Group 1 - The impact of real estate on the asset side of insurance companies is limited, while signs of recovery on the liability side are emerging, indicating an expected strong performance in 2026 [1] - The non-bank sector shows potential for fundamental improvement, particularly benefiting from the influx of resident capital into the market [1] - The proportion of real estate-related assets held by listed insurance companies has significantly decreased, and asset quality has improved compared to previous periods [1] Group 2 - The average daily trading volume of stock funds this week was 17,939 billion yuan, down from 20,380 billion yuan [2] - As of November 28, 2025, the underwriting scale for IPOs and private placements reached 9,526 billion yuan, with corporate bonds and convertible bonds financing scales at 197 billion yuan and 564 billion yuan respectively [2] - The insurance industry reported a cumulative premium income of 52,146 billion yuan from January to September 2025, reflecting an 8.8% year-on-year increase [3]

Investment Rating - The report maintains a positive outlook on the non-bank financial sector, indicating an "Overweight" investment rating for the industry [1][2]. Core Insights - The non-bank financial sector has shown strong performance, with the Shenwan Non-Bank Index rising by 3.52% during the week, outperforming the CSI 300 Index, which increased by 1.69% [5]. - Public funds have significantly increased their allocation to the non-bank sector, with the active equity fund heavy positions in the sector rising by 99 basis points quarter-on-quarter to 2.16% in Q2 2025 [2]. - The report highlights a positive trend in brokerage firms' earnings, with 27 traditional brokerages reporting year-on-year profit increases for Q2 2025, indicating a robust recovery in the sector [2]. - The insurance sector is also expected to benefit from a decrease in the cost of new liabilities and an increase in the value of participating insurance options, leading to a favorable outlook for the insurance industry [2]. Summary by Sections Market Review - The CSI 300 Index closed at 4,127.16, with a weekly change of +1.69%, while the non-bank index closed at 1,989.03, reflecting a weekly increase of +3.52% [5]. - The brokerage sector saw a significant increase of 4.82%, while the insurance sector rose by 1.83% [5]. Non-Bank Industry News and Key Announcements - The report notes that the China Insurance Association has indicated that the current research value for the predetermined interest rate of ordinary life insurance products is 1.99%, which is expected to trigger a reduction in the maximum predetermined interest rate for new products [18]. - The report mentions that the market sentiment has improved significantly, with daily trading volumes exceeding 1.7 trillion yuan, indicating a high level of trading activity [2][15]. - The report also highlights that the brokerage firm Shouhua Securities plans to issue H-shares and list on the Hong Kong Stock Exchange, marking a significant move in the competitive landscape of the brokerage industry [2][23].