A mixture of low bond yields, interest rate cuts and insurers avoiding risky assets will lower returns, though A-share volatility will have a limited impact, say credit analysts.
Although new themes are emerging in portfolios, the overall risk approach remains fairly conservative, ratings agencies tell AsianInvestor.
The island's insurers have increasingly invested into the assets, but this will likely hit a plateau as the local regulator introduces an additional capital charge for currency risks.
Infrastructure projects and private equity funds are among the assets they are looking at to boost investment returns, according to Moody’s, but the supply is constrained.
Its latest technology investment will boost the Chinese insurance group's auto insurance business. But, the VC fund head tells AsianInvestor, further gains are expected.
A combination of an economic slowdown and lower interest rates has increased the motivation for the insurers to invest more in overseas assets.