This year, there is a surge in the "Hong Kong Stocks Fever."

On December 23, Bloomberg reported that in 2024, mainland Chinese investors have shown great enthusiasm for Hong Kong Stocks — as of December 20, mainland investors purchased 778 billion Hong Kong dollars (approximately 100 billion US dollars) of Hong Kong stocks this year through the Shanghai-Hong Kong and Shenzhen-Hong Kong Stock Connect, setting a record for the highest annual purchase since the launch of the Stock Connect in 2016.

According to Futubull data, from the perspective of annual capital flow from southbound investments, Network Technology stocks and high-dividend stocks remain the most favored symbols by northern funds.

In September, $BABA-W (09988.HK)$ being included in Stock Connect has gained massive attention in the market, and in just over three months, southbound capital has flooded over 82 billion Hong Kong dollars to grab Alibaba, making it the top net buy for northern funds for the year.$BANK OF CHINA (03988.HK)$ 、$CHINA MOBILE (00941.HK)$Ranking second and third, with approximately 33 billion Hong Kong dollars added, followed closely by $TENCENT (00700.HK)$ and $XIAOMI-W (01810.HK)$ Both obtained a buy Inflow of approximately 18 billion HKD from northbound funds, with XIAOMI-W showing an exceptional performance with nearly 100% increase throughout the year.

In terms of net Sell, MEITUAN-W and HSBC Holdings were significantly sold off by funds, although $MEITUAN-W (03690.HK)$ with 31.684 billion HKD at the top of the Sell list, it still achieved over 90% increase. The 2nd to 5th placements $HSBC HOLDINGS (00005.HK)$ 、 $HKEX (00388.HK)$ 、 $XPENG-W (09868.HK)$ 、$LI NING (02331.HK)$Sold for 8.875 billion HKD, 1.162 billion HKD, 1.124 billion HKD, and 0.872 billion HKD, respectively.

In addition, in the fourth quarter, the trading share of mainland investors in the Hong Kong market reached a record 45%, with stocks of companies such as Alibaba, Bank Of China, and CHINA MOBILE being the most favored. Analysis suggests that this "Hong Kong stock boom" is mainly due to the government's stimulus policies which have driven the rise of the Hong Kong stock market benchmark Index.

Since the launch of the Stock Connect program, mainland investors have accumulated purchases of 3.3 trillion Hong Kong dollars worth of Hong Kong Stocks. Wenkai stated that the future performance of the Hong Kong stock market will increasingly depend on the balance between demand from mainland investors and Global Capital Trend.

Editor/ping