Group 1 - The Hang Seng Tech Index has recorded a year-to-date increase of 41.8%, while the Hang Seng Composite Index has risen by 38.6% [1] - Over the past 12 months, the Tech Index has increased by 79.1%, compared to a 58.8% rise in the Composite Index, indicating higher volatility with an annualized volatility of 40.5% for the Tech Index versus 28.1% for the Composite Index [1] - The Federal Reserve lowered the federal funds rate by 25 basis points to 4% to 4.25% on September 17, marking the first rate cut of the year, which historically correlates with better performance of tech stocks during monetary easing periods [1] Group 2 - The Hang Seng Tech Index was launched in July 2020 to represent 30 of the largest Hong Kong-listed companies highly related to technology themes [2] - As of September 17, 2023, 15 of the 30 constituent stocks in the Tech Index come from the consumer discretionary sector, which holds the largest industry weight in the index [2] - The assets under management (AUM) for the ETP tracking the Tech Index reached $34.3 billion as of August 31, 2023, reflecting strong international recognition of the Hong Kong tech sector [2]

Group 1 - The overall upward trend of the Hong Kong stock market remains healthy, driven by a shift from previous risk-averse sentiment to improving fundamentals and positive policy expectations [2][3] - The U.S. has reached trade agreements with major partners, alleviating global supply chain concerns, while U.S. inflation continues to improve, opening a window for potential interest rate cuts by the Federal Reserve [2][4] - Internal economic governance is shifting towards high-efficiency investment and supply upgrades, which may help offset real estate gaps and support market expectations for structural policy enhancements [2][3] Group 2 - Short-term market sentiment shows signs of being overbought, but capital flow into the Hong Kong market remains robust, with continued net inflows from the Hong Kong Stock Connect [3] - If a limited agreement is reached between China and the U.S., combined with domestic policy catalysts, the Hong Kong stock market may continue its gradual recovery led by fundamentals, with a focus on sectors like technology, pharmaceuticals, and AI [3] - The most optimistic scenario suggests that if the 10-year Chinese bond yield reaches 1.75% and the 10-year U.S. Treasury yield remains at 4.4%, the Hang Seng Index could potentially rise to 27,400 points [3] Group 3 - The U.S. stock market is currently cautious, with most positive factors already priced in, but there are still opportunities in specific sectors such as healthcare, utilities, and consumer staples [4] - Recent economic data indicates that the U.S. is entering a strong growth phase, with significant improvements in PMI and a decline in unemployment claims, leading to upward revisions in earnings forecasts for the S&P 500 [4] - The U.S. has generated substantial tariff revenue through trade agreements, which supports fiscal initiatives and alleviates inflationary pressures, further opening the door for potential interest rate cuts [4][5]

Group 1: Market Performance - The Hang Seng Tech Index recorded an increase of over 53% in the past year, outperforming the broader Hang Seng Composite Index by 12 percentage points [1] - As of July 18, 2025, the Tech Index has risen by 24% year-to-date, continuing its upward trend after a nearly 19% increase in 2024 [1] - The Tech Index's one-year annualized volatility is approximately 41%, compared to 28% for the Hang Seng Composite Index [1] Group 2: Exchange-Traded Products (ETPs) - The total assets under management (AUM) for ETPs tracking the Tech Index reached $26.3 billion as of June 30, 2025, reflecting a nearly 35% increase from the end of 2024 [2] - The cumulative AUM growth from 2021 to 2025 for ETPs tracking the Tech Index is 362% [2] - There are currently 29 ETPs based on the Tech Index listed across 13 different exchanges in the US, Europe, and Asia [2] Group 3: Futures Market - The average daily trading volume (ADV) for Tech Index futures reached approximately 172,000 contracts in the first half of 2025, a 44% increase from 2024 [3] - Since the launch of Tech Index futures in November 2020, the ADV has increased by 97 times, significantly boosting its market share in Hong Kong's overall futures market to 22% [3]