The E Fund HKEx Tech 100 ETF (03456) rose more than 3% in the afternoon session, reaching its highest level since its listing on June 26.

At the time of writing, the ETF was up 1.88%, trading at HK$8.41 with a turnover of HK$4.5977 million.

On July 7th, the People's Bank of China announced a series of supportive measures aimed at consolidating Hong Kong's status as an international financial center and deepening financial connectivity between the mainland and Hong Kong. The central bank also indicated that the country's foreign exchange reserves would further increase their asset allocation in Hong Kong.

Analysts point out that the Hong Kong technology sector is entering a phase of recovery, driven by multiple favorable factors including marginal improvements in liquidity, a shift in the AI narrative, and valuations that are at historically low levels.

Public information shows that the E Fund HKEx Tech 100 ETF tracks the Hong Kong Exchanges Tech 100 Index, which is the first Hong Kong stock index launched by Hong Kong Exchanges and Clearing.

In terms of its constituent stocks, the index selects 100 eligible Hong Kong Stock Connect securities with technology attributes. Beyond market leaders with trillion-dollar market caps like Tencent and Xiaomi, the index also includes leading companies in specialized sectors such as CATL and BeiGene.

This composition helps to address the coverage gaps in the Hang Seng Tech Index regarding representative areas of new quality productive forces, including computing power, semiconductors, robotics, and biotechnology.