Shang Hai Zheng Quan Bao·2025-12-01 19:23Core Viewpoint - The financial sector in China is experiencing a counter-cyclical stock price performance despite complex domestic and international economic conditions, with a strategic focus on wealth management and healthcare services becoming the new investment narrative [2][3]. Group 1: Financial Sector Performance - The valuation levels of the banking, insurance, and securities sectors have significantly improved this year, with the price-to-book (PB) ratios increasing by 19.30%, 8.51%, and 5.76% respectively compared to the beginning of the year [3]. - State-owned large banks and city commercial banks have seen the largest increases in valuation, with PB ratios rising by 25% and 12.96% respectively [3]. Group 2: New Growth Opportunities - Traditional banking and insurance business growth is slowing, prompting financial institutions to seek new performance growth avenues, particularly in wealth management, pension finance, and technological innovation [5]. - Insurance companies are actively expanding into wealth management and healthcare services, with products like dividend insurance and the development of retirement communities [5][6]. Group 3: Competitive Advantages - Banks possess a "first-touch advantage" in wealth management, allowing them to gather customer financial data effectively and offer a wide range of products [6]. - Securities firms are shifting their revenue focus from brokerage services to asset-heavy businesses, indicating a need for adaptation in the competitive landscape [6]. Group 4: Evolving Valuation Logic - The valuation logic for financial stocks is shifting from a purely cyclical perspective to a dual-driven model of "stability + growth," emphasizing the importance of differentiated and specialized development [6][7]. - The insurance sector is experiencing a golden development period, with new narratives in wealth management and healthcare driving higher quality growth [7]. Group 5: Future Outlook - The increasing demand for wealth management and healthcare services among residents suggests that financial institutions will need to focus on their core competencies and develop unique offerings to enhance their valuation [9]. - China Ping An is highlighted as a leader in the healthcare and pension strategy, integrating services to enhance its financial business, with a significant portion of its clients benefiting from its healthcare ecosystem [8][9].