Hong Kong Stock Volatility | Domestic insurance stocks rise collectively. China Ping An(02318) closed up nearly 3% in the late trading session. Investment income on the asset side is expected to drive insurance companies' profit improvement.

CITIC Finance APP learned that domestic insurance stocks are collectively rising. As of the time of writing, ZhongAn Online (06060) increased by 4.53%, trading at HKD 16.63; PICC Property & Casualty (01339) rose by 4.15%, trading at HKD 7.03; Ping An Insurance (02318) increased by 2.91%, trading at HKD 72.6; China Life Insurance (02628) rose by 2.8%, trading at HKD 34.5.

On the news front, the State Administration of Financial Supervision previously released the annual operating data for the insurance industry. Data shows that by 2025, the insurance industry will achieve approximately 6.12 trillion yuan in original insurance premium income, a year-on-year increase of 7.43%. The total claims payout for the year is 2.44 trillion yuan, up 6.2% year-on-year. As of the end of 2025, the industry’s total assets reached 41.31 trillion yuan, an increase of 15.06% from the beginning of the year.

Hua Yuan Securities pointed out that the overall balance of stock investments was 3.73 trillion yuan, a year-on-year increase of 53.8%. It is expected that, on one hand, this is due to the relatively favorable secondary equity market conditions since 2025, leading to an increase in asset fair value; on the other hand, it is also due to insurance funds responding to the implementation of policies encouraging medium- and long-term capital market entry and increasing equity asset allocation. Under the high growth rate of premium income and the “slow bull” expectation of the equity market, it is expected that the balance of insurance funds’ investments in 2026 will maintain double-digit growth, and the proportion of equities is likely to continue rising. Investment income from assets is expected to drive improvements in insurance company profitability.