SINOLINK SECURITIES·2025-10-29 14:12Investment Rating - The report suggests a "Buy" rating for the insurance sector, indicating an expected increase in the sector's performance exceeding the market by more than 15% over the next 3-6 months [21]. Core Insights - The non-bank sector's public active equity allocation ratio has decreased quarter-on-quarter, but the degree of under-allocation has narrowed [1]. - The insurance sector's active equity holdings have decreased by 11% quarter-on-quarter, with a current allocation ratio of 0.78%, which is at the 47th percentile since 2018 [2]. - The brokerage sector has seen a significant increase in active equity holdings, with a quarter-on-quarter growth of 23%, although it remains under-allocated by 2.96% [4]. - The multi-financial sector has shown a notable increase in allocation, particularly with Jiufang Zhituo Holdings [5]. Summary by Sections Insurance Sector - Active equity holdings in the insurance sector reached 12.9 billion yuan, down 11% from the previous quarter, with a current allocation ratio of 0.78%, reflecting a decrease of 0.33 percentage points [2]. - Major companies like China Life, Ping An, and China Pacific have varying allocation ratios, with Ping An at 0.48% and China Life at 0.02%, indicating under-allocations of 0.13% and 0.84% respectively [2]. - The report recommends focusing on strong beta stocks, quality insurance groups with low liability costs, and undervalued companies like China Taiping [3]. Brokerage Sector - The brokerage sector's active equity holdings reached 10.4 billion yuan, with a quarter-on-quarter increase of 23%, but still under-allocated by 2.96% [4]. - Key stocks include Huatai Securities and CITIC Securities, with respective holdings of 0.18% and 0.12% [4]. - The report anticipates continued high growth for listed brokerages in Q3, with a year-to-date increase of 7% in the sector [5]. Multi-Financial Sector - Jiufang Zhituo Holdings has seen a significant increase in allocation, while Jiangsu Jinzheng's allocation has decreased slightly [5]. - The report highlights the potential for strong performance in the multi-financial sector, particularly for companies benefiting from passive product development and overseas expansion [5].