Core Viewpoint - The Hong Kong stock market is experiencing a strong inflow of funds into the technology sector, particularly in AI and semiconductor-related ETFs, following a significant correction in the sector since October, which has made valuations more attractive [1][2]. Group 1: Market Performance - On November 25, the Hong Kong stock market opened higher, with technology and semiconductor sectors showing strong performance, leading to active trading in related ETFs [1]. - The Hang Seng Technology Index has corrected over 14% from its year-to-date high since October, highlighting the increased attractiveness of valuations in the technology sector [1]. - On November 24, the overall market ETFs saw a net inflow of 14.4 billion yuan, with technology ETFs in Hong Kong being the primary focus for fund accumulation [1]. Group 2: ETF Specifics - The Hong Kong Stock Connect Technology ETF (159262) is the largest product tracking the Hang Seng Stock Connect Technology Index, focusing on hard technology sectors like AI and semiconductors, while excluding automotive, pharmaceutical, and home appliance sectors [2]. - As of November 24, the index has gained 45% over the past year, with an annualized Sharpe ratio of 1.37, both of which are among the best in the Hong Kong technology and internet thematic indices [2]. - The Hong Kong Stock Connect Technology ETF (159262) received a net inflow of 270 million yuan on November 24, making it the top-performing ETF in its category, with a total size nearing 6 billion yuan [1][2]. Group 3: Investment Outlook - Analysts believe that the current valuation of the hard technology sector in Hong Kong offers good value for money, especially as the external environment remains in a rate-cutting cycle, providing a favorable opportunity for reverse positioning [2]. - The Hong Kong Stock Connect Technology ETF (159262) is seen as a key investment tool for capturing recovery opportunities in the Hong Kong technology sector [2]. - Tianfeng Securities highlights that the ETF's index covers a broad range of technology fields, including internet, software, and hardware, making it a more precise investment choice compared to other ETFs that focus on narrower segments [3].