Dividend trends are back on track; the Huaxia High Dividend ETF for Stock Connect (159726) is suitable for defensive positioning in a volatile market.

As of 10:56 on August 7, 2026, the Huaxia High Dividend ETF for Stock Connect (159726) fell by 0.22%, with a latest quote of 1.336 yuan. Among its constituent stocks, gains and losses were mixed: Lenovo Group led the gains with a 2.54% increase, followed by CNOOC rising 1.76%, Sinopec rising 1.52%, China Life rising 1.10%, and PetroChina rising 1.06%. On the downside, Bosideng led the declines with a 2.38% drop, Longfor Group fell 2.12%, Mengniu Dairy dropped 2.05%, China Pacific Insurance declined 1.74%, and Agricultural Bank of China fell 1.68%.

Huabao Securities stated that in terms of dividend style, after this round of rebound, the negative feedback caused by the rapid decline in dividends in mid-to-late June has significantly subsided. The risk of further short-term declines breaking through previous lows is relatively small, and it is expected to return to a medium-to-long-term upward trend amidst volatility. In the short term, the traditional dividend index has already recovered most of the losses from June, and there may be weakening momentum for further upside. Attention should be paid to the easing of risk factors such as subsequent overseas conflict situations and expectations of overseas interest rate hikes, after which the dividend index is expected to further open up repair space.

The Huaxia High Dividend ETF for Stock Connect (159726) closely tracks the Hang Seng Stock Connect Mainland China Enterprises High Dividend Yield Index and is the only ETF tracking this index. The index compilation rules require constituent stocks to have a record of cash dividend payments for three consecutive years, and eliminate those at the bottom with high volatility and poor stock price performance, strictly screening for high-quality targets. It supports T+0 turn-around trading and serves as a high-quality defensive allocation tool in volatile market conditions.