China News Service, Beijing, August 29 (Reporter Wang Enbo) Since the outbreak of the new crown epidemic, global financial market volatility has increased, which has brought huge uncertainty to the investment environment.

Ping An’s Chief Investment Officer Chen Dexian said in an interview with a reporter from China News Agency recently that he is optimistic about the opportunities brought by China’s new economic development. Ping An has invested a total of 700 billion yuan (RMB, the same below) in related fields and will continue to expand its layout.

　　As the second-highest financial company in the Fortune Global 500, Ping An has attracted market attention in every move.

The semi-annual report released a few days ago showed that as of the end of June, the company's insurance fund investment portfolio was nearly 3.79 trillion yuan, an increase of 1.2% from the beginning of the year.

However, due to the combined effects of capital market fluctuations and the increase in impairment provision, its annualized net investment rate of return is 3.8%, and the annualized total investment rate of return is 3.5%, which is under pressure compared to the past.

　　Speaking of market conditions this year, Chen Dexian judged that different domestic and foreign assets-including bonds, stocks, exchange rates, etc.-still cannot rule out the possibility of fluctuations.

In particular, the world is currently undergoing an uneven recovery period under the epidemic. The recovery situation is different between countries and industries. Various concerns about the slowdown of economic recovery may bring volatility to the financial market.

　　Chen Dexian also reminded him to beware of some "black swans" and "gray rhinos".

For example, whether the new round of epidemics brought about by the mutant virus can be controlled by the vaccine remains to be tested, and whether the decline in inflation is slower than expected also requires close attention.

In addition, including the stock markets, bond markets, and real estate markets in Europe and the United States, the current global asset valuations are at a historically high level. Whether this will form a bubble, and what impact the bubble may have on China, you must pay attention to it. .

　　How to invest in a turbulent market?

Chen Dexian said that insurance funds focus on long-term investment, and short-term fluctuations will not change this investment strategy.

For example, Ping An of China will use the current policy environment to adjust its investment portfolio structure. Under the circumstance that the future rate of return remains low, the current investment structure that favors bonds and has more capital markets will gradually adjust to the non-capital market with dividends and rent collection. Property assets include office buildings, infrastructure, long-term rental apartments, public rental housing, industrial parks, etc.

　　A typical example is that Ping An of China recently invested about 33 billion yuan to obtain 60% to 70% of shares in six commercial office real estate projects including Shanghai Raffles City from CapitaLand Group and private equity funds.

According to Chen Dexian, the occupancy rate of these properties is above 90%, the annual rental return rate is close to 5.5%, and the long-term investment return rate can reach 7% to 8%.

　　But he also emphasized that the aforementioned rent-collecting assets are definitely not short-term, "we are not real estate speculators."

The purpose of Ping An Insurance's investment-related projects is to manage and collect rents to provide the company with stable rental income.

　　It is worth mentioning that insurance funds have the characteristics of large scale and long maturity. They have natural advantages in serving the real economy and supporting major national strategies, and are highly expected by all parties in the market.

How will insurance capital get involved?

　　"The new economy is an opportunity for us," Chen Dexian said. In the new development cycle in the future, Ping An will pay attention to the fields of new energy, environmental protection and energy saving, carbon neutrality, manufacturing, industrial upgrading, medical and health, and national fitness. This is also the direction that the country advocates and promotes development.

　　Previously, China’s regulatory authorities have clearly stated that they will strengthen policy guidance, support insurance funds to take advantage of their advantages such as long term and stable sources, and serve the high-quality development of the economy, especially supporting insurance funds to increase long-term financial support for advanced manufacturing and strategic emerging industries. .

Chen Dexian believes that in the aforementioned projects, whether equity, debt, or property rights can be matched with insurance fund investment, because these categories are long-term investments.

　　"Ping An needs to allocate a large amount of funds each year. In the next three years, about 500 billion yuan will be invested in that year. Therefore, we must find enough assets to match our liabilities." Chen Dexian revealed that Ping An is in the aforementioned The scale of investment in the field has reached 700 billion yuan, and will gradually expand in this area in the future.

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