It’s an apt time for Hong Kong investors to buy new-economy stocks, as technology stocks founder amid a six-week correction, a strategist at Standard Chartered said on Monday.

“The market has undergone a major correction, yet the prospects of these growth stocks remain unchanged,” said Daniel Lam, senior cross-asset strategist at Standard Chartered.

The Tech Index slid around 2 percent on Monday at 7,981, slumping 27 percent compared to its historical high of 11,001 points of Feb 17

Lam said the Hang Seng Tech Index has tumbled 30 to 35 percent in the past six weeks, leaving limited room for further decline. “Several new-economy stocks has retreated to their support levels. It’s time to consider buying in (those stocks) as a long-term investment,” he said.

Lam also said he believes the US 10-year Treasury yield has nearly topped out. “The yield has reached 1.5 to 1.7 percent, limiting the possibility for it to rise further,” he said. “It’s very unlikely (for the yield) to reach 2.5 percent.”

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Lam said that now is an apt time to invest in stocks such as medical technology, electric vehicles and the Internet of Things which should comprise a combined 5 to 10 percent of one’s portfolio. “The pandemic has brought opportunities to industries, and electric vehicle represents the trend,” Lam said. He also suggested investors use the volatility to find better entry points.

The number of light electric vehicles has surged in recent years, with 65 percent-year-on-year growth in 2018 and 9 percent in 2019. Lam attributed the rapid growth to the advancement in battery technology, favorable regulatory policies, and government support, all of which drove a pickup in electric vehicle sales.

The Hang Seng Tech Index fell into correction territory for multiple reasons, including bearish market sentiment after the gains in the US 10-year Treasury yield and regulatory concerns after new US audit laws began requiring foreign-listed companies to submit financial audits, putting Chinese firms at risk of expulsion from Wall Street.

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The Tech Index slid around 2 percent on Monday at 7,981, slumping 27 percent compared to its historical high of 11,001 points of Feb 17. The Hang Seng Index edged up 0.01 percent at 28,338 on the same day.

The 10-year US Treasury yield jumped above 1.7 percent on March 18, the highest level in 14 months. It slipped to 1.66 percent on Monday.