According to news from Financial Alliance on April 10 (Reporter Xia Shuyuan), the latest equity disclosure materials from the Hong Kong Stock Exchange show that on April 8, Great Wall Life simultaneously increased its Shareholding in CHINA SUNTIEN (0956.HK) and Qinhuangdao Port (3369.HK), with a total investment of 35.9628 million Hong Kong dollars.

According to an announcement on the Insurance Association's official website, as of April 9, Great Wall Life has cumulatively made significant share purchases in 9 listed companies, becoming one of the most noticed shareholding insurance companies in the market.

In an interview with Financial Alliance reporters, Great Wall Life stated that while actively matching the duration on the liability side with long-term interest rate debts, the company leverages the long-term and stable attributes of insurance funds to respond to national policy directions.

On one hand, the company systematically layouts around four major sectors: Transportation, Eco-friendly Concept, Energy, and Ports, focusing on relatively stable high dividend long-term Private Equity investment projects, treated as joint ventures to support the investment company's development in green industries and serve social welfare; on the other hand, the company participates in major national strategic projects through direct investment, supporting the development of new-generation information technology, medical health, Integrated Circuits, advanced manufacturing, and other fields.

Industry experts indicate that generally, the shareholding behaviors of insurance companies are primarily financial investments conducted through long-term Private Equity or Stocks investment approaches, acquiring long-term operational returns, dividend profits, or capital gains from the target symbols. From the 9 targeted symbols, Great Wall Life mainly prefers local state-owned enterprises with high ROE, and generally obtains seats on the Board of Directors, which meets the confirmation standards for long-term Private Equity investment equity methods; its share purchasing increase strategy may aim to improve the company's profit performance.

Great Wall Life invested 35.9628 million Hong Kong dollars to increase its holdings in two listed H shares on the same day.

The latest equity disclosure materials from the Hong Kong Stock Exchange reveal that on April 8, Great Wall Life increased its holdings by 7 million shares of CHINA SUNTIEN at an average price of 3.6059 Hong Kong dollars per share, investing 25.2413 million Hong Kong dollars. After the increase, Great Wall Life's latest holding amount is 0.14845 billion shares, with the shareholding percentage rising from 7.69% to 8.07%.

On the same day, in addition to CHINA SUNTIEN, Great Wall Life also increased its shareholding in Qinhuangdao Port.

According to the latest information from the Hong Kong Stock Exchange, Great Wall Life increased its shareholding in Qinhuangdao Port by 5 million shares on April 8, with a price of 2.1443 HKD per share, totaling 10.7215 million HKD. After the increase, the latest number of shares held is approximately 0.245 billion shares, with the latest holding ratio rising to 29.46%.

It is reported that as early as February 12, Great Wall Life increased its shareholding in CHINA SUNTIEN by 2.462 million shares at an average price of 3.7953 HKD per share, involving approximately 9.344 million HKD, raising its shareholding ratio from 4.87% to 5%. In the past month, Great Wall Life has accumulated an increase of 20 million shares in CHINA SUNTIEN.

Industry insiders indicate that regulatory authorities recently issued a notice regarding adjustments to the regulatory proportion of insurance funds' equity assets, optimizing the supervision policy and increasing support for Capital Markets and the real economy. With the increase of 5% in the proportion of equity assets corresponding to certain levels of solvency adequacy, the space for insurance companies' equity investments has been further expanded.

Aiming to improve profit performance, Great Wall Life has cumulatively taken stakes in 9 listed companies.

In addition to increasing holdings in Qinhuangdao Port and CHINA SUNTIEN, Great Wall Life has cumulatively taken stakes in 9 listed companies.

According to an announcement on the official website of the Insurance Industry Association, as of April 9, Great Wall Life has cumulatively taken stakes in 9 listed companies, making it one of the most关注的 companies in the market.

From the perspective of investment channels, all 9 stake acquisitions by Great Wall Life were made through the secondary market, mainly focused on centralized bidding transactions. In terms of funding sources, apart from the stake in Henan Zhongyuan Expressway, CHINA WATER, and DATANG RENEW using their own funds and insurance liability reserves, all other acquisitions were made using their own funds.

In terms of industry distribution, the symbols targeted by Great Wall Life mainly focus on eco-friendly, transportation, finance, architecture, and other sectors. Among them, the symbols in the eco-friendly Sector include Jiangsu Jiangnan Water, City Development Environment, Dynagreen Environmental Protection Group, and CHINA WATER, while the symbols in the Transportation Sector include Henan Zhongyuan Expressway and Jiangxi Ganyue Expressway.

Industry experts stated: "Insurance capital targeting focuses on transportation and eco-friendly sectors mainly due to the influence of the dividend asset market, as these enterprises have stable operations and dividends, which provide high dividend returns."

According to data, the average ROE of the 9 listed companies targeted over the past 3 years is above 5%, with 4 companies exceeding 10%, all surpassing the ROE level of Great Wall Life during the same period.

Insiders indicated: "Great Wall Life's targeting mainly prefers local state-owned enterprises with high ROE, and generally obtains seats on the Board of Directors, which aligns with the confirmation standards of long-term equity investment under the equity method, and the targeting strategy may aim to improve profit performance."

According to data, since 2022, Great Wall Life's net income has begun to decline year-on-year, with a significant loss occurring in 2023, facing short-term operational pressure. Relevant personnel from Great Wall Life stated: "Through the form of targeting, holding high-quality equity investments in the form of long-term stock under the equity method can yield stable and higher investment returns, thereby improving net income performance."

It is reported that in the first three quarters of 2024, benefiting from the increased investment income from stocks classified as long-term equity investments, Great Wall Life achieved a year-on-year increase of 90.8% in investment income to 2.809 billion yuan, driving a substantial increase of 455.68% in the company's net income to 0.919 billion yuan.

By the end of 2024, Great Wall Life's long-term equity investments increased to 9.46 billion yuan, a year-on-year growth of 61.87%.