Asset allocation perspective: Using the Huatai-Hang Seng Technology ETF Connect Launch Fund(QDII)C(013128) to build the core Hong Kong stock holdings

In the spring market rally, the post-Lunar New Year market has been complex and unpredictable. Amid many uncertainties, many investors feel uncertain about their choices. For ordinary investors, adopting a core-satellite approach to build a balanced, long-term investment portfolio can help them share in the benefits of the era’s development.

“Core-Satellite” Strategy: Stabilizer and Aggressor

In mature asset allocation concepts, the “Core-Satellite” strategy is a widely used classic framework. Investors can refer to the principles of the solar system, dividing their portfolio into “core holdings” and “satellite holdings.”

Core holdings usually make up a large portion of the portfolio, typically 60%-80%, mainly invested in broad-based indices that reflect overall market performance. This part aims for stability, requiring no frequent rebalancing, following a “buy and hold” long-term strategy to achieve average market returns and provide a solid foundation for the entire portfolio.

Satellite holdings account for a smaller proportion, around 20%-40%, mainly investing in industry themes, cyclical sectors, or high-growth tracks. This part pursues “activity,” dynamically adjusting based on market conditions to capture sector rotations and excess return opportunities.

This combination of “static stability and dynamic activity” allows the core to ensure portfolio stability, while the satellite positions meet trading needs and return enhancement goals, achieving a dynamic balance of “defense with the left hand, offense with the right hand.”

Dual Main Lines, IT and Consumer as Industry Representatives

The Hang Seng Tech Index is widely regarded as a flagship broad-based index. Unlike indices focused on core manufacturing or single niche tracks, this index’s construction logic exhibits a clear “pan-tech” and “big consumer” crossover feature, covering China’s new economy ecosystem from multiple dimensions.

Latest industry weightings as of February 2026 show that the index’s sector distribution features a prominent “IT + Consumer” dual-drive characteristic: non-essential consumer accounts for 55.3%, information technology accounts for 40.8%, with a combined weight of 96.1%, forming the index’s main body.

This unique weighting structure makes the index different from pure semiconductor indices or traditional consumer indices, organically combining the high growth of information technology with the stability of consumer sectors.

Building a Core Bottom Position in Hong Kong Stocks’ New Economy: The “Stabilizer” Choice of Technology Index

Huatai Securities’ latest Hong Kong stock strategy states that during the Lunar New Year, market differentiation increased, with AI newcomers diverging from internet giants. While consumption data showed highlights, it did not significantly boost sector performance, with gains mainly concentrated in tech and cyclical industries. Looking ahead, in medium-term allocation, technology and cyclical materials remain clear main themes.

Huitianfu Hang Seng Tech ETF Connect Launch (QDII) C (013128) is a typical off-exchange index-linked fund, investing in the target Huitianfu Hang Seng Tech ETF (513130) to closely track the Hang Seng Tech Index, naturally serving as a tool for building core holdings.

As a flagship broad-based sector fund, it provides one-click exposure to internet platforms, semiconductors, and other Hong Kong tech leaders, with high industry representativeness. Under the “Core-Satellite” framework, broad-based indices are ideal for core positions, diversifying individual stock risk through a basket of constituents and capturing the medium- to long-term growth momentum of China’s new economy.

As a Class C share, this fund charges no subscription fee, and no redemption fee if held for over 7 days. Management and custody fees are only 0.15% and 0.05%, respectively, among the industry’s lowest. This fee structure is especially suitable for long-term core allocation, avoiding costs from frequent trading.

According to product announcements and major sales platforms, the minimum subscription amount is as low as 10 RMB, allowing small investments to diversify risk effectively. Through systematic investment, investors can accumulate shares and truly realize the concept of “inclusive finance.” Via major platforms, investors can easily participate in the growth opportunities of Hong Kong tech giants without facing high capital thresholds or complex account opening procedures.

Overall, under the “Core-Satellite” asset allocation framework, Huitianfu Hang Seng Tech ETF Connect Launch (QDII) C (013128), with its broad-based nature, dual main lines coverage, long-term holding value, low fees, and convenience, serves as a bridge for many investors to build a core position in Hong Kong’s new economy, fulfilling the role of a “stabilizer.”

Huitianfu Hong Kong Stock Tech Allocation Toolbox:

【Hong Kong Tech Broad-Based Index · Classic Vehicle】 Huitianfu Hang Seng Tech ETF Connect Launch (QDII) C (013128): One-click exposure to internet platform leaders. As a flagship broad-based index, it has high industry representativeness. Aims to balance the allocation of Hong Kong tech core assets and capture the medium- to long-term growth momentum of China’s new economy.

【AI Full Industry Chain · High Purity】 Huitianfu Hang Seng Hong Kong Stock Connect China Tech ETF Link C (025167): Focuses on “Hong Kong M7” core assets, deeply covering AI computing power, terminals, and application industry chains. Pure style, excluding non-tech sectors like healthcare and automotive, making it a precise tool for capturing AI core value.

【Selected Core Assets · Active Strategy】 Huitianfu Hong Kong Stock Connect Tech Select Hybrid Launch © (025545): Within the Hong Kong Stock Connect scope, actively manages and dynamically selects companies with strong competitive barriers and core advantages. Combining industry trend analysis, aims to discover high-potential assets through professional stock selection and achieve excess returns beyond the index.