Soochow Securities·2025-04-06 08:33Investment Rating - The report maintains an "Increase" rating for the non-bank financial industry [1] Core Insights - The non-bank financial sector has shown a mixed performance, with the insurance industry experiencing significant profit growth, while the securities sector has lagged behind the market [4][10] - Regulatory changes are being implemented to enhance the operational framework for insurance companies and securities investment funds, aiming to improve market efficiency and transparency [19][20] Summary by Sections 1. Recent Performance of Non-Bank Financial Sub-Sectors - In the recent trading days (March 31, 2025 - April 3, 2025), the non-bank financial sector saw a decline of 1.31%, with the securities industry down 1.81%, while the insurance sector fell by 0.66% [9][10] - Year-to-date performance shows the insurance sector down 3.45%, multi-financial down 3.78%, and securities down 7.25% [10] 2. Insights on Non-Bank Financial Sub-Sectors 2.1 Securities - Trading volume has seen a slight year-on-year increase, with an average daily trading amount of CNY 1,101.5 billion in April 2025, up 9.64% from the previous year [15] - The balance of margin trading reached CNY 1,912 billion, a year-on-year increase of 23.54% [15] - The China Securities Regulatory Commission (CSRC) is revising the fund custody management measures to enhance industry standards [19] 2.2 Insurance - Listed insurance companies reported substantial profit growth for 2024, with net profits for major firms like Ping An and China Life increasing by 48% and 132% respectively [24][26] - The new business value (NBV) for these companies also saw significant increases, attributed to improved sales and lower costs [24] - Regulatory measures are being introduced to standardize major equity investments by insurance companies [28] 2.3 Multi-Financial - The trust industry is entering a stable transition phase, with total assets reaching CNY 27 trillion, a year-on-year growth of 24.5% [30] - The futures market has shown robust growth, with February 2025 trading volume reaching 563 million contracts, a year-on-year increase of 69.67% [36] 3. Industry Ranking and Key Company Recommendations - The report ranks the insurance sector highest, followed by securities and other multi-financial services, recommending companies such as New China Life, China Life, CITIC Securities, and Huatai Securities [46]