China Financial Supervisory Authority: The risk factor for common stocks listed on the Science and Technology Innovation Board for insurance companies that have been holding positions for more than two years was lowered from 0.4 to 0.36

Zhitong Finance App learned that on December 5, the China Financial Supervision and Administration issued a notice on adjusting risk factors related to insurance companies' business. The notice mentioned that the risk factors for the Shanghai and Shenzhen 300 Index constituent stocks and the China Securities 100 Index constituent stocks that have been holding positions for more than three years have been lowered from 0.3 to 0.27. This position holding time is determined based on the weighted average holding time over the past six years. The risk factor for common stocks listed on the Science and Technology Innovation Board where insurance companies have held positions for more than two years was lowered from 0.4 to 0.36. This position holding time is determined based on the weighted average holding time over the past four years.

The original text is as follows:

Notice of the State Financial Supervisory Administration on adjusting risk factors related to insurance companies' business

Gold Standard [2025] No. 24

Financial supervisory authorities, insurance group (holding) companies, insurance companies:

After research, the notice on business risk factors related to insurance companies is as follows:

1. The risk factors for the Shanghai and Shenzhen 300 Index constituent stocks that have been held by insurance companies for more than three years and the China Securities Dividend Low Volatility 100 Index constituent stocks were lowered from 0.3 to 0.27. This position holding time is determined based on the weighted average holding time over the past six years.

2. The risk factor for common stocks listed on the Science and Technology Innovation Board where insurance companies have held positions for more than two years was lowered from 0.4 to 0.36. This position holding time is determined based on the weighted average holding time over the past four years.

3. The premium risk factor for insurance companies' export credit insurance business and China Export Credit Insurance companies' overseas investment insurance business was lowered from 0.467 to 0.42, and the reserve risk factor was lowered from 0.605 to 0.545.

4. Insurance companies should improve internal control, accurately measure the holding time of investment stock positions, and continuously improve long-term capital investment management capabilities.

5. Insurance companies should strengthen solvency management, accurately measure all types of venture capital requirements, and ensure that all solvency data is true, accurate and complete.

6. If the provisions of other documents relating to the above business risk factors are inconsistent with this Notice, this Notice shall prevail.

This article was selected from the official website of the “China Financial Supervisory Administration”. Zhitong Finance Editor: Liu Jiayin.