Soochow Securities·2026-02-13 03:49Investment Rating - The industry investment rating is maintained as "Increase" [1] Core Insights - The insurance industry is experiencing significant growth in asset allocation towards core equities, with a slowdown in bond allocation pace [5] - By the end of 2025, the total investment balance of the insurance industry reached 38.5 trillion yuan, marking a 15.7% increase from the beginning of the year, the highest growth rate since 2021 [9] - The allocation of "stocks + funds" increased by 1.6 trillion yuan in 2025, with a total balance of 5.7 trillion yuan by year-end [5] - The proportion of "stocks + funds" in total investment reached 15.4% by the end of 2025, an increase of 2.6 percentage points from the beginning of the year [5] - The demand in the market remains strong, and the optimization of liability costs is expected to alleviate pressure from interest rate spreads [5] Summary by Sections Investment Allocation - By the end of 2025, the investment scale of life insurance companies was 34.7 trillion yuan, accounting for 90.1% of the industry [5] - The allocation of bank deposits decreased to 7.6%, while the bond allocation increased to 51.1% [5] - The allocation of stocks and funds reached a high level, with stocks accounting for 10.1% and funds for 5.3% of total investments [5] Market Outlook - The recent decline in the yield of ten-year government bonds to approximately 1.81% is expected to ease the pressure on the investment income of insurance companies [5] - The insurance sector's valuation remains at historical lows, with estimated PEV ranging from 0.64 to 0.86 and PB from 1.15 to 2.24 [5]