Providing Opportunities for Investment in the AI Trend: Yinhua's Issuance of the SSE STAR Market AI ETF Feeder Fund

Insight to Capital, March 3, Beijing (Reporter Sun Ruxiang, Intern Wang Ziyue)

From the explosive application of generative AI to ongoing breakthroughs in multimodal large models, AI technology is transforming various industries, reshaping business models, boosting productivity, and generating new industrial forms. Industry experts believe that China's AI industry has enormous potential and a robust application landscape. In this context, Yinhua SSE STAR Market AI ETF Sponsored Feeder Fund (Type A: 023550, Type C: 023551, Type I: 023552) is issued from March 3, providing ordinary investors with an over-the-counter investment tool that supports fixed investments and long-term holdings, helping them seize investment opportunities in the AI trend.

This feeder fund primarily invests in SSE STAR Market AI ETF, closely monitoring the performance of the STAR Market AI Index (950180.CSI) and striving to minimize tracking difference and error. As one of the first SSE STAR Market AI Index ETF products in the industry, the SSE STAR Market AI ETF (588930) has attracted significant market interest since its listing on January 14 this year. According to Wind data, as of February 25, the Fund saw a net inflow of RMB 158 million, with its latest scale reaching RMB 439 million.

The outstanding performance of the SSE STAR Market AI ETF is primarily driven by the investment potential of its underlying index. The SSE STAR Market AI Index selects listed companies with large market value from SSE STAR Market, accurately reflecting market trends among AI enterprises and showcasing the robust development of the industry. In terms of industry coverage, its top five sectors by weight are Electronics (53.0%), Computers (32.1%), Home Appliances (9.4%), Machinery (3.5%), and Telecommunications (2.0%). Within the SWS industry classification, semiconductors account for 50.1%, with IT services and software development making up 16.9% and 10.7%, respectively—indicating a close connection to the upstream and downstream of the AI industry chain.

Recently, the AI industry has experienced a series of positive developments, with DeepSeek generating global excitement. During the Symposium on Private Enterprises on February 17, the speech further stimulated confidence in technological growth investments.  "New quality productive forces" including AI have become as the focus of the market. Analysts suggest that, in the medium term, as domestic enterprises rapidly close the gap with international giants, the "AI+" trend is likely to further development. Furthermore, as domestic technological innovation gains momentum, the potential for a revaluation of Chinese tech assets will increase and structural opportunities in the capital market will increase.

The above information is provided for reference purposes only and does not constitute investment advice.