Ping An reports 6.8% rise in H1 net profit

Written by Adam Cadle

22/08/2024

Ping An has reported a 6.8% rise in first-half net profit, driven by growth in new insurance policies and its move to secure long-term investments amid market volatility.

The Chinese insurer posted a net profit of 74.62bn yuan ($10.46bn) up from 69.84bn yuan in the same period last year.

Ping An's insurance funds investment portfolio reached an annualised comprehensive investment yield of 4.2% in the first half of this year, compared to 4.1% in the same period a year ago.

The results come as Chinese insurers are grappling with declining investment yield as a bond rally has pushed yields to record lows, powered by institutional investors that seek a safe haven from a slowing economy.

The firm has lengthened asset durations and locked in long-term returns by increasing allocation to long-duration low-risk bonds, including central and local government bonds and policy bank bonds at a faster pace, it said.

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