30%, outperforming major Hong Kong tech indices such as the Hang Seng Tech Index, Hong Kong Stock Connect Internet Index, and Hong Kong Stock Connect Tech Index.

Regarding market capitalization, the index mainly consists of small- and mid-cap growth stocks, balancing growth potential and upward space. As of March 4, 2026, over 70% of the holdings had a market value below HKD 50 billion, with an average market cap of about HKD 69.2 billion. Many of these small- and mid-cap tech companies are in expansion phases, benefiting from increasing industry penetration and possessing strong technological iteration drivers, often showing notable growth potential.

Experienced Quantitative Experts Lead, Bullish Giants Provide Steady Support

A good horse needs a good saddle; a powerful tool needs a good leader. The sharpness and resilience of an index fund ultimately depend on the experience and vision of its managers. The GuoFeng Hong Kong Stock Connect Information Technology ETF is managed by Cai Kaer, Director of Quantitative Investment at GuoFeng Fund. With over 12 years of securities industry experience and 9 years in investment management, he has extensive experience managing index funds and Hong Kong Stock Connect-related products. Currently, he manages multiple funds including GuoFeng Hong Kong Stock Connect Quantitative Selection and Hong Kong Stock Connect Internet ETF. As a seasoned veteran in the Hong Kong Stock Connect arena, he has a deep understanding of market characteristics, the cycle of the information technology industry, and index investing.

If fund managers are the “riders” of the product, then the research platform behind them is the “trainer” of that horse. As one of China’s “Big Ten” public fund companies, GuoFeng Fund has been deeply engaged in quantitative investment for over 16 years, leading and pioneering the domestic ETF industry. Its quantitative investment team was established in 2009, led by Vice General Manager Dr. Li Xiaowei, gathering over 20 research and investment experts with an average of more than 11 years of experience. As of March 5, 2026, the firm manages 87 ETF products and 57 ETF-linked funds. From broad-based to sector-specific, from commodities to SmartBeta, GuoFeng’s ETF matrix offers diversified asset allocation tools and a solid operational framework for each product.

Currently, global technological competition is intensifying, and the wave of domestic substitution continues to deepen. Fields like AI computing power and semiconductors are entering long-term growth phases. The Hong Kong market, as a key listing venue for China’s hard tech companies, hosts many high-quality targets with technological barriers and growth potential. The launch of the GuoFeng Hong Kong Stock Connect Information Technology ETF (Fund code: 159198) provides investors with a convenient, transparent index-based tool to seize this opportunity. Its closely tracked index features pure industry exposure, ample resilience, and high-quality constituents, helping investors share in the industry’s growth dividends.