Musk Unveils a 13 GW AI Computing Plan and the AI Hardware Narrative Reignites; E Fund (Hk) Ftse Ai Select Index Etf (03489.HK) Rises 0.85% Intraday on 21 October

NewTimeSpace News：Wind data show that E Fund (Hk) Ftse Ai Select Index Etf (03489.HK) traded at HKD 11.91 intraday on 21 October, up 0.85% as of 14:01, with the RMB counter at RMB 10.197; it opened at HKD 12.16, ranged between HKD 11.90 and HKD 12.16 and turned over about HKD 2.33 million. It closed at HKD 11.81 on 20 October; after closing at HKD 12.49 on 14 October, it fell to HKD 11.89 on 15 October and has since oscillated between HKD 11.8 and HKD 12.1.

On performance, the product fell 13.03% year to date, 9.70% over the past six months and 17.00% over the past year, reflecting a valuation-digestion phase for the AI theme after a strong 2025 rally; the Hang Seng Index and A-share technology names were similarly volatile, with global AI assets repeatedly repriced between high rates and capex validation. AI-themed ETFs rose collectively in early trading on 21 October, with E Fund (Hk) Solactive Asia Semiconductor Select Index Etf up as much as 6.26% to HKD 15.96 and E Fund (Hk) Ftse Ai Select Index Etf up as much as 2.54% to HKD 12.11 before gains narrowed in the afternoon. Established on 25 September 2025, the product has HKD as both base and trading currency, trades in board lots of 100 units and uses full replication or representative sampling.

On the news front, the positives: on 21 October Musk laid out SpaceX's AI computing plan — 13 GW online by end-2027, with an extreme case of 20 GW, and an annual recurring revenue target of USD 500 billion to USD 1 trillion by end-2027, with about half the capacity for internal use and half leased out, preferring spot deals over long-term contracts. Cloud computing rents exceeding USD 50 billion per GW imply that payback periods for computing assets are being repriced, shifting neoclouds from a "cash-burning" narrative to a "payback" narrative, and Nebius and CoreWeave strengthened after hours. On the application side, QuestMobile data show 142 million active users in AI office applications in September, up 50.6% year on year, with Tencent's WorkBuddy leading at 32.353 million monthly active users; Nomura expects Tencent's third-quarter revenue to grow 9% with cloud revenue growth above 30%, capital expenditure up 352% year on year to RMB 58.7 billion, and sees the WeChat agent as a potential competitive advantage, maintaining a Buy rating and a target price of HKD 659. This "compute plus applications" dual engine is precisely the ETF's design: the index covers compute leaders such as NVIDIA and TSMC alongside application platforms including Microsoft, Alibaba and Tencent. On the downside: heavy AI capex is squeezing near-term profit, with Tencent's third-quarter non-IFRS operating profit expected to fall 3% to RMB 70.3 billion and its margin to narrow to 33.5%; the AI sector has corrected through October, with the product down nearly 5% in a single day on 15 October; the US 10-year Treasury yield remains elevated at 5.135%, weighing on high-valuation growth assets; the symbolism of the computing plan outweighs what can be verified in the current period, and the durability of the rally still depends on cloud capex guidance, memory contract prices and HBM orders; and the product is only one year old with relatively limited scale and turnover, a 1.40% total ongoing charge and an estimated annual tracking difference of -1.60%, implying higher holding costs than broad-based products.

Managed by E Fund Asset Management (Hong Kong) Limited, established and listed on the HKEX on 25 September 2025, with a total ongoing charge ratio of 1.40% (0.90% management fee and 0.06% trustee fee), the product tracks the FTSE Custom Global Artificial Intelligence Select Index: compiled by FTSE Russell, the index selects globally representative companies whose businesses are closely tied to AI computing, cloud services, models and intelligent devices, covering the full "chip-cloud-model-device" chain and balancing US compute leaders with Hong Kong and China-concept application platforms. The product uses full replication or representative sampling to closely track index performance. It suits aggressive investors bullish on the long-term industrialisation of AI who can tolerate high thematic volatility and single-track concentration risk. Risk warning: for reference only; this is not investment advice; past performance does not guarantee future results; invest with caution. (Data source: ROYALFLUSH INFO iFinD, as of 21 October 2026)