In recent years, insurance fund utilization policies have undergone major changes. Supervision ratios, investment areas, and supervision methods have all become more adapted to market development. Institutional revolutions like this have formed a beautiful landscape for insurance fund utilization supervision.

Insurance companies use structural economics to view new policies on the use of insurance funds and build a multi-level asset allocation system, which will be conducive to the stability and optimization of the insurance investment structure.

Currently, competition in my country's insurance market is fierce, with excess underwriting capacity and underwriting profits declining.

For this reason, insurance companies have turned to focus on obtaining income from the use of insurance funds and striving for investment profits.

As a result of the use of insurance funds, the insurer obtains an average profit, and the insured also enjoys the benefits of the use of insurance funds at a low rate.

The security and liquidity of investment are the basis for profitable use of funds.

Steady use of funds should first ensure the safety and liquidity of funds, and on this basis, strive to pursue profitability in the use of funds.

New policies on insurance funds give insurance companies more investment autonomy. Since 2012, regulatory authorities have continued to promote market-oriented reforms in the use of insurance funds and promulgated a series of new policies on the use of funds to loosen restrictions on the use of insurance funds and give insurance companies more investment autonomy.

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The introduction of the new insurance investment policy has greatly broadened the channels for the use of insurance funds, which is of great significance for transforming the profit model of insurance companies and increasing the income from the use of insurance funds.

The new insurance policy expands the scope of investment in fixed-income securities: further expands the scope of investment in bond varieties, especially credit varieties, and allows insurance companies to invest in credit asset-backed securities and innovative fixed-income varieties, and the allocation ratio of credit varieties has been relaxed.

The new insurance policy has simplified the infrastructure approval process: In the past, insurance companies investing in infrastructure had to report to the China Insurance Regulatory Commission. It was not so much a report, but an approval system in essence. It was not uncommon for it to take a year from filing to approval.

In the past, it was not just a matter of process. There were many specific indicators for infrastructure. A creditor's rights plan was made for an enterprise, and there were very strict limits on the operating indicators of debt repayment entities. There were also many restrictions on guarantees.

If the creditor's rights plan requires a guarantee from a commercial bank, the guarantee subject must be a national joint-stock listed bank.

After the promulgation of the New Deal, guarantee methods have become more diversified.

Broadening the scope of equity investment: Originally, insurance companies’ investment in unlisted company equity was limited to three industries. After the promulgation of the New Deal, the conditions for insurance companies to invest in PE were relaxed, increasing the investable proportion of insurance companies, and adding energy, resources, and modern agriculture.

, investment in new commercial circulation industry.

On the surface, insurance companies are now limited to investing in PE in seven industries, but in fact the industry divisions of the China Insurance Regulatory Commission are not standard industry divisions. Many industries can be attributed to energy, resources, modern agriculture, finance, automobiles, medical care, etc.

So it covers almost all industries.

Opening up investment in financial products: Opening up investment in financial products such as commercial bank financial products, credit asset-backed securities, collective fund trust plans, securities dealers’ special asset management plans, and real estate investment plans.

The China Insurance Regulatory Commission stipulates that trust products can only be collective trusts, not single trusts. In addition to insurance companies, they must be purchased by other purchasers.

But this problem is not difficult to solve. The insurance company can sell 1 million of the 1 billion trust plan to avoid the restrictions of a single trust. Therefore, the collective trust makes the investment scope of the insurance company very wide.

Provide risk hedging tools: Insurance companies can participate in financial derivatives and stock index futures transactions to hedge risk positions and reduce portfolio risks.

Now it is mainly divided into three parts. The first part is interest rate swaps, which convert floating income products into fixed income products.

The second part is exchange rate swaps. Domestic insurance companies have a large demand for this part. This is because almost all the liabilities of insurance companies are in RMB, and investment abroad will inevitably lead to exchange rate exposure.

The third part is stock index futures. Regarding margin trading and treasury bond futures business, insurance companies are allowed to participate in the financing process of securities companies.

Expanding overseas investment markets and investment varieties: Further opening up overseas market investment, the scope of investable markets includes 25 major developed countries and 20 emerging markets; investment varieties cover equity, fixed income, real estate, funds, PE, REITs and other major categories

; Allow investment in derivative products for risk management and risk hedging, and 15% of insurance company premiums can be invested in overseas markets.

Allow investment in GEM stocks: Promote the insurance industry to support economic structural adjustment, transformation and upgrading, support the development of small and medium-sized enterprises, optimize the insurance asset allocation structure, allow insurance funds to invest in the stocks of companies listed on the GEM, so that insurance companies can share the fruits of China's economic transformation

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Promote two-way opening up of insurance asset management In 2013, the China Insurance Regulatory Commission issued the "Notice on Issues Concerning Insurance Asset Management Companies' Pilot Asset Management Product Business" to restart the pilot program of insurance asset management products and allow insurance asset management companies to issue "one-to-one" targeted asset management

products and "one-to-many" collective products, investors have expanded from the insurance industry to outside the industry, and the investment scope has also expanded from traditional fixed income to equity investment.

Insurance companies can ask banks to entrust part of their assets to insurance asset management companies in the form of special accounts, or they can issue products and have them managed by other institutions or individuals.

In the past, although the China Insurance Regulatory Commission allowed insurance companies to establish asset management companies, not all businesses could be carried out after the company was established. There was license management.