Morgan Stanley Predicts Significant AI-Driven Inflows into Chinese Tech Stocks
Morgan Stanley analysts have forecasted a substantial influx of over $1 billion into the Hang Seng Tech Index due to the inclusion of two Chinese artificial intelligence companies, Knowledge Atlas Technology and MiniMax. These companies, which went public in Hong Kong in January, are expected to join the index on June 8, potentially driving $1.25 billion to $1.75 billion in passive inflows. The Hang Seng Tech Index has seen a decline of over 11% this year, despite the growing interest in Chinese AI. The inclusion of these AI companies is anticipated to reshape the index's composition and performance, with AI becoming a significant driver of Hong Kong's equity markets. 
