Tide Rising in Hong Kong: Institutions Hunting for Opportunities in Hong Kong Stocks in the Second Half of the Year

Since 2025, the Hong Kong stock market has rebounded strongly, with the Hang Seng Index rising over 22%, ranking among the top in major global markets. At the same time, net inflows of southbound funds have exceeded 720 billion yuan this year, approaching historical peaks. Against this backdrop, Hong Kong-themed funds have performed remarkably, with several products seeing net value increases exceeding 70% this year, among which Huatai-PineBridge Hong Kong Advantage Selected Mixed A leads the public fund performance list with a net value increase of 112.52%. Industry insiders believe that there are three driving factors behind the strong rise of Hong Kong stocks: first, the global valuation gap effect; second, technological breakthroughs represented by DeepSeek boosting market confidence; and third, the prominence of structural opportunities such as high-dividend assets and innovative drugs. At this point in time, institutions believe that policy dividends and profit recovery may drive the Hong Kong stock market to continue its upward trend. Among them, technology, innovative drugs, and high-dividend assets will become important investment themes in the Hong Kong stock market