Core Viewpoint - The asset management trust market, valued at 11.39 trillion yuan, is now open to insurance institutions, marking a strategic upgrade in the wealth management business of the insurance industry [1][4]. Regulatory Changes - The National Financial Supervision Administration released a draft regulation allowing commercial banks, wealth management companies, and insurance companies to sell trust products [3]. - This regulation builds on earlier policies aimed at enhancing the quality of the trust industry and clarifies the details for financial institutions to sell asset management trusts [4]. Market Context - As of the end of 2024, the asset management trust business of 58 trust companies reached 11.39 trillion yuan, accounting for nearly 40% of the total trust asset scale [4]. - The total asset management market in China is projected to reach 150 trillion yuan by the end of 2024, with the trust sector growing at a rate of 23.58% [6]. Strategic Implications for Insurance Companies - The new regulation allows insurance companies to diversify their product offerings and transition from traditional product sales to comprehensive wealth management [5]. - Insurance companies can now better serve high-net-worth clients by moving towards a client-centered wealth management model [6]. Competitive Landscape - Insurance channels will compete with direct sales from trust companies and banks in the trust product market [7]. - The deep customer relationships and scenario-based sales capabilities of insurance agents provide a competitive advantage over traditional banking sales methods [8]. Challenges and Capacity Building - Insurance companies currently lack the necessary expertise to manage the complexities of non-standard trust products, which require high levels of sales suitability management and professional interpretation [9]. - The regulatory framework imposes strict conditions on the sale of trust products, necessitating significant capacity building within insurance firms [10][11]. Early Movers in the Insurance Sector - Insurance companies with trust licenses or those within financial holding groups that possess such licenses are expected to lead in this new market [12]. - The initial exploration of this market will likely be limited to a few institutions with the requisite capabilities and resources [12]. Product Synergy - The relationship between asset management trusts and traditional insurance products is expected to be complementary rather than purely competitive [12]. - Insurance channels may focus on long-term, stable return products that align with their existing offerings, such as retirement savings and wealth transfer services [12]. Future Collaboration Opportunities - The new regulation opens avenues for deeper collaboration between trust companies and insurance institutions beyond simple product sales [14]. - Potential areas for cooperation include joint product development, customer service ecosystem building, and alternative investment partnerships [15].

Group 1 - Zhang Dong, the newly appointed chairman of Bosera Fund, highlighted that Q4 2025 may become a critical turning point for expectations in the capital market [1][3] - The Chinese economy has shown a remarkable GDP growth of 5.3% in the first half of 2025, distinguishing itself in the global economic landscape [2][3] - Major stock indices in China have seen significant increases in Q3 2025, with the CSI 300 up by 17.9%, the CSI 500 up by 29.46%, and the STAR 50 up by 51.2% [2][3] Group 2 - The capital market in China is expected to continue to highlight its value in global asset allocation, supported by proactive fiscal policies and moderately loose monetary policies [3][4] - The upcoming Fourth Plenary Session of the 20th Central Committee of the Communist Party of China will discuss the 15th Five-Year Plan, which is anticipated to further enhance economic policies [3][4] - The public fund industry is undergoing significant transformation, focusing on enhancing asset management and comprehensive wealth management capabilities [4][6] Group 3 - Bosera Fund aims to maintain a long-term perspective while navigating market volatility, ensuring that investor value creation remains a core focus [5][6] - The company plans to improve its integrated investment research capabilities and enhance pricing and allocation abilities across various asset classes [6] - As a state-owned enterprise under China Merchants Group, Bosera Fund is committed to participating in public fund reforms and innovations to promote high-quality industry development [6]