The Insurance Asset Management Association of China (IAMAC) plans to establish a specialised evaluation database covering equity-related products. The association has already begun to gather experts to assess equity investment plans and insurance private equity funds.
These moves follow a call last month by regulators urging insurance companies to invest in stocks and bonds of high-quality listed companies to support the stable and healthy development of listed companies and capital markets. To this end, the CBIRC said it would simplify the registration process for insurers to establish equity investment plans and private equity funds. The CBIRC said that IAMAC would be designated to handle the registration process for the plans and funds. The regulator also encouraged insurers to invest in securities brokerage firms' asset management plans and trust products.
IAMAC will form a market-oriented expert team to evaluate independently insurance equity products. The experts will be appointed for a two-year term.
The selected experts will review the registration materials of the equity products in accordance with relevant laws and regulation, and publish their evaluation opinions.
The main responsibilities of the team include mainly:
(1) conducting a prudent risk assessment of equity products and related businesses, and independently publishing personal professional opinions;
(2) making recommendations on the disclosure of information on equity products and related businesses;
(3) providing professional advice on equity products and related businesses in conjunction with current regulatory requirements and IAMAC self-regulation rules;
(4) conducting research on issues related to equity products and business, and providing suggestions for improving relevant rules and regulations.