Wealth Connect: Healthcare and information technology will be the main focus of Hong Kong's IPO this year.

Futu Holdings Ltd. Sponsored ADR Class A (FUTU.US) subsidiary enterprise and institutional service brand Futu AnYi released the "2024 Hong Kong and US IPO Market Report". It pointed out that the number of IPOs in the Hong Kong stock market remained stable last year, but the market showed positive signals, with the freezing amount and subscription multiples hitting new highs. High multiple callback projects performed well on the first day, and retail investors are becoming more rational. These factors will inject confidence into the Hong Kong stock market this year. The report predicts that the healthcare and information technology industries will continue to lead this year, with shared travel and unmanned driving companies applying for IPOs, bringing new vitality to the Hong Kong stock market this year. The report indicates that there are currently more than 70 companies waiting to go public, and data from the China Securities Regulatory Commission shows that there are 92 companies planning to list in Hong Kong, indicating an ample reserve of new stocks in the Hong Kong IPO market. Among them, the application numbers for the healthcare, information technology, and consumer industries account for 52%. With the continuous optimization of the A-share listing process and the lowering of listing thresholds in the Hong Kong stock market, the "A+H" trend will strengthen. Industry experts also point out that accelerating the approval reform for "qualified A-share companies" will undoubtedly attract more high-quality companies to list in Hong Kong, leveraging Hong Kong's global capital platform for breakthrough development. In addition, in the US stock market, information technology and industrial sectors will be the main driving forces for US IPOs this year, with the trend of Chinese concept stocks listing in the US accelerating. The number of new stocks and fundraising amounts have seen significant increases. According to data disclosed by the US Securities and Exchange Commission, there are a total of 84 Chinese concept stocks filing (including updated prospectuses), with information technology, industrial, and consumer sectors expected to be the main forces for listings in the US this year. Sun Yuepeng, partner at Futu AnYi, pointed out that in the second half of last year, there was a significant increase in the amount of funds raised by new stocks in the Hong Kong stock market. In the fourth quarter, several well-known companies were listed in Hong Kong, the Fed lowered interest rates, retail investor confidence was restored, and decision-making behavior became more rational, creating a different atmosphere in the new stock market. Looking ahead to this year, with multiple A-share companies announcing their intention to list in Hong Kong, continued positive sentiment for new stocks, and interest rates continuing to decline, the Hong Kong new stock market is expected to experience a stronger outbreak.