Xin Lang Ji Jin·2025-10-23 02:58Core Viewpoint - The Hong Kong stock market is experiencing increased volatility, yet there is a notable influx of capital into the internet sector, indicating investor confidence in leading internet companies [1][3]. Group 1: Market Performance - The Hong Kong internet ETF (513770) saw a net inflow of 56.7 million yuan yesterday, with a cumulative net inflow of 196 million yuan over the past ten days [1]. - The internet sector has shown higher elasticity this year, with the China Securities Hong Kong Stock Connect Internet Index outperforming the Hang Seng Technology Index [5]. - The latest scale of the Hong Kong internet ETF has surpassed 10 billion yuan, with an average daily trading volume exceeding 600 million yuan [8]. Group 2: Investment Recommendations - Huatai Securities suggests shifting focus from a broad market rally to fundamental performance, particularly in technology hardware, pharmaceuticals, and stable consumer sectors [3]. - The internet ETF tracks the China Securities Hong Kong Stock Connect Internet Index, with Alibaba, Tencent, and Xiaomi being the top three holdings, collectively accounting for over 45% of the index [3]. - The current price-to-earnings ratio of the China Securities Hong Kong Stock Connect Internet Index is 23.69, which is lower than both US and A-share technology sectors [6]. Group 3: Future Outlook - Short-term positive factors include expectations of improved US-China relations, while uncertainties remain regarding the impact of a strengthening US dollar on the Hong Kong market [3]. - The AI cycle is expected to empower sectors like internet and healthcare, which have not yet been fully priced in, presenting a potential investment opportunity [3].