[Contribution] Demystifying Chinese tech equities’ lagging performance

By Raymond Cheng While global tech rides an unprecedented AI-driven supercycle to historic highs, the Hang Seng Technology Index tells a starkly different story of disconnect.

Driven by soaring AI capital expenditure, the MSCI World IT Index has surged over 20 percent year to date, whereas HSTECH has slumped with a negative return.

Understanding the structural and macroeconomic forces behind this glaring divergence is critical to determining whether China’s technology sector represents a genuine ...