External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

Equity Bottom-Up

China Life Insurance Co H / Equity Bottom-Up

<ul><li>China Life disclosed 3Q results with net profit attributable to shareholders declined by 36.0% YoY in 9M23, indicating a net loss of RMB610mn in 3Q23 (vs a net gain of RMB16.2bn in 3Q22).</li><li>The drop under the old standard was sharper, shown as - 47.8%/-99.1 YoY in 9M/3Q23. We see the 3Q net earnings setback a result of: 1) pressured investment income, with total investment yield down to 2.81%, -1.22pct/- 0.52pct from 9M22/1H23; and 2) enlarged impairment loss on equities of RMB19.7bn in 3Q, versus RMB9.1bn in 2Q (+117% QoQ).</li><li>Despite investment underperformance, the company showed in-line NBV growth by +14.0% YoY in 9M23, driven by +14.8% YoY in first-year premiums (FYP). We estimate that 3Q NBV was down by ~6% YoY, possibly caused by certain demands released in advance before Jul 31. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Life disclosed 3Q results with net profit attributable to shareholders declined by 36.0% YoY in 9M23, indicating a net loss of RMB610mn in 3Q23 (vs a net gain of RMB16.2bn in 3Q22).The drop under the old standard was sharper, shown as - 47.8%/-99.1 YoY in 9M/3Q23. We see the 3Q net earnings setback a result of: 1) pressured investment income, with total investment yield down to 2.81%, -1.22pct/- 0.52pct from 9M22/1H23; and 2) enlarged impairment loss on equities of RMB19.7bn in 3Q, versus RMB9.1bn in 2Q (+117% QoQ).Despite investment underperformance, the company showed in-line NBV growth by +14.0% YoY in 9M23, driven by +14.8% YoY in first-year premiums (FYP). We estimate that 3Q NBV was down by ~6% YoY, possibly caused by certain demands released in advance before Jul 31. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Life (2628 HK) – 3Q NP Dragged by Investment Setbacks

<ul><li>China Life delivered strong VNB growth of +19.9% in 1H23, beat market expectation given its more value-focus product strategy in traditional life and annuities amid the first-half trend in savings sales among peers.</li><li>Despite an improved underwriting structure, the insurer’s net profit down by 8.0% in 1H23 (vs +17.8% in 1Q23), translating to -24.4% in 2Q23, primarily hurt by investment loss given a bumpy equity market in 2Q23,</li><li>We believe the interim NP pushback is in short-term, and expect the more balanced product and channel mix to drive the insurer’s long-term value growth amid an industry-wide product shift in 2H2</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Life delivered strong VNB growth of +19.9% in 1H23, beat market expectation given its more value-focus product strategy in traditional life and annuities amid the first-half trend in savings sales among peers.Despite an improved underwriting structure, the insurer’s net profit down by 8.0% in 1H23 (vs +17.8% in 1Q23), translating to -24.4% in 2Q23, primarily hurt by investment loss given a bumpy equity market in 2Q23,We believe the interim NP pushback is in short-term, and expect the more balanced product and channel mix to drive the insurer’s long-term value growth amid an industry-wide product shift in 2H2Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Life (2628 HK) – Outpaced VNB Growth in 1H23

Articles from Caixin Global, Caixin Global

Caixin Global

Articles from Caixin Global

Caixin is a media group dedicated to providing financial and business news through periodicals, online content, mobile apps, conferences, books and TV/video programs. Caixin aims to blaze a trail that helps traditional media prosper in the new media age through integrated multimedia platforms.

News from Caixin

Cross Asset Strategy

<ul><li>Kissinger /: China mourns loss of ‘old friend’ Kissinger</li><li>Shanghai /: Xi’s Shanghai visit focuses on tech innovation, affordable housing</li><li>Migrant workers /: China aims to ensure migrant workers get paid before Lunar New Year</li></ul>

Kissinger /: China mourns loss of ‘old friend’ KissingerShanghai /: Xi’s Shanghai visit focuses on tech innovation, affordable housingMigrant workers /: China aims to ensure migrant workers get paid before Lunar New Year

CX Daily: China Mourns Loss of ‘Old Friend’ Kissinger 

Thematic (Sector/Industry)

<ul><li>The NAFR announced Life and P&amp;C premium income of all registered insurers in Sep, showing trends that: 1) the liability side of the sector continued to improve, despite recent regulatory tightening on channels, products and agent behaviour.</li><li>Personal life reversed a negative monthly YoY from -0.2% in 8M23 to +0.9% in 9M23 (Fig 1), and P&amp;C strengthened growth to +5.9% YoY in 9M23 (vs +3.2% YoY in 8M23), driven by an upward auto growth of 6.9% YoY in 9M23; 2) total investment assets expanded to RMB27.2tn in 9M23, up 8.5% from 12M22, with allocation in bonds increased to 44.0% in 9M23 (vs 43.6% in 8M23), and in stocks and equity funds down to 12.8% (-0.1pct from 8M23, Fig 15).</li><li>We believe the upward trend in long-term yields, evidenced by GCNY10 staying above 2.7% since mid Oct (Fig 18), will continue to benefit investment returns and asset performances of the sector, to serve as a shore-up for the sector’s valuation.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

The NAFR announced Life and P&amp;C premium income of all registered insurers in Sep, showing trends that: 1) the liability side of the sector continued to improve, despite recent regulatory tightening on channels, products and agent behaviour.Personal life reversed a negative monthly YoY from -0.2% in 8M23 to +0.9% in 9M23 (Fig 1), and P&amp;C strengthened growth to +5.9% YoY in 9M23 (vs +3.2% YoY in 8M23), driven by an upward auto growth of 6.9% YoY in 9M23; 2) total investment assets expanded to RMB27.2tn in 9M23, up 8.5% from 12M22, with allocation in bonds increased to 44.0% in 9M23 (vs 43.6% in 8M23), and in stocks and equity funds down to 12.8% (-0.1pct from 8M23, Fig 15).We believe the upward trend in long-term yields, evidenced by GCNY10 staying above 2.7% since mid Oct (Fig 18), will continue to benefit investment returns and asset performances of the sector, to serve as a shore-up for the sector’s valuation.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

<ul><li>Israel-Palestine /Cover Story: Hamas attack on Israel reignites region’s cycle of violence</li><li>Fraud /: Hong Kong takes aim at banking fraud as complaints surge</li><li>Securities /: China tightens rules for short selling to prop up stocks</li></ul>

Israel-Palestine /Cover Story: Hamas attack on Israel reignites region’s cycle of violenceFraud /: Hong Kong takes aim at banking fraud as complaints surgeSecurities /: China tightens rules for short selling to prop up stocks

CX Daily: Hamas Attack on Israel Reignites Region’s Cycle of Violence

China

China Life Insurance Company Ltd. offers a wide range of life, accident, and health insurance products and services.

China Life Insurance Co H (2628 HK)

China Life (2628 HK) – 3Q NP Dragged by Investment Setbacks

China Life disclosed 3Q results with net profit attributable to shareholders declined by 36.0% YoY in 9M23, indicating a net loss of RMB610mn in...

CMB International

China Life (2628 HK) – Outpaced VNB Growth in 1H23

China Life delivered strong VNB growth of +19.9% in 1H23, beat market expectation given its more value-focus product strategy in traditional life...

CMB International

CX Daily: China Mourns Loss of ‘Old Friend’ Kissinger

Kissinger / China mourns loss of ‘old friend’ Kissinger Henry Kissinger, the former U. S. Secretary of State who was a key figure in the...

Caixin Global

China Insurance – 9M23 Monthly

We believe the upward trend in long-term yields, evidenced by GCNY10 staying above 2.7% since mid Oct, will continue to benefit investment returns

CMB International

CX Daily: Hamas Attack on Israel Reignites Region’s Cycle of Violence

Israel-Palestine /Cover Story: Hamas attack on Israel reignites region’s cycle of violence Fraud /: Hong Kong takes aim at banking fraud as...

Caixin Global