AsianInvestor is pleased to announce the publication of its latest Asset Owner Insights report — your guide to the investing behaviour of China’s largest and most influential allocators.
Asset managers, and anyone covering institutional investors in this market, can access a comprehensive overview of the allocation strategies and portfolio breakdown of Chinese allocators in this simple-to-understand report.
The study analyses the investment approaches of the leading asset owners in the world's second-largest economy, offering statistical scrutiny of their portfolio distributions and investment resources.
China boasts some of the fastest-growing asset owners in the world, courtesy of the country's fast-growing economy and a rising need for more life insurance and retirement savings. That has led to a rapid evolution in the institutional investment priorities and portfolio strategies, as well as shifts in the regulatory environment surrounding them.
One of the key finding in this report is that Greater China's insurers are reflecting a rising trend in Asia of focusing on alternatives. The wider industry is increasing its exposure to real estate, private equity and private debt as insurance firms search for performance, in light of low interest rates globally.
Below are some sample insights from the report:
China Reinsurance (China Re), Asia's largest reinsurer, and one of the top 10 globally, saw the value of its total investment portfolio fall from $24.8 billion to $22.7 billion, according to end-2016 data.
Huaxia Life Insurance boosted the value of its investment portfolio by 44% in 2016, incorporating a 99% increase in its alternatives investment and an 83% increase in fixed income.
China Taiping Insurance saw a 14% rise in the value of total invested assets in 2016, with bond investments rising to $21.2 billion and fixed income growing to $19.1 billion. In the first half of 2017, the insurer increased allocations of risky assets, focusing on equities and alternatives, in the search for higher yields.
China's insurers will need to be selective in terms of their strategies and do their homework when it comes to the specifics of their transactions. For example, finding investment opportunities in infrastructure deals that are part of China's much-talked-about Belt and Road Initiative still remains a challenge for many insurers.
The Asset Owner Insights: China Institutional Report delivers:
- Key institutions' asset data, market size, investments and strategy plans
- A comprehensive directory of asset owners, including top personnel and external managers.
For more information or to receive a copy of Asset Owner Insights: China, please contact Vicki Shaw on +61 425246683 or [email protected]