Hong Kong as good as Wall Street for Chinese tech firms, Goldman Sachs banker says

Core Insights - Hong Kong has emerged as the preferred fundraising venue for Chinese technology giants, surpassing the US due to increased liquidity, market reforms, and proximity to the home market [1][2] - The trend of Chinese technology firms attracting international investors is expected to continue, positioning Hong Kong as a significant beneficiary [2][3] - The percentage of Chinese stocks in US and European investors' portfolios has returned to high single digits, nearing the peak of around 13% in 2021, indicating a healthy capital market [4] Investment Trends - The MSCI China Index and Hong Kong's Hang Seng Index have both gained over 30% this year, supporting a market rally driven by capital inflows [4][5] - The presence of Middle Eastern investors is increasing, as evidenced by a recent delegation from Qatar attending a major conference in Hong Kong [5] Geopolitical Context - Hong Kong's role as a global financing hub for Chinese tech firms is evolving amid ongoing US-China trade tensions, with the city serving as a gateway for China to access global markets [6] - Large tech companies are likely to prefer Hong Kong for listings and fundraising due to the available liquidity, while mid-sized firms will remain flexible based on the geopolitical landscape [7]