Zheng Quan Shi Bao·2025-03-27 17:52Core Viewpoint - Insurance funds are increasingly allocating to equity assets, with a record number of stake acquisitions in the first quarter of 2024, indicating a strategic shift towards equity investments in response to market opportunities and low interest rates [1][2][3]. Group 1: Stake Acquisitions - Six insurance companies have announced 11 stake acquisitions this year, surpassing the total for the same period last year and setting a new quarterly record [2]. - Notable acquisitions include China Shenhua and CITIC Bank, with significant holdings reaching approximately RMB 49.36 billion for China Shenhua [2]. - The stocks targeted for acquisition primarily include banks and public utilities, with a focus on H-shares [2]. Group 2: Investment Strategy - Insurance companies are adjusting their asset allocation strategies to enhance returns in a low-interest-rate environment, emphasizing the importance of equity investments [4][5]. - China Life has increased its equity investments by over RMB 100 billion in 2024, while China Pacific Insurance has raised its equity asset allocation to 11.2% [4]. - The investment approach combines high-dividend stocks with growth stocks, aligning with national economic development trends [4][6]. Group 3: Diversification and Risk Management - Insurance companies are adopting diversified asset allocation strategies to mitigate the impact of equity market volatility on financial statements [7]. - The approval of long-term investment reform trials for insurance companies aims to facilitate the entry of long-term funds into the market, with a total of RMB 1,620 billion approved [7]. - The entry into gold investments by several insurance companies is seen as a way to optimize asset allocation and reduce risk, with gold providing a hedge against inflation and market fluctuations [8].