The net inflow of institutional funds to the insurance stocks accelerated to 722 million yuan

The fundamentals of insurance companies are expected to continue to improve, underpinned by two factors such as investment income exceeding expectations and rapid growth in new business value. In this context, insurance stocks are becoming the target of the two-tier market. Yesterday, China's safe approaching trading, led the Chinese Tai Bao and China Life strong higher.　　According to the relevant statistical data of the Panorama network, the funds of institutions are accelerated into the insurance stocks, and the net inflow reaches 722 million yuan. The three major insurance stocks yesterday's rally exceeded the Shanghai Composite Index by 2.1%, becoming the focus of capital inflows. Among them, Ping An, China's Tai Bao, China Life, respectively, 8.94%, 6.09%, 4.82% of the increase show strong trend.　　In China, Ping An and China's Tai Bao are all refreshed 60 yuan and 27.58 yuan since May 2008 the highest price, China Life also climbed the June 2008 's highest price of 29.96 yuan. Analysts say institutional funding is the main driver of the insurance stock boom. Data show that 14th a day, the main insurance sector net buy 515 million yuan, up to 6.19%, the net inflow of funds to 717 million yuan, of which the institutional capital flow reached 722 million yuan, retail capital outflow 4 million yuan.　　China's Ping An one-day main fund net inflow amounted to 316.9 million yuan, the Chinese Tai Bao inflow of more than 150 million yuan, are among the net capital inflow of the top five. Behind the institutional push to raise the insurance stock is the improvement of insurance companies ' fundamentals. The investment income surpasses the anticipation and the insurance new business value fast growth, has constituted the insurance plate fundamental to be good two main factors. Huatai Securities analyst Peng pointed out that May-June insurance investment funds growth faster, there is a significant increase in the market, and the current markets are at the relative bottom, which means that insurance companies risk portfolio of market capitalisation also has a larger rise in space, it will greatly improve the insurance company's net assets, dividends of dividend stocks, the universal product of the smooth reserve.　　If the trend of future stock indices is established, there is still much room for the valuation of insurance companies. As for the insurance business, while the industry premium remained steady growth in June, the adjustment of insurance premium structure increased the expectation of new business value growth, and the new business value of the company is expected to maintain a relatively fast growth in the future. "This is a strategic opportunity for long-term investors," Peng said. "From a single company perspective, Fundamentals are also showing signs of improvement."　　Haitong Securities analysts pointed out that China's safe in the high margin of proxy channels have a clear competitive advantage, the acquisition of deep development of the bank's main business expansion nearly one times, Fortis investment losses fully account for the company's main risk can be released, the company's fundamentals appear to improve the trend. In the context of the Shanghai International Financial Center, the Chinese Tai Bao as the only insurance company, its valuation level in three insurance companies are at the lowest level.　　In addition, the business growth potential is the company's bright spot, judging from the high growth in its new business value of more than 25% per cent in the 2009-year quarter. Have access to large state-owned banks strategic investor capital before listingLattice advantage of China Life, the first half of the business structure adjustment is greater, so that the new business value to maintain rapid growth, the company's prudent business strategy is also considered to enhance its ability to resist risk in the weak market. The first half of the insurance sector with about 70% of the gains to win the market to make the agency confidence in the insurance stocks, and the large influx of funds to show that the agency on the fundamentals of insurance stocks continue to be bullish. In the interim report has been released, the insurance industry in the securities recommended by the top companies, a number of brokers are optimistic about the insurance stocks, and the second half of the insurance stocks are expected to still have a large increase in space. The fund is also generally bullish on insurance stocks and expects 5% to 10% increase in insurance stocks in the future, with the expectation of investment in unlisted equity and property, and the effect of insurance companies to improve underwriting business structure.