Study On The Risk Of Alternative Investment In China Life Insurance

The economic background of asset shortage makes the allocation ability of insurance funds become an important business activity of insurance enterprises,and the ability of using insurance funds becomes a core ability of insurance enterprises ' market competition;Moreover,in the downward interest rate,the rate of return of traditional insurance funds is reduced;In addition,in 2014,The CIRC further liberalized the regulatory policies for the use of insurance funds,which have led to the rapid rise of alternative investment in insurance,one important reason being the higher yield of alternative investments in insurance.The position of alternative investment in the allocation of insurance assets is more and more important,as of August 2017,the balance of China's insurance funds reached 14,462,591,000,000 yuan,of which the alternative investment of 5,582,661,000,000 yuan,accounting for 38.61%.Based on the objective of risk prevention,this paper first introduced the basic concept of alternative investment,sorting out the general situation of China Life insurance Alternative investment,from the scale,structure and benefits of three aspects of the status quo,the scale of alternative investment with the increase in the use of insurance funds,and constantly increase;Its proportion in the allocation of insurance assets is also increasing rapidly,the yield of alternative investment is higher than the overall yield of insurance fund investment,and it plays the role of earning rate in a certain extent.Secondly,from the microscopic point of view,the main analysis of China's life insurance Alternative investment risks,from the liquidity risk,credit risk,interest rate risk,exchange rate risk and policy risk,and other aspects of the liquidity risk mainly from the asset-liability period mismatch and the characteristics of the alternative investment itself two points to analyze;Credit risk is a qualitative analysis from the aspect of credit default risk;Interest rate risk focuses on analyzing the influence of interest rate fluctuation on alternative investment assets;exchange rate risk is the analysis of the impact of exchange rate fluctuation on insurance companies ' foreign alternative investment assets;policy risk focuses on the impact of regulatory policy changes on insurance alternative investment.Finally,based on the experience of American and British Insurance Alternative investment,this paper puts forward the risk prevention and control countermeasures of alternative investment from the two stages of risk prevention mechanism before alternative investment and risk preventi mechanism after alternative investment.