Many global stock indexes have already exceeded their previous peaks but we've found 2 markets that haven't (See below) and still have great upside potentials.
Coincidentally, US billionaire Michael Burry had also highlighted HK as an investible place and he had started to invest in some technological stocks.
After locating the 2 safe havens for investments, we've conducted some research to focus on 5 sectors in HK and China stocks for their upside potentials. These 5 sectors are: AI, EV, Robot, Semiconductor and Memory Chip.
1. Artificial Intelligence (AI):
The next anticipated AI model after Moonshot Kimi K3 (2.8T parameters) is Minimax AI model (M3 Pro - 2.7T parameter) which is going to be launched in Q3 (September) and this also will shock the US AI industry just like what Kimi K3 has done.
2. Electric Vehicle (EV):
Hainan is going to ban internal combustion car (ICE) sales by 2030 and China is going to ban ICE sales by 2035.
China will be deploying about 24m humanoid robots by 2035 for industrial and commercial sectors because of productivity and demographic (ageing) reasons and the current robotic production capacity is unable to meet the overwhelming demands in the future.
China has been emphasizing a self-sufficiency growth model after the trade war and it has just begun mass producing its domestic DUV for semiconductor chip production.
Furthermore, China demanded Chinese enterprises to use domestic chips in EV, Robot, data centres and AI.
YMTC and CXMT have been achieving technological breakthroughs for memory chips in China and chip qualities are comparable to Samsung and SK Hynix. Therefore, these domestic memory chips are higly coveted by China and foreign conglomerates.
Last but not least, it is safer to buy into these 5 sectors than to invest in the US because China will step into the market to protect its technological stocks in a bloodbath or meltdown.
