Core Insights - A trend of "counter-market buying" is emerging in the Hong Kong stock market amidst ongoing fluctuations, with institutional investors recognizing the valuation opportunities presented by the market correction [1][4]. Group 1: Fundraising and Investment Trends - Since October 10, at least 15 new Hong Kong-themed funds have announced early fundraising closures, covering various types including passive index funds and equity mixed funds [2][3]. - The early closure of fundraising is characterized by significant time reductions, with some funds shortening their fundraising periods by over a month [3]. - Newly launched ETFs have established high stock positions quickly, indicating a strong bullish sentiment, with some ETFs reaching stock positions of 69.53% and 63.32% before listing [3]. Group 2: Institutional Perspectives - Institutions view the current market adjustment as a prime opportunity for building positions, with many believing that the fundamental performance of key stocks remains strong despite recent price declines [4][5]. - The consensus among institutions is that the current valuation levels, with the Hang Seng Index trading at approximately 12 times earnings, represent a significant undervaluation [5]. Group 3: Market Dynamics and Challenges - The Hang Seng Index has seen a cumulative decline of 5.85% and the Hang Seng Tech Index has dropped 18.01% since early October, attributed to various internal and external factors [7]. - Key challenges include fluctuations in liquidity expectations, concerns over the U.S. "AI bubble," and increased pressure from IPO activities, which have raised over 100 billion HKD since new regulations were introduced [7][8]. Group 4: Long-term Outlook and Investment Opportunities - Despite short-term pressures, institutions maintain an optimistic long-term outlook for the Hong Kong market, predicting a "slow bull" market in 2026 driven by improved liquidity and returning capital [9]. - Key investment themes for 2026 include technology and high-end manufacturing, with a focus on sectors such as computing power, semiconductors, and consumer electronics [9][10]. - High dividend yield assets are also favored, with institutions highlighting the stability of dividend-paying stocks in a low-interest-rate environment [9][10].

Core Viewpoint - A trend of "counter-market buying" is emerging in the Hong Kong stock market amidst ongoing fluctuations, with institutional investors recognizing the valuation opportunities and actively positioning themselves during the market pullback [1][3]. Fundraising and Investment Trends - Since early October, at least 15 new Hong Kong-themed funds have announced early closures of their fundraising periods, particularly in the technology sector, indicating a "fast launch and build" characteristic [1][2]. - Fundraising deadlines have been significantly advanced, with some funds shortening their periods by over a month, reflecting a concentrated early closure trend primarily occurring from late November to mid-December [2]. - Newly launched ETFs have established high stock positions quickly, with notable examples including the Huatai-PineBridge Hang Seng Index ETF and the GF CSI Hong Kong Internet ETF, which reached stock positions of 69.53% and 63.32% respectively before listing [2]. Market Analysis and Institutional Sentiment - Institutions view the current market adjustment as a favorable opportunity for building positions, with many believing that the recent declines provide lower entry points for fundamentally strong companies [3]. - The Hang Seng Index's price-to-earnings ratio (TTM) is approximately 12 times, and the Hang Seng Technology Index's is about 23 times, both at historically low levels, indicating a consensus among institutions regarding the undervaluation of Hong Kong stocks [3]. Market Conditions and External Influences - The Hong Kong stock market has experienced a decline of 5.85% in the Hang Seng Index and 18.01% in the Hang Seng Technology Index from October 3 to December 19 [5]. - The market adjustment is attributed to a combination of internal and external factors, including fluctuating liquidity expectations, concerns over the U.S. "AI bubble," increased IPO activity, and reduced southbound capital inflows [6]. Long-term Outlook and Investment Opportunities - Despite short-term pressures, institutions maintain an optimistic long-term outlook for the Hong Kong stock market, predicting a "slow bull" market in 2026 with improved liquidity conditions [7]. - Key investment themes for 2026 include technology and high-end manufacturing, with a focus on sectors such as computing power, semiconductors, and consumer electronics [7][8]. - High dividend yield assets are also favored in the current low-interest-rate environment, with institutions highlighting the value of dividend-paying stocks [7]. - The innovative drug and biotechnology sectors are seen as having significant investment opportunities, driven by industry acceleration and favorable policy adjustments [8].

Core Viewpoint - The recent adjustment in the Hong Kong stock market has led to a surge in new fund issuance, with many funds shortening their fundraising periods to capitalize on the market dip, indicating a strong belief in the investment value of Hong Kong stocks [1][5]. Fund Issuance Trends - New funds are significantly shortening their fundraising periods compared to previous practices, with examples including the 富国港股精选混合 fund, which moved its deadline from December 19 to December 10, raising 1.83 billion yuan [2]. - Other funds, such as 鹏扬基金 and 路博迈基金, have also adjusted their fundraising timelines, reflecting a broader trend of rapid fundraising in the current market environment [2]. Rapid Fund Deployment - New funds are not only closing fundraising early but are also quickly building their positions in the market. For instance, the 汇添富恒指港股通ETF achieved a 69.53% stock position just a week before its listing [3]. - This contrasts with previous cautious strategies where funds maintained low positions prior to listing, indicating a shift in approach due to market conditions [3]. Market Sentiment and Strategy Adjustments - The adjustment in fundraising strategies is driven by significant market corrections, with many funds seizing the opportunity to invest in fundamentally strong companies despite recent price declines [4]. - The rapid changes in fundraising strategies, such as those seen with 鑫元基金, highlight the dynamic nature of market conditions and the urgency to capture rebound opportunities [4]. Positive Outlook on Hong Kong Stocks - Multiple fund managers express optimism about the Hong Kong market, viewing the current adjustments as a favorable entry point for future growth, particularly in sectors like AI, internet, and innovative pharmaceuticals [5][6]. - The valuation of the 恒生科技指数 is noted to be significantly lower than that of comparable indices, suggesting a high potential for returns [5]. - Specific sectors identified for investment include technology growth, financial services, and cyclical stocks, indicating a strategic focus on areas with perceived value [5].

Group 1 - The Hong Kong stock market has experienced a continuous adjustment, leading to a surge in new fund issuance with shortened fundraising periods and opportunistic investments [1][5] - Several new Hong Kong-themed funds have announced early closures of their fundraising periods, indicating a strong desire to capitalize on the market's recent downturn [2][4] - Fund managers believe that the current market correction provides a favorable window for new funds to establish positions, given the high allocation value of Hong Kong stocks [1][5] Group 2 - Recent new funds have significantly shortened their fundraising periods, with some funds achieving substantial subscription amounts despite limited time for investor participation [2][3] - Notable examples include the 富国港股精选混合 fund, which raised 1.83 billion yuan in a shortened period, and other funds that have similarly adjusted their timelines [2] - The trend of rapid fundraising is also seen in public fund-of-funds (FOF) products, which are adjusting their strategies to invest in Hong Kong stocks [2] Group 3 - Many new funds are engaging in "lightning" investments, rapidly building positions in major stocks like Alibaba and Tencent ahead of their official listing dates [3] - The high pre-listing investment ratios of these funds contrast sharply with previous months, indicating a shift in strategy driven by recent market volatility [3] - Fund managers attribute this aggressive investment approach to the significant price drops in key stocks, despite their strong fundamentals [3] Group 4 - Some funds have adjusted their fundraising strategies in response to market fluctuations, as seen with 鑫元基金, which changed its fundraising deadline multiple times [4] - The adjustments reflect a proactive approach to market conditions, allowing funds to capitalize on opportunities as they arise [4] Group 5 - Fund managers express optimism about the Hong Kong market's prospects for 2026, viewing it as a key channel for foreign investment in Chinese core assets [5][6] - The current valuation of the Hang Seng Technology Index is considered attractive compared to other markets, suggesting a favorable risk-reward profile for investors [6] - Key investment themes include AI infrastructure, internet technology, and cyclical stocks, with a focus on sectors that are expected to benefit from ongoing market reforms and technological advancements [6]