Core Viewpoint - The insurance sector is actively increasing its equity asset allocation, with significant potential for future growth in this area [1][4]. Group 1: Insurance Companies' Activities - China Pacific Life Insurance Co., Ltd. announced its recent acquisition of shares in Guangdong Dongyangguang Pharmaceutical Co., Ltd., holding approximately 605.86 million shares, which represents 5.38% of the latter's H-share capital [2]. - As of August 13, 2023, the total number of equity stakes acquired by insurance capital reached 27 this year, significantly higher than the 20 instances recorded in the previous year [2]. - The majority of these acquisitions were driven by proactive buying, indicating a strong willingness among insurance companies to increase their holdings in listed companies [2]. Group 2: Regulatory Environment - Recent regulatory changes have established actionable assessment standards for the proportion and stability of large state-owned insurance companies' investments in A-shares, promoting a long-term assessment mechanism [3]. - Adjustments to solvency rules have reduced the risk factors associated with stock investments, encouraging insurance capital to increase market participation [3]. Group 3: Equity Asset Allocation - The proportion of equity assets in insurance companies is gradually increasing, with equity investments accounting for approximately 20.6% of total investment assets as of the first quarter of this year [4]. - Regulatory guidelines dictate that the equity asset balance must not exceed certain thresholds based on the solvency ratio, allowing for a structured approach to equity investment [4]. Group 4: Future Outlook - Analysts believe that there is still considerable room for insurance companies to increase their equity asset allocation, as many companies are currently below their investment limits [5]. - The current capital market environment and accounting standards suggest that insurance capital is likely to continue expanding its equity asset holdings in the future [5].