Core Viewpoint - Foreign public funds are optimistic about Chinese assets and have significantly increased their positions in the technology growth sector during the third quarter, as revealed by the latest quarterly reports from major foreign fund companies [2][3][4]. Group 1: Fund Positioning and Strategies - Several foreign public funds, including Fidelity and BlackRock, have notably increased their holdings in technology stocks, with Fidelity's fund significantly adding 126,000 shares of the humanoid robot leader, UBTECH, making it their largest holding [2]. - The top ten holdings of Fidelity's fund now include H-shares and A-shares of SMIC and Shanghai Fudan, indicating a strategic focus on key technology players [2]. - The fund managers from Fidelity attribute the strong performance of the technology growth sector to the transitional achievements of the Chinese economy, driven by innovation [2][3]. Group 2: Sector Focus and Future Outlook - The managers of the Robeco China Opportunities Mixed Fund emphasize a balanced growth-oriented portfolio, focusing on high-end manufacturing upgrades, the automotive and electric vehicle supply chain, and AI technology [3]. - Allianz's fund managers express confidence in high-quality technology assets leading the revaluation of Chinese stocks, maintaining a high stock position and achieving good investment returns [3][4]. - BlackRock's fund managers highlight an increased focus on the electronics sector, benefiting from self-sufficient chips and AI-driven PCB cycles, while maintaining a positive outlook on Chinese assets [4]. Group 3: Investment Themes and Asset Allocation - The managers from Allianz suggest that A-shares are becoming increasingly attractive, planning to maintain an "overweight" position in stocks and dynamically adjust based on market conditions [4]. - They also plan to focus on high-quality technology assets that are expected to exceed profit expectations, as well as dividend assets with significant revaluation potential [4]. - Schroders' fund managers note a rebound in industrial profits in August and are optimistic about the potential wealth effect of the stock market on consumption, favoring cyclical and technology sectors [5].

Core Viewpoint - Company will hold a conference call to discuss its Q3 2025 performance on November 14, 2025, following the earnings release on November 13, 2025 [2][8]. Group 1: Conference Details - The conference will take place on November 14, 2025, from 8:30 AM to 9:30 AM [2][3]. - The meeting will be conducted via online and telephone conference [2][3]. Group 2: Participation Methods - Investors can participate online through a live stream available at the provided link [4]. - For telephone participation, registration is required through the specified link [5]. - A recording of the conference will be available for replay approximately one hour after the meeting, valid for 12 months [6]. Group 3: Contact Information - The investor relations department can be contacted for inquiries at +86 21-20812800 or via email at IR@smics.com [7].

Core Insights - Semiconductor Manufacturing International Corporation (SMIC) has recently undergone a business change, increasing its registered capital from $5.25 billion to $5.95 billion [2] Company Summary - The registered capital of SMIC has been raised by $700 million, reflecting a significant increase in its financial capacity [2]

Market Overview - On October 31, the Hang Seng Index fell by 1.43%, closing at 25,906.65 points, with a total net buy of HKD 8.719 billion through the southbound trading channel [1] - The total trading amount for the southbound trading was HKD 125.148 billion, with a net buy of HKD 8.719 billion [1] Southbound Trading Details - The Shanghai Stock Exchange's southbound trading had a total trading amount of HKD 76.315 billion, with a net buy of HKD 5.772 billion; the Shenzhen Stock Exchange's southbound trading had a total trading amount of HKD 48.833 billion, with a net buy of HKD 2.947 billion [1] - In the top ten active stocks for the Shanghai Stock Exchange's southbound trading, Alibaba-W had the highest trading amount of HKD 58.52 billion, followed by SMIC and Tencent Holdings with trading amounts of HKD 43.31 billion and HKD 30.98 billion, respectively [1] Stock Performance - In terms of net buy amounts, Xiaomi Group-W led with a net buy of HKD 5.56 billion, despite a closing price drop of 2.17% [1] - Alibaba-W had the highest net sell amount of HKD 4.81 billion, with a closing price decline of 4.07% [1] - For the Shenzhen Stock Exchange's southbound trading, Alibaba-W also led with a trading amount of HKD 43.07 billion, followed by SMIC and Tencent Holdings with amounts of HKD 28.25 billion and HKD 26.32 billion, respectively [2] - Meituan-W had the highest net buy amount of HKD 4.65 billion, while Tencent Holdings had the highest net sell amount of HKD 10.47 billion, with a closing price drop of 3.38% [2] Active Stocks Summary - The top active stocks on October 31 included: - Alibaba-W: Trading amount of HKD 585.186 million, net sell of HKD 48.075 million, daily change of -4.07% [2] - SMIC: Trading amount of HKD 433.135 million, net sell of HKD 7.807 million, daily change of -5.30% [2] - Tencent Holdings: Trading amount of HKD 309.840 million, net sell of HKD 17.172 million, daily change of -3.38% [2] - Xiaomi Group-W: Trading amount of HKD 193.915 million, net buy of HKD 55.560 million, daily change of -2.17% [2]

Market Overview - The Shanghai Composite Index increased by 0.11% this week, while the Shenzhen Component Index rose by 0.67% and the ChiNext Index gained 0.50%. In contrast, the CSI 300 Index fell by 0.43% [1] - Among the tradable A-shares, 2,859 stocks rose, accounting for 52.58%, while 2,517 stocks declined [1] Fund Flow Analysis - The total net outflow of main funds this week was 206.639 billion yuan. The ChiNext saw a net outflow of 58.734 billion yuan, the STAR Market had a net outflow of 26.272 billion yuan, and the CSI 300 components experienced a net outflow of 86.878 billion yuan [2] - Daily fund flow data indicates significant outflows on October 30 and 31, with net outflows of 100.637 billion yuan and 62.903 billion yuan respectively [2] Industry Performance - In the Shenwan industry classification, 20 out of 28 sectors experienced gains this week. The top-performing sectors were electric power equipment and non-ferrous metals, with increases of 4.29% and 2.56% respectively. The sectors with the largest declines were telecommunications and beauty care, with decreases of 3.59% and 2.21% respectively [2] - The electronic industry had the largest net outflow of funds, totaling 64.443 billion yuan, with a weekly decline of 1.65%. The telecommunications sector followed with a net outflow of 28.418 billion yuan and a decline of 3.59% [3] Individual Stock Performance - A total of 1,643 stocks saw net inflows this week, with 229 stocks having net inflows exceeding 100 million yuan. The stock with the highest net inflow was 360, which rose by 14.55% with a net inflow of 2.313 billion yuan [4] - Conversely, 566 stocks experienced net outflows exceeding 100 million yuan, with ZTE, SMIC, and Newyeason leading in net outflows of 6.252 billion yuan, 5.685 billion yuan, and 5.678 billion yuan respectively [4]

Group 1 - Southbound funds net bought Hong Kong stocks worth 8.719 billion HKD on October 31 [1] - Notable net purchases included Xiaomi Group at 646 million HKD and Meituan at 464 million HKD [2] - Significant net sales included Tencent Holdings at 1.219 billion HKD and SMIC at 711 million HKD [2] Group 2 - Southbound funds have net bought Xiaomi for three consecutive days, totaling 883.69 million HKD, and Meituan for three consecutive days, totaling 1.43718 billion HKD [4] - Southbound funds have net sold ZTE for three consecutive days, totaling 717.69 million HKD, and Tencent for three consecutive days, totaling 1.8394 billion HKD [4] Group 3 - Hua Hong Semiconductor announced progress on an asset acquisition and fundraising transaction, with audit and evaluation work ongoing [5] - Meituan upgraded its "Smart Store Manager" AI phone reception capabilities, resulting in a 44% month-on-month increase in AI reception volume for restaurants [5] - SMIC's registered capital increased from 5.25 billion USD to 5.95 billion USD, a growth of approximately 13% [5] - Pop Mart's new "Vacation Mode" series of the popular IP CRYBABY sold out immediately, with a significant price increase for the hidden variant [5]

Core Insights - On October 31, 2025, Alibaba-W (09988), SMIC (00981), and Tencent Holdings (00700) ranked as the top three companies by trading volume in the southbound trading of the Stock Connect, with trading volumes of 58.52 billion, 43.31 billion, and 30.98 billion respectively [1][2] - In the southbound trading of the Shenzhen-Hong Kong Stock Connect, Alibaba-W (09988), SMIC (00981), and Tencent Holdings (00700) also held the top three positions, with trading volumes of 43.07 billion, 28.25 billion, and 26.32 billion respectively [1][2] Southbound Trading Highlights - **Top Active Companies in Southbound Trading (Hong Kong Stock Connect)** - Alibaba-W (09988): Trading amount of 58.52 billion, net buy of -4.81 billion [2] - SMIC (00981): Trading amount of 43.31 billion, net buy of -78.06 million [2] - Tencent Holdings (00700): Trading amount of 30.98 billion, net buy of -1.72 billion [2] - Xiaomi Group-W (01810): Trading amount of 19.39 billion, net buy of +5.56 billion [2] - Huahong Semiconductor (01347): Trading amount of 18.61 billion, net buy of -1.67 billion [2] - **Top Active Companies in Southbound Trading (Shenzhen-Hong Kong Stock Connect)** - Alibaba-W (09988): Trading amount of 43.07 billion, net buy of +1.15 billion [2] - SMIC (00981): Trading amount of 28.25 billion, net buy of -6.34 billion [2] - Tencent Holdings (00700): Trading amount of 26.32 billion, net buy of -10.47 billion [2] - Huahong Semiconductor (01347): Trading amount of 11.90 billion, net buy of -3.07 billion [2] - Xiaomi Group-W (01810): Trading amount of 11.13 billion, net buy of +904.39 million [2]

Group 1 - The core point of the news is that southbound funds have net bought Hong Kong stocks worth 8.719 billion HKD today, with notable purchases in Xiaomi and Meituan, while there were significant sell-offs in Tencent and other companies [1] - Southbound funds have consistently net bought Xiaomi for three consecutive days, totaling 883.69 million HKD, and Meituan for three consecutive days, totaling 1.43718 billion HKD [1] - Conversely, southbound funds have net sold Tencent for three consecutive days, totaling 1.8394 billion HKD, and ZTE for three consecutive days, totaling 717.69 million HKD [1] Group 2 - In the Shanghai Stock Connect, Alibaba-W saw a decline of 4.1% with a net outflow of 481 million HKD, while Xiaomi Group-W experienced a net inflow of 556 million HKD despite a 2.2% drop [3] - Semiconductor companies like SMIC and Hua Hong Semiconductor faced net outflows of 78 million HKD and 167 million HKD respectively, with SMIC declining by 5.3% [3] - Meituan recorded a net inflow of 230 million HKD with a 4.0% increase, indicating positive investor sentiment [3]

Core Insights - The Hong Kong stock market saw a net inflow of 87.19 billion HKD from northbound trading on October 31, with 57.72 billion HKD from the Shanghai Stock Connect and 29.47 billion HKD from the Shenzhen Stock Connect [1] Group 1: Net Inflows and Outflows - The most bought stocks included Xiaomi Group-W (01810), Meituan-W (03690), and Sanofi Pharmaceutical (01530) [1] - The most sold stocks included Tencent (00700), SMIC (00981), and Hua Hong Semiconductor (01347) [1] Group 2: Stock Performance Details - Xiaomi Group-W (01810) had a net inflow of 6.46 billion HKD, supported by optimistic forecasts for its smartphone and electric vehicle businesses [5] - Meituan-W (03690) received a net inflow of 4.64 billion HKD, with news of its international food delivery brand Keeta launching operations in Brazil [5] - Sanofi Pharmaceutical (01530) saw a net inflow of 754.6 million HKD, following the registration of a new cancer treatment in clinical trials [5] Group 3: Notable Sell-offs - Tencent (00700) experienced a net outflow of 12.19 billion HKD, amid increased short-selling activities in the market [7] - SMIC (00981) faced a net outflow of 7.11 billion HKD, as the semiconductor sector reacted to potential changes in AI chip export policies [8] - Hua Hong Semiconductor (01347) had a net outflow of 4.73 billion HKD, reflecting broader trends in the chip industry [8]

Core Viewpoint - The Hong Kong stock market experienced a decline in October, with all three major indices ending the month lower after a brief rise at the beginning. The Hang Seng Index fell by 3.53%, the Hang Seng China Enterprises Index dropped by 4.05%, and the Hang Seng Tech Index saw the largest decline at 8.62. The Hang Seng Index fell below the 26,000-point mark, while the Hang Seng Tech Index fell below 6,000 points [1]. Sector Performance - The coal, port transportation, oil, and airline sectors showed positive performance, with China Eastern Airlines rising by 19.8%, China Southern Airlines increasing by 12.5%, and China Petroleum gaining over 13%. China National Offshore Oil Corporation rose nearly 4%. In the coal sector, China Coal Energy surged nearly 18%, while China Shenhua Energy increased by 12% and Shougang Resources rose by 9.7% [1]. - Conversely, the Apple concept stocks, biopharmaceuticals, domestic real estate, automotive, and semiconductor sectors experienced significant declines. Highway Electronics led the Apple concept sector with a drop of 20.7%, followed by Sunny Optical with a decline of 16.8% and Q Technology down by 15.8%. In the automotive sector, Li Auto fell by 21.35%, Leap Motor dropped by 12.13%, and BYD shares decreased by 8.7%. Although SMIC reached a new high during the month, it still fell by 5.7% [1]. Large Technology Stocks - Among large technology stocks, Xiaomi saw a significant drop of 20%, Kuaishou fell by 14.48%, Baidu decreased by 11.71%, NetEase dropped by 8.36%, JD.com fell by 7.87%, Alibaba decreased by 6.72%, Tencent dropped by 5.13%, and Meituan fell by 2.39% [1].