Foreign-funded insurance companies, including Sino-foreign joint-venture insurances, have been allowed to increase their investment in China's stock markets.
China Pacific-Aetna Insurance Company, a Sino-American joint-venture insurance company, was recently approved to buy China's stock investment funds by a proportion of 10 percent of its registered capital.
An official with the China Insurance Regulatory Commission (CIRC), the insurance market watchdog, said more foreign-funded and Sino-foreign joint-venture insurances will be given the green light to increase their exposure in the stock markets.
He disclosed a few insurances including the Zhong Hong Life and AXA-Minmentals Assurance Co, Ltd, China 's two major joint-funded insurance companies have applied to CPIC for approval to increase their proportional investment of total assets in the stock market.
CIRC and China's Securities Regulatory Commission allowed Chinese domestic insurances to enter the stock market about six months ago. China Pacific Insurance Company is allowed to invest 15 percent of its assets to buy securities investment funds.
Ma Yongwei, CIRC chairman, said on a recent occasion that as long as it will do good to the development of insurance companies and strengthen the risk-resisting ability of the insurance companies, CIRC will continue to support insurance assets to enter the capital market.
(China Daily)
