Following a sharp pullback in US memory and optical communications sectors, Asia-Pacific technology stocks faced widespread pressure on August 19. The primary catalyst behind this synchronized decline was a surge in US Treasury yields, which stoked concerns over the sustainability of massive capital expenditures by large tech firms. In contrast, Hong Kong equities demonstrated notable resilience, underpinned by their distinct asset composition.

On the morning of August 20, the Hong Kong market opened higher, with renewed interest in the tech and internet sector as represented by the Hang Seng Tech Index. This market correction may present a favorable window to position in quality leaders. According to Wind data, southbound capital has recorded a cumulative net inflow of over HK$16.5 billion into Hong Kong stocks since August, with the information technology sector leading monthly net purchases. This underscores the growing appeal of Hong Kong-listed technology assets.

The Hang Seng Tech ETF HuaTai柏瑞 (513130), which supports same-day T+0 trading, has reached a fund size of RMB 32.968 billion and a share count of 56.116 billion units. Since August (from 8/3 to 8/19), the product has posted an average daily turnover of RMB 2.369 billion, giving it a competitive edge in both liquidity and scale.

Where to begin with this opportunity? The Hong Kong tech sector, benchmarked by the Hang Seng Tech Index, carries a structural profile distinct from other major global tech indices, making it less susceptible to synchronized movements in the global AI hard-tech supply chain. Semiconductors account for just 10% of the index's constituents, with greater weight placed on mid- and downstream AI applications. The top three industries by weight are specialty retail (22%), software services (22%), and IT hardware (14%). As AI commercialization shifts from infrastructure to application layers, the AI application space is poised to become a core theme for the next phase of tech momentum.

Why focus on AI applications now? Data from OpenRouter on July 27 reveals that the domestic MiMo V2.5 large model has climbed to the top of global model call volumes. Within two months, its call volume surged six-fold from 1.5 trillion tokens to 10.5 trillion tokens, driven by competitive pricing and a fully open-source lineup. Related Hong Kong-listed companies' Q2 reports show that large model API call services are already generating revenue, with AI innovation business segment revenue reaching RMB 24.9 billion, up 17.1% year-on-year and accounting for 23% of total group revenue. The commercialization of AI applications is clearly accelerating.

A recent research note from China Galaxy Securities suggests that as interim earnings disclosures peak, market pricing logic is shifting from sentiment-driven recovery and capital rotation to fundamental validation and structural rebalancing, making the tech sector worthy of attention. Globally, AI valuation logic is transitioning from hardware infrastructure to application monetization, and expectations for domestic large model commercialization are heating up. Investors may look to AI application leaders, internet platforms with traffic advantages, and tech firms making sustained AI investments with the potential for earnings conversion.

The Hang Seng Tech ETF HuaTai柏瑞 (513130) closely tracks the Hang Seng Tech Index, which spans multiple core segments of the AI industry chain, including computing infrastructure, large model R&D, and AI applications. The index brings together leading tech enterprises with deep AI expertise and scale advantages, positioning them to capture the pivotal dividend window as AI moves from concept to commercial deployment. Its feeder funds (Class A 015310 / Class C 015311) and the ETF are managed by HuaTai柏瑞 Fund, one of China's pioneering ETF managers with over 19 years of experience in index investing. The firm offers transparent, low-cost, and easily tradable tools such as CSI 300 ETF HuaTai柏瑞 (510300) and A500 ETF HuaTai柏瑞 (563360). As of the end of June 2026, its ETFs have generated cumulative profits exceeding RMB 180.6 billion for holders over the past two years, making it one of only three public fund firms in the entire A-share market to surpass RMB 160 billion in cumulative profits during that period.