Recent volatility in both the Hong Kong and U.S. stock markets has intensified, creating heightened uncertainty for investors. Nonetheless, this environment also presents opportunities for long-term investment, particularly through Exchange-Traded Funds (ETFs), which can aid in diversifying risk and optimizing returns. uSMART offers a curated selection of 100 Hong Kong stock ETFs with zero commission and no platform fees, thereby providing investors with a more flexible and cost-effective investment approach.

This analysis will focus on three high-quality ETFs: the Hang Seng High Dividend Yield ETF (Code: 3110), the SPDR Gold ETF (Code: 2840), and the Hang Seng Tech Index ETF (Code: 3032). These ETFs are well-suited for long-term investment and can also benefit from strategies such as grid trading or systematic investment plans, which help leverage market volatility.

（Source: uSMART HK）

1、Hang Seng High Dividend Yield ETF (Code: 3110)

The Hang Seng High Dividend Yield Index comprises stocks selected based on high dividend yields, typically featuring stable, profit-generating large enterprises. In the current environment of elevated global interest rates and increased market uncertainty, high dividend stocks are garnering increased investor interest. The Hang Seng High Dividend Yield ETF offers a relatively secure investment option, providing investors with stable cash flow through regular dividends, with a notable dividend yield exceeding 7%. Moreover, the elimination of commission and platform fees significantly reduces investment costs, making this ETF particularly suitable for long-term investors seeking to gradually accumulate wealth. Regular investments, whether monthly or quarterly, allow investors to average out costs and mitigate risks associated with short-term market fluctuations. Additionally, employing a grid trading strategy with this ETF can be effective, capitalizing on market volatility by buying low and selling high.

2、SPDR Gold ETF (Code: 2840)

Gold has traditionally been viewed as a safe-haven asset, especially during periods of economic uncertainty and increased stock market volatility. The SPDR Gold ETF (2840) directly tracks the price performance of gold, allowing investors to invest in gold through the Hong Kong stock market without needing to purchase physical gold or futures contracts. For investors aiming to preserve asset value amidst stock market turbulence, gold ETFs offer a viable solution. Although gold does not provide dividends, it generally outperforms inflation over the long term and offers protection during economic crises. Furthermore, for short-term traders, the ETF's high liquidity, combined with a grid trading strategy, can yield significant trading profits during fluctuations in gold prices.

3、Hang Seng Tech Index ETF (Code: 3032)

The Hang Seng Tech Index includes leading technology companies listed in Hong Kong, such as Tencent, Alibaba, and Meituan. As the technology sector continues to innovate and expand, the Hang Seng Tech Index ETF (3032) provides investors with an opportunity to participate in both the Chinese and global technology markets. Despite recent volatility in U.S. tech stocks, the Hang Seng Tech sector appears undervalued and presents considerable appeal. Systematic investment in the Hang Seng Tech ETF allows investors to build positions gradually, averaging costs amidst market fluctuations while waiting for recovery and growth in the technology sector. Given the high volatility of tech stocks, this ETF is also well-suited for grid trading strategies, offering short-term trading opportunities through buying on dips and selling on peaks during periods of market volatility.

Advantages of ETF Grid Trading and Systematic Investment Strategies

Grid trading is an efficient strategy for navigating fluctuating markets. It involves establishing a price range within which to buy at lower bounds and sell at upper bounds, thus profiting from market volatility. Conversely, systematic investment, or dollar-cost averaging, is ideal for long-term investing as it mitigates the impact of market fluctuations through regular, periodic investments, thereby fostering steady asset growth. Given the current turbulence in U.S. markets, Hong Kong stocks appear relatively undervalued. Furthermore, uSMART’s zero commission and platform fee policies further reduce investment costs, enhancing the efficacy of both grid trading and systematic investment strategies. Consequently, investors should select the strategy that best aligns with their risk tolerance and investment objectives.

How to Invest and Trade on uSMART

To invest in these ETFs using the uSMART HK app, log in and click "Search" in the top right corner of the page. Enter the stock code, such as "2840," to access the details page for trading information and historical trends. Then, click "Trade" in the lower right corner, select "Buy/Sell," and enter your trading conditions before submitting the order. An image guide is provided below for additional assistance.

（Source: uSMART HK）