Research and Analysis of Passive Stock Index Funds in the Digital Technology Sector

Digital technology is a vital investment sector in the securities market, with a large number of listed companies involved. New investment themes frequently emerge within this field, such as from integrated circuits to chips, from computers to software, from the internet to the Internet of Things, from big data to cloud computing, and from artificial intelligence to robotics. The emergence of each new theme drives the development and launch of new fund products.

However, from the perspective of industry classification, different standards lead to varying categorizations of companies. For example, under national standards, manufacturing is divided into categories such as “Computer, Communication, and Other Electronic Equipment Manufacturing,” and “Information Transmission, Software, and Information Technology Services,” which further include “Software and Information Technology Services” and “Internet and Related Services.” In contrast, the commonly used Shenwan industry classification consolidates related fields into a primary industry called “Computers,” with chips and similar areas classified under the secondary industry “Electronics.” Due to the complexity and lack of a unified standard in industry classification, it is often difficult to distinguish or even begin when conducting index investments.

In response, based on current industry development hotspots, we categorize passive stock index funds related to digital technology into the following eight categories:

1. Innovation and Information Technology (信创与信息技术)
2. Computers and Software (计算机与软件)
3. Electronic Information (电子信息)
4. Communication Technology (通信技术)
5. Internet and Internet of Things (互联网与物联网)
6. Big Data and Cloud Computing (大数据与云计算)
7. Artificial Intelligence (人工智能)
8. Robotics (机器人)

Statistics show that among passive stock index funds in the digital technology sector, there are 152 ETFs, accounting for less than one-third of total products, but with a total scale of 2819.34 billion yuan, accounting for 85.48% of the total scale. These are products investors should focus on. LOFs were market hotspots in previous years but have gradually declined in attention; only clients with special needs may consider them.

There are 84 off-exchange conventional funds with a total scale of 13.627 billion yuan, averaging about 162 million yuan per fund, indicating the presence of many mini funds. Investors should choose these cautiously. There are 241 ETF-linked funds with a scale of 76.689 billion yuan, mainly serving specific client groups such as institutional investors unable to trade on exchanges, retail investors whose minimum ETF investment thresholds are not met, and short-term allocation clients.

When selecting off-exchange conventional and ETF-linked funds, the sales service fee is a key focus. For short holding periods, Class C products are more suitable; otherwise, Class A products are recommended. D/E/I share classes are generally not aimed at ordinary investors and can usually be disregarded. Investors should consider detailed categories, holding costs, product scale, liquidity, and allocation needs to select the most appropriate products.

1. Innovation and Information Technology

This industry centers on key technologies that are independently controllable, covering the entire industry chain from basic hardware and software to information security. It emphasizes domestic substitution of foundational software such as operating systems and databases, and includes information technology services, information security solutions, and innovative fields on the STAR Market. Through technological breakthroughs and industry collaboration, it aims to build an autonomous and controllable technological system supporting the digital economy and ensuring the security and stability of critical information infrastructure.

Historically, the concept of information technology has evolved over different periods. In June 2011, China Merchants Fund launched the first TMT50 ETF (159909), with technology, media, and telecom as market hotspots. In 2014, Invesco Great Wall launched TMT ETF (512220), CITIC Prudential launched TMT LOF (013122), and as the sector developed, these concepts gradually became independent. In 2014, Penghua Fund launched the Information LOF (160626); in 2015, Southern Fund launched the Information Technology ETF (512330), and GF Fund launched the Information Technology ETF (159939). Although all three are named “Information Technology,” they track different indices.

From 2022 to 2024, funds focusing on innovation and information security have gradually entered the market. Between September 2023 and April 2024, seven innovation-related (信创) ETFs were issued. Therefore, for classification purposes, we merge information technology, TMT, and 信创 into one category called “Innovation and Information Technology.”

This category includes 17 ETFs with a total scale of 6.407 billion yuan; 4 LOFs (including 4 on-exchange and 4 off-exchange) with 706 million yuan; 4 conventional products with 83 million yuan; and 25 linked funds with 2.649 billion yuan. Non-linked products total 29 funds with a combined scale of 7.25 billion yuan, with ETFs accounting for 88.37%. The largest product is GF Fund’s Information Technology ETF (15999), with 1.618 billion yuan.

1.1 Information Technology and Information Security

This sub-sector covers core areas like IT services and electronic equipment manufacturing. It relies on information technology as the core driver, providing comprehensive support from hardware to software, including solutions, system maintenance, and electronic device supply, serving as the foundation of digital economic development.

There are 5 ETFs and 2 LOFs (6 share classes) with names related to information technology or information security. The total scale of ETFs and LOFs is 2.917 billion yuan, with GF Fund’s Information Technology ETF (159939) being the largest at 1.618 billion yuan.

Management and custody fees for all ETFs and ETF-linked funds are 0.5% + 0.1%; LOFs are 1% + 0.2%. The maximum sales service fee is 0.4%, involving two products; GF Fund 022106’s sales service fee is 0.01%.

1.2 信创 (Innovation and Creative Industry)

“信创” stands for the information technology application innovation industry, a national strategy China proposed to address global technological competition and information security challenges. Its core goal is to achieve domestic substitution of key information technologies through independent R&D, building an autonomous digital industry ecosystem. The STAR Market was also established under this background.

In May 2022, Jiasheng Fund and Hua’an Fund each launched a STAR Market Innovation ETF tracking the SSE STAR Market New Generation Information Technology Index (000682). Subsequently, 10 信创 ETFs and 2 conventional funds (4 share classes) were issued, but their overall scale is small, totaling 3.275 billion yuan. There are 8 信创-linked funds (16 share classes) with a total of 652 million yuan.

Management fees are generally 0.5% + 0.1%, with some exceptions like Hua’an and Morgan Asset Management at 0.15% + 0.05%. Sales service fees are between 0.2% and 0.3%, with minor differences among products.

1.3 TMT (Technology, Media, Telecommunications)

The TMT industry integrates technology, media, and telecom sectors. It consolidates resources across these fields through cross-sector innovation, promoting digital content dissemination, information interaction, and technological applications. It is a key industry fusion in the digital economy era.

The first TMT ETF launched in 2011, and TMT has become a mainstream investment theme, though the number of related funds remains limited. Currently, there are 2 ETFs and 1 LOF (2 share classes), totaling 944 million yuan, with two ETFs around 400 million each; plus 1 linked fund (2 share classes) with 311 million yuan.

2. Computers and Software

This industry is a core support for the digital economy, covering computer hardware manufacturing, software services, and fintech applications. Hardware includes servers and computing devices; software involves application development and system integration; fintech provides software support, payment tech, and risk management solutions, forming an ecosystem of “hardware as foundation, software as core, scene implementation.”

From an industry perspective, computer hardware emphasizes manufacturing, while software emphasizes services and products. The national standard classifies them separately, but Shenwan merges them and distinguishes in secondary categories. Most listed companies can clearly differentiate their main businesses, but as they develop, some cross over—hardware companies may do software, and software companies may engage in hardware or system integration.

Passive index funds track specific indices, such as the CSI Computer Theme Index (930651) and CSI Software Services Index (930601). Their high correlation leads us to group them into one category. Fintech mainly serves financial institutions with technology solutions, aligning closely with computer and software sectors, including some information security firms, thus also included here.

This category includes 14 ETFs and 2 LOFs, with a total scale of 18.426 billion yuan, of which ETFs account for 95.85%.

2.1 Computers

This sub-sector involves the R&D and manufacturing of key hardware like servers and computing devices. It focuses on technological innovation in hardware to support various IT applications, including core products like computing, storage, and networking equipment.

There are 3 computer ETFs and 2 conventional products, plus 7 linked funds, totaling 727.7 million yuan, with 226.8 million yuan in linked funds. Notably, Tianhong Fund’s Computer ETF (159998) has a scale of 3.308 billion yuan (as of August 24, 2025).

Management fees are 0.5%, with custody fees at 0.1%; sales fees vary.

2.2 Software

This sector involves application software development and system integration. It provides operating systems, application software, and system solutions, driving digital transformation across industries.

Software-focused funds are relatively limited in scale. There are 8 ETFs totaling 5.565 billion yuan (including newly established Huaxia Fund’s 159256, not yet included in total), with Jiasheng Fund’s Software ETF (159852) at 3.195 billion yuan. There are 4 conventional products (8 share classes) with 623 million yuan, totaling 6.187 billion yuan; 7 linked funds (16 share classes) with 2.098 billion yuan.

Management and custody fees are generally 0.5% + 0.1%. Sales fees differ; for example, China Merchants Fund 018386’s sales fee is 0.4%, higher than others like Jiasheng Fund 021861 at 0.1%.

2.3 Fintech

Fintech includes internet brokerage, financial IT, mobile payments, etc. It integrates IT with financial services, providing software, payment tech, and risk management solutions, promoting digital and intelligent upgrades in finance.

It was a market hotspot in 2020–2021, with 3 fintech ETFs and 1 LOF (including off-exchange Class C shares), totaling 722.9 million yuan. Due to high overlap with computer and software sectors, it is grouped here. Huabao Fund’s Fintech ETF (159851) has 5.731 billion yuan; 3 linked funds (6 share classes) total 2.896 billion yuan, with Huabao’s linked fund at 2.131 billion yuan.

3. Electronic Information

This industry features a full supply chain from upstream technology support to midstream manufacturing and downstream application. Upstream includes semiconductors, materials, and equipment; midstream covers wafer fabrication, IC packaging/testing, and display panels; downstream extends to consumer electronics, 5G, new energy vehicles, etc., driving performance upgrades and innovation.

It is further divided into three categories: Electronics Integration, Consumer Electronics, and Semiconductors.

3.1 Electronics Integration

Electronics funds are trend-sensitive. In 2020, three electronic ETFs and one LOF were issued; none since. Total scale is 2.074 billion yuan, with Tianhong Fund’s Electronic ETF (159997) at 1.261 billion yuan.

Management and custody fees are mostly 0.5% + 0.1%; Shenwan Lingxin’s LOF has fees at the same level.

3.2 Consumer Electronics

This sector involves R&D and manufacturing of consumer electronic products like smartphones, wearables, and VR devices, focusing on performance and user experience improvements.

Funds here mainly target electronic components. There is also a VR ETF tracking related indices, with a small scale and high overlap with consumer electronics, so grouped here.

Six ETFs total 3.047 billion yuan; Huaxia Fund’s Consumer Electronics ETF (159732) is 1.962 billion yuan. Four conventional products (11 share classes) total 520 million yuan; five linked funds (11 share classes) total 702 million yuan.

Fee-wise, E Fund’s Consumer Electronics ETF (562950) management and custody fees are 0.15% + 0.05%; others like Bosera’s index funds are 0.2% + 0.08%; most are 0.5% + 0.1%. Ping An Fund’s sales fee is 0.4%, the highest.

3.3 Semiconductors

Semiconductors are core to electronics. This includes chip design, manufacturing, packaging/testing, and materials/equipment R&D. They are critical for electronic devices and technological innovation.

The category includes three names: Chips, Semiconductors, and Integrated Circuits. Their price trends are highly correlated, so they are unified as “Semiconductors.”

In May 2019, Guolian An launched a Semiconductor ETF (512480); in May 2019, Guotai launched a Chip ETF (512760). In April 2020, Penghua launched a Semiconductor ETF (159813). Several specialized chip ETFs have since been launched, including chip device ETFs, leading chip ETFs, and 50-chip ETFs. The IC category is niche, with only two funds from Jiasheng and Guotai totaling 202 million yuan.

Fees are mostly 0.5% + 0.1%; some funds like Southern 159325, E Fund 516350, Huatai 516920, Hu’an 588290 have fees at 0.15% + 0.05%.

Total ETFs: 36; LOFs: 2; conventional: 20; total 53. ETF scale is 1124.01 billion yuan, total 1151.01 billion yuan, with ETFs accounting for 97.65%. Four products exceed 10 billion yuan, led by Jiasheng’s STAR Chip ETF (588200) at 278.06 billion yuan, Huaxia’s Chip ETF (159995) at 254.21 billion, Guolian’s Semiconductor ETF (512480) at 237.28 billion, and Guotai’s Chip ETF (512760) at 114.74 billion. These four account for 75.47% of the total.

(1) Semiconductors

12 semiconductor ETFs totaling 34.266 billion yuan; the largest is Guolian’s Semiconductor ETF (512480) with 23.728 billion; Penghua’s ETF (159813) has 5.2 billion; four conventional funds total 299 million; 16 linked funds (including 2 new in August 2025) total 5.122 billion.

Fees are mostly 0.5% + 0.1%; Southern’s ETF (588710) is 0.15% + 0.05%.

(2) Chips

Nineteen chip ETFs, totaling 77.934 billion yuan; three exceed 10 billion each: Jiasheng’s STAR Chip ETF (588200) at 278.06 billion, Huaxia’s Chip ETF (159995) at 254.21 billion, Guotai’s Chip ETF (512760) at 114.74 billion. The top ETFs are highly concentrated.

Nine ETFs track STAR Market indices, totaling over 33.05 billion yuan, over half of the segment, indicating rapid growth potential.

Fees are generally 0.15% management and 0.05% custody; others are mostly 0.5% management and 0.1% custody.

Six conventional chip funds (12 share classes) total 2 billion yuan, all initiated funds. Fees are similar, with Huaxia’s fund at 0.3% + 0.08%.

Linked funds total 37 (16 share classes), with a combined scale of 27.536 billion yuan, management fees aligned with main funds. Notably, Huaxia’s linked fund (008887/008888) is over 12.262 billion yuan, and Guotai’s (008281/008282) is 3.94 billion; Jiasheng’s (017469/017470) is 3.844 billion.

(3) Integrated Circuits

Two ETFs named after ICs, totaling 202 million yuan; four linked funds totaling 48 million yuan, grouped under semiconductors.

4. Communication Technology

This sector focuses on next-generation infrastructure and technological upgrades, centered on 5G. It includes R&D and manufacturing of communication equipment like base stations, optical modules, and core components like RF devices, supporting the evolution from 3G/4G to 5G and beyond.

Combining communication, 5G, and telecom into one category called “Communication Technology” reflects their interconnected development. The goal is to achieve faster, more convenient communication and support diverse applications.

There are 11 communication ETFs, three with “5G” in their names, and one explicitly labeled “Communication Equipment” (Fuguo Fund’s Communication Equipment ETF, 159583), with a total scale of 11.589 billion yuan. Notably, Huaxia’s 5G ETF (515050) is 6.74 billion yuan; Guotai’s Communication ETF (515880) is 2.7 billion.

Four conventional funds (8 share classes) total 431 million yuan; East Fund’s Communication A/C (008326/008327) is 338 million.

Twenty-four communication-linked funds total 5.907 billion yuan; Huaxia’s CSI 5G Communication Theme ETF (159583) linked A/C/D is 3.913 billion.

5. Internet and Internet of Things

This industry builds a “virtual connection + physical perception” digital ecosystem. The internet sector centers on e-commerce, social media, and cloud platforms, providing diverse online services. The IoT sector includes sensors, modules, and applications like smart hardware and platforms, enabling deep integration of digital tech with the real economy via “platform empowerment + device interconnection.” Compared to internet, IoT is a niche.

Index providers develop new indices based on industry trends, periodically adjusting constituents. The market has internet indices, and after IoT concepts emerged, IoT indices appeared with highly overlapping components, so they are grouped together.

5.1 Internet

Internet services focus on e-commerce, social, and cloud platforms. They offer online services like shopping, entertainment, and cloud solutions, forming a cross-sector internet ecosystem.

There are 11 internet ETFs (including PuHua Fund’s Industrial Internet ETF, 159778). Among them, Huatai’s Hong Kong Stock Connect Internet ETF (159280), launched in August 2025, is not yet included in total. The remaining 10 ETFs total 55.445 billion yuan, with the top being GF Fund’s Hong Kong Stock Connect Leading Internet ETF (159792) at 47.992 billion, accounting for 86%. The top ETFs track Hong Kong Stock Connect and Shanghai-Hong Kong Stock Connect; one, PuHua’s Industrial Internet ETF, is small at 53 million.

One special product is Dacheng Fund’s Dacheng CSI 360 Internet+ Index A/C (002236/003359), which uses internet-based stock selection but is not classified as an internet fund.

LOFs total 3 (6 share classes), with 54.6 million yuan. Management fees are 1%, custody 0.2%; the high fee may impact scale growth.

Five conventional funds (9 share classes) total 2.016 billion yuan, including the 16.39 billion yuan scale of the Dacheng index fund. Total market scale is 580.07 billion yuan, with 80% concentrated in a single product, showing strong head effect.

In 2021, seven IoT ETFs were issued, but with small scales. To increase size, four linked funds (8 share classes) were issued later. As of now, total IoT ETF scale is only 474 million yuan; in May 2025, Southern Fund launched a linked fund with 474 million yuan, while its ETF (159896) is only 150 million, suggesting most funds are not fully invested.

Five linked funds (12 share classes) total 7.759 billion yuan, with Huatai’s linked ETF at 6.861 billion.

5.2 Internet of Things

IoT industry includes sensors, modules, smart hardware, and platforms. It enables “perception + transmission + platform” to realize interconnection, supporting applications like smart homes and industrial IoT.

In 2021, IoT ETFs totaled 474 million yuan; later, four linked funds (8 share classes) were issued. The total scale is small. As of now, IoT ETFs total 474 million yuan; in May 2025, Southern Fund’s linked fund is 474 million yuan, while the ETF is 150 million, indicating most funds are not fully invested.

6. Big Data and Cloud Computing

This industry follows the logic of “infrastructure—platform services—application scenarios,” covering IaaS, PaaS, SaaS. It includes cloud infrastructure, big data storage and analysis, and digital solutions, providing scalable computing and data services for finance, healthcare, education, etc., key to digital transformation.

Cloud computing and big data are often discussed together. There are 8 ETFs tracking indices like CSI Cloud Computing and Big Data (930851), CSI Cloud Computing 50, CSI Shanghai-Hong Kong-Shenzhen Cloud Industry, and a product called Big Data ETF (159739) tracking the same index. Two products track CSI Big Data Industry (930902), with 82% component overlap, so they are combined here.

The “Digital Economy” segment is small and not classified separately. Its index trend lies between the cloud computing index and CSI Data Index (930902), with some divergence. Practically, related stocks are often considered together, so they are grouped.

There are three “Big Data” products (seven share classes): Southern Big Data 100/300 indices (001113/004344), Bosera Big Data 100 (001242), and 001243, 019169. They use big data methods to select stocks, representing strategic investments.

Total ETFs: 18; LOFs: 2; conventional: 2; linked: 50. Total scale (excluding linked) is 12.789 billion yuan, with ETFs at 83.69%.

6.1 Cloud Computing and Big Data

Cloud infrastructure focuses on data centers, servers, and related hardware, ensuring stable cloud services. Cloud services include IaaS, PaaS, SaaS, providing elastic computing, storage, databases, etc., helping enterprises reduce costs and accelerate digital transformation.

Big data services focus on data collection, storage, and analysis, providing decision support through advanced data processing.

In practice, cloud and big data are related but distinct: cloud is “tool platform,” big data is “problem-solving process.” They are often considered together in investments.

Tracking indices include nine ETFs, eight with “cloud computing” in their names, and one “Big Data ETF” (159739). One LOF exists. Fees are mostly 0.5% + 0.1%, with some higher, e.g., Rongtong Fund’s LOF at 1% + 0.2%.

Scale is 6.682 billion yuan (excluding a new fund in July 2025). Most are concentrated in a few products; Huaxia and E Fund have nearly half the total.

6.2 Big Data

Three big data ETFs, total 2.823 billion yuan; WF Fund’s Big Data ETF (515400) is 2.287 billion; two linked funds (five share classes) total 427 million.

6.3 Digital Economy

Digital economy is a hot recent topic, but standards for related companies are not yet unified. There are six ETFs, one conventional fund, and two linked funds, totaling 2.22 billion yuan, with linked funds at 266 million. Future development remains to be observed.

7. Artificial Intelligence

AI industry follows a chain: “fundamental tech breakthroughs—core device support—application scene implementation.” It emphasizes AI algorithms, chips, and applications like customer service, autonomous driving, and smart hardware. Driven by “algorithm + data + computing power,” AI is rapidly moving from labs to commercial use, becoming one of the fastest-growing areas in digital tech.

AI is a hot sector. In April 2017, Rongtong Fund launched its first AI LOF (161631.SZ); in 2019, Ping An, Huaxia, and Huafu Funds launched AI ETFs; in July 2020, E Fund’s AI ETF (159819) was established, now with 16.579 billion yuan (August 2025: 24.761 billion). Many new AI funds emerged in 2025, including 13 ETFs and 4 conventional funds (nine share classes). Some are recent and lack half-year data.

Early AI ETFs tracked all AI-related companies; newer ones focus on STAR or ChiNext. As of now, total assets are 40.819 billion yuan.

Based on quarterly disclosures, as of June 30, 2025, there are 16 AI ETFs totaling 37.803 billion yuan; by August 2025, the number increased to 20 ETFs with 68.923 billion yuan, a growth of 31.1 billion in two months, highlighting market interest.

Management fees are mostly 0.5%, with some at 0.15% or 0.4%; custody fees are mostly 0.05% or 0.1%. Rongtong’s LOF has the highest total cost at 0.8% + 0.15%. Linked funds have similar fee structures, with sales service fees between 0.1% and 0.3%.

8. Robotics

The robotics industry forms a complete chain: “upstream core components—midstream manufacturing—downstream system integration and services.” Upstream includes reducers, servo systems, controllers; midstream focuses on industrial and service robots; downstream offers customized solutions for automotive, electronics, medical, etc., combining “precision manufacturing + intelligent control.”

Robotics is a rapidly rising sector driven by manufacturing and IT, with AI as a core technology. It may evolve into a standalone category covering vision, sensors, embodied intelligence, specialized and general robots, and related software, currently grouped under information technology.

There are 11 robotics ETFs, six of which were launched recently, totaling 24.415 billion yuan. Notable are Huaxia’s Robotics ETF (562500) at 14.471 billion and Tianhong’s Robotics ETF (159770) at 5.834 billion. Management and custody fees are 0.5% + 0.1%.

Seven conventional products (14 share classes) total 5.399 billion yuan; management fees are mostly 0.5%, except Guotou Ruian’s at 0.3%. Sales fees vary.

Eight linked funds (17 share classes) total 3.969 billion yuan, with similar fee structures.

Summary

As a core investment sector in the securities market, the digital technology industry features a vast number of listed companies, with continuously emerging themes such as chips, AI, IoT, and others. The absence of a unified industry classification standard results in frequent product launches that are difficult to categorize, complicating investor choices. To address this, we systematically classify passive stock index funds into eight categories based on the characteristics of their constituent stocks, industry development stages, and key technological concepts. This classification clarifies the often fuzzy categorization, providing investors with a clear framework to identify suitable products according to their cost preferences, allocation needs, and liquidity requirements. It also helps avoid risks associated with mini funds in off-exchange markets. This classification framework enables investors to better understand investment opportunities in the digital technology sector and make rational decisions.
(Author: Jinan Research Institute, Editor: Cai Pengcheng)