Important Information
Investors should not base investment decisions on this material alone. Please refer to the Prospectus for details including the product features and the risk factors. Investment involves risks. Past performance is not indicative of future performance. There is no guarantee of the repayment of the principal. Investors should note:
- The investment objective of Global X China Semiconductor ETF’s (the “Fund”) is to provide investment results that, before fees and expenses, closely correspond to the performance of the FactSet China Semiconductor Index.
- The Fund is exposed to concentration risk by tracking a single region or country.
- The Index constituents may be concentrated in a specific industry or sector, which may potentially more volatile than a fund with a diversified portfolio.
- Semiconductor industry may be affected by particular economic or market events, such as domestic and international competition pressures, rapid obsolescence of products, the economic performance of the customers of semiconductor companies and capital equipment expenditures.
- Investment in Emerging Market, such as A-share market, may involve increased risks and special considerations not typically associated with investments in more developed markets, such as liquidity risk, currency risks, political risk, legal and taxation risks, and the likelihood of a high degree of volatility.
- The Stock Connect is subject to quota limitations. Where a suspension in the trading through the Stock Connect is effected, the Sub-Fund’s ability to invest in A-Shares or access Mainland China markets through the programme will be adversely affected.
- Listed companies on the ChiNext market and/or STAR Board are usually subject to higher fluctuation in stock prices and liquidity risks, over-valuation risk, differences in regulation, delisting risk, and concentration risk.
- There are risks and uncertainties associated with the current Mainland China tax laws, regulations and practice in respect of capital gains realized via Stock Connect on the Fund’s investments in Mainland China. Any increased tax liabilities on the Fund may adversely affect the Fund’s value.
- The trading price of the Fund’s unit on the SEHK is driven by secondary market trading factors, which may lead to a substantial premium or discount to the Fund’s net asset value.
- The Fund’s synthetic replication strategy may invest up to 50% of its net asset value in financial derivative instruments (“FDIs”), which may expose the Fund to counterparty/credit risk, liquidity risk, valuation risk, volatility risk and over-the-counter transaction risk. The Fund may suffer losses from its usage of FDIs.
- The Manager may at its discretion pay dividends out of the capital of the Fund. Distributions paid out of capital, represent a return of an investor’s original investment or its gains and may potentially reduce the Fund’s Net Asset Value per Share as well as the capital available for future investment.
- The Fund may suffer from a losses or delays when recovering the securities lent out. This may potentially affect its ability to meet payment and redemption obligations. Collateral shortfalls due to inaccurate pricing or change of value of securities lent, may cause significant losses to the Fund.
- The investment objective of Global X China Little Giant ETF (the “Fund”) is to provide investment results that, before fees and expenses, closely correspond to the performance of the Solactive China Little Giant Index.
- The Fund is exposed to concentration risk by tracking a single regions or countries.
- The Fund may invest in small and/or mid-sized companies, which may have lower liquidity and their prices are more volatile to adverse economic developments.
- Investment in Emerging Market, such as A-share market, may involve increased risks and special considerations not typically associated with investments in more developed markets, such as liquidity risk, currency risks, political risk, legal and taxation risks, and the likelihood of a high degree of volatility.
- The Stock Connect is subject to quota limitations. Where a suspension in the trading through the Stock Connect is effected, the Sub-Fund’s ability to invest in A-Shares or access Mainland China markets through the programme will be adversely affected.
- Listed companies on the ChiNext market and/or STAR Board are usually subject to higher fluctuation in stock prices and liquidity risks, over-valuation risk, differences in regulation, delisting risk, and concentration risk.
- There are risks and uncertainties associated with the current Mainland China tax laws, regulations and practice in respect of capital gains realized via Stock Connect on the Fund’s investments in Mainland China. Any increased tax liabilities on the Fund may adversely affect the Fund’s value.
- The trading price of the Fund’s unit on the SEHK is driven by secondary market trading factors, which may lead to a substantial premium or discount to the Fund’s net asset value.
- The Fund’s synthetic replication strategy may invest up to 50% of its net asset value in financial derivative instruments (“FDIs”), which may expose the Fund to counterparty/credit risk, liquidity risk, valuation risk, volatility risk and over-the-counter transaction risk. The Fund may suffer losses from its usage of FDIs.
- The Manager may at its discretion pay dividends out of the capital of the Fund. Distributions paid out of capital, represent a return of an investor’s original investment or its gains and may potentially reduce the Fund’s Net Asset Value per Share as well as the capital available for future investment.
- The Fund may suffer from a losses or delays when recovering the securities lent out. This may potentially affect its ability to meet payment and redemption obligations. Collateral shortfalls due to inaccurate pricing or change of value of securities lent, may cause significant losses to the Fund.
- The investment objective of Global X China Core TECH ETF’s (the “Fund”) is to provide investment results that, before fees and expenses, closely correspond to the performance of the Mirae Asset China Tech Top 30 Index.
- The Fund is exposed to concentration risk by tracking a single region or country. It is potentially more volatile than a broad-based fund due to adverse conditions in the region.
- The Index constituents may be concentrated in a specific industry or sector, which may potentially more volatile than a fund with a diversified portfolio.
- The Fund may be exposed to risks associated with different technology sectors and themes. A downturn in these sectors or themes may have adverse effects on the Fund.
- Investment in Emerging Market, such as A-share market, may involve increased risks and special considerations not typically associated with investments in more developed markets, such as liquidity risk, currency risks, political risk, legal and taxation risks, and the likelihood of a high degree of volatility.
- The Stock Connect is subject to quota limitations. Where a suspension in the trading through the Stock Connect is effected, the Sub-Fund’s ability to invest in A-Shares or access Mainland China markets through the programme will be adversely affected.
- Listed companies on the ChiNext market and/or STAR Board are usually subject to higher fluctuation in stock prices and liquidity risks, over-valuation risk, differences in regulation, delisting risk, and concentration risk.
- There are risks and uncertainties associated with the current Mainland China tax laws, regulations and practice in respect of capital gains realized via Stock Connect on the Fund’s investments in Mainland China. Any increased tax liabilities on the Fund may adversely affect the Fund’s value.
- The trading price of the Fund’s unit (the “Unit”) on the SEHK is driven by secondary market trading factors. The Units may trade at a substantial premium or discount to the Fund’s net asset value.
- The Manager may at its discretion pay dividends out of the capital of the Fund. Distributions paid out of capital, represent a return of an investor’s original investment or its gains and may potentially reduce the Fund’s Net Asset Value per Share as well as the capital available for future investment.
- The Fund may suffer from a losses or delays when recovering the securities lent out. This may potentially affect its ability to meet payment and redemption obligations. Collateral shortfalls due to inaccurate pricing or change of value of securities lent, may cause significant losses to the Fund.
- The investment objective of Global X China Robotics and AI ETF’s (the “Fund”) is to provide investment results that, before fees and expenses, closely correspond to the performance of the FactSet China Robotics and Artificial Intelligence Index.
- The Fund is exposed to concentration risk by tracking a single region or country.
- The Index constituents may be concentrated in a specific industry or sector, which may potentially more volatile than a fund with a diversified portfolio.
- Robotics and artificial intelligence sector is sensitive to risks including small or limited markets for such securities, changes in business cycles, world economic growth, technological progress, rapid obsolescence, and government regulation.
- Investment in Emerging Market, such as A-share market, may involve increased risks and special considerations not typically associated with investments in more developed markets, such as liquidity risk, currency risks, political risk, legal and taxation risks, and the likelihood of a high degree of volatility.
- The Stock Connect is subject to quota limitations. Where a suspension in the trading through the Stock Connect is effected, the Sub-Fund’s ability to invest in A-Shares or access Mainland China markets through the programme will be adversely affected.
- Listed companies on the ChiNext market and/or STAR Board are usually subject to higher fluctuation in stock prices and liquidity risks, over-valuation risk, differences in regulation, delisting risk, and concentration risk.
- There are risks and uncertainties associated with the current Mainland China tax laws, regulations and practice in respect of capital gains realized via Stock Connect on the Fund’s investments in Mainland China. Any increased tax liabilities on the Fund may adversely affect the Fund’s value.
- The trading price of the Fund’s unit on the SEHK is driven by secondary market trading factors, which may lead to a substantial premium or discount to the Fund’s net asset value.
- The Fund’s synthetic replication strategy may invest up to 50% of its net asset value in financial derivative instruments (“FDIs”), which may expose the Fund to counterparty/credit risk, liquidity risk, valuation risk, volatility risk and over-the-counter transaction risk. The Fund may suffer losses from its usage of FDIs.
- The Manager may at its discretion pay dividends out of the capital of the Fund. Distributions paid out of capital, represent a return of an investor’s original investment or its gains and may potentially reduce the Fund’s Net Asset Value per Share as well as the capital available for future investment.
- The Fund may suffer from a losses or delays when recovering the securities lent out. This may potentially affect its ability to meet payment and redemption obligations. Collateral shortfalls due to inaccurate pricing or change of value of securities lent, may cause significant losses to the Fund.
- The investment objective of Global X Hang Seng TECH ETF (the “Fund”) is to provide investment results that, before deduction of fees and expenses, closely correspond to the performance of the Hang Seng TECH Index.
- The Fund is exposed to concentration risk by tracking a specific regions or countries.
- The Index constituents may be concentrated in a specific industry or sector, which may potentially more volatile than a fund with a diversified portfolio.
- The Fund’s investments are concentrated in companies with a technology theme. Technology companies are often characterised by relatively higher volatility in price performance. Companies in the technology sector also face intense competition, and there may also be substantial government intervention, which may have an adverse effect on profit margins. These companies are also subject to the risks of loss or impairment of intellectual property rights or licences, cyber security risks resulting in undesirable legal, financial, operational and reputational consequences.
- The trading price of the Fund’s unit on the SEHK is driven by secondary market trading factors, which may lead to a substantial premium or discount to the Fund’s net asset value.
- The Manager may at its discretion pay dividends out of the capital of the Fund. Distributions paid out of capital, represent a return of an investor’s original investment or its gains and may potentially reduce the Fund’s Net Asset Value per Share as well as the capital available for future investment.
- The Fund may suffer from a losses or delays when recovering the securities lent out. This may potentially affect its ability to meet payment and redemption obligations. Collateral shortfalls due to inaccurate pricing or change of value of securities lent, may cause significant losses to the Fund.
Finding Alternative for China Tech
Why Hang Seng TECH index struggling
While the Hang Seng TECH Index was once hailed as China’s premier tech benchmark and dubbed the ‘China’s Nasdaq 100 Index,’ its status has recently faltered.
The Hang Seng TECH Index declined approximately 11% year-to-date and 4% over the past 12 months, as of the end of April 2026.
The primary reasons for the sluggish performance are as follows: Because the index exclusively targets Hong Kong-listed entities, it doesn’t include tech firms from mainland exchanges. Consequently, the weighting of internet and software companies has become disproportionately high with more than 60%.
Currently, the internet and software sector is struggling due to two key factors:
- Industry Maturity: The Chinese internet industry has reached a stage of maturity. Although internet giants once spearheaded innovation, the landscape has shifted. Their revenue models heavily depend on advertising, e-commerce commissions, and gaming, in which market penetration is already saturated. Growth now merely tracks the broader Chinese consumption growth rate. Additionally, concerns have emerged that AI might undermine the profit structures of traditional software firms.
- The Rise of ByteDance: ByteDance, the parent company of Douyin and TikTok, is leveraging its formidable competitiveness to seize market share from other internet players. After disrupting the e-commerce landscape, it is now rapidly expanding into the local services market, eroding Meituan’s core revenue streams.
Alternative Strategies
Global X ETFs offer alternative investment strategies to the Hang Seng TECH by focusing on “Hardware Tech” sectors while excluding the internet industry. Another differentiator is its scope to select stocks from all three major exchanges—Hong Kong, Shanghai, and Shenzhen—providing a more comprehensive view of China’s technological landscape.
The features of selected Global X China Tech ETFs
| Strategy | Index / ETF | Weight of Internet and Software stocks | Core Themes & Differentiators |
|---|---|---|---|
| Incumbent | Hang Seng TECH | >60% | Highly concentrated in internet platforms like Alibaba, Tencent, Meituan and JD. It doesn’t include AI foundation models. |
| Hardware Tech | Global X China Core TECH ETF | <10% | Excludes internet giants to focus on Information Technology (>50%), Industrials (c.20%), and Health Care (c.15%). It includes AI foundation Models like Minimax |
| Tech Small Cap | Global X China Little Giant ETF | 0% | Targets small cap technology niche leaders in the supply chain of semiconductors, advanced manufacturing, new material, etc. |
| Focus Tech theme | Global X China Semiconductor ETF | 0% | Pure-play exposure to the semiconductor value chain (design, foundries, equipment), benefiting from China’s self-reliance policy. |
(source) Mirae Asset Global Investments HK, 30 April 2026
- Global X China Core TECH ETF (3448 HK):
- Rationale: It explicitly excludes internet platform-based companies, resulting in a low duplicate ratio (only ~25% overlap by weight) with the Hang Seng TECH Index.
- Focus: Core technologies such as semiconductors, innovative drugs, new materials, battery, AI foundation models, etc.
- Global X China Little Giant ETF (2815 HK):
- Rationale: It provides access to technology small cap leaders in the supply chain of semiconductors, advanced manufacturing, new material, etc. Duplication ratio with Hang Seng TECH Index is 0%.
- Focus: Small-cap tech niche leaders that have been designated as “Little Giants” by the Chinese government for their critical role in proprietary technology.
- Global X China Semiconductor ETF (3191 HK):
- Rationale: As China aims for semiconductor localization, this ETF offers a structural growth path entirely independent of internet advertising or e-commerce cycles.
- Focus: Includes leading domestic players in each segment of the semiconductor supply chain like Cambricon, SMIC and Naura.
The performance of selected Global X China Tech ETFs
| Ticker | Name | Price Performance | |||||||
|---|---|---|---|---|---|---|---|---|---|
| 3M | 6M | YTD | 1 YR | 2 YR | 3 YR | 5 YR | Since Launch |
||
| 3191 HK | GLOBAL X CHINA SEMICONDUCTOR ETF | 9% | 27% | 27% | 81% | 127% | 71% | 32% | 31% |
| 2815 HK | GLOBAL X CHINA LITTLE GIANT ETF | 5% | 20% | 15% | 62% | 63% | – | – | 38% |
| 3448 HK | GLOBAL X CHINA CORE TECH ETF | 8% | 4% | 9% | N.A. | – | – | – | 34% |
| 2837 HK | GLOBAL X HANG SENG TECH ETF | -15% | -18% | -11% | -4% | 32% | 26% | – | 16% |
(source) Bloomberg, Mirae Asset Global Investments HK, 30 April 2026