China Financial Daily:Introducing Liquidity Monitor

China Taiping held its Open Day in Shanghai today. The overall tone of theevent was quite positive, with management detailing the healthy progress oftheir core business YTD, and reiterating their “boutique strategy” to focus onLife, P&C and investments. Key takeaways are as follows: On life business,5M17 agency regular FYP grew 56.3% yoy, ranked fourth in the industry.

    Health ins FYP recorded rapid growth of 143.4% yoy to Rmb3,142mn,accounting for 17.2% of agency FYP (vs. 10.7% in 5M16). The companyachieved Rmb11bn of regular FYP during jumpstart, driven by savingsproducts with 2.5% guarantee rate. Management expects tightenedregulations on SMT products to result in lower premium per policy, but shouldhave limited impact on overall volume and value growth, thanks to their strongcustomer base and quality agency force. Management believes par productswill continue to be the dominant product in the market, while health insurancewill grow in importance.