Core Insights - ETFs are restructuring the pricing system of key sectors in the Hong Kong stock market [1] - On August 15, southbound funds net purchased HKD 35.876 billion in Hong Kong stocks, marking the highest single-day net purchase since the launch of the Stock Connect mechanism [1] - Year-to-date, the net purchase amount of southbound funds in Hong Kong stocks has reached HKD 938.9 billion, setting a new annual record [1] ETF Impact - Hong Kong-themed ETFs play a significant role in the inflow of southbound funds, with 6 out of the 9 equity ETFs that have seen net inflows exceeding HKD 10 billion this year being Hong Kong-themed [1] - The continuous inflow of funds through Hong Kong-themed ETFs is driving the valuation recovery of Hong Kong stocks and gradually competing for pricing dominance in certain industry sectors [1]