An Empirical Study On The Optimal Strategy Of Insurance Portfolio In China

In recent years,China’s insurance market has developed rapidly,and the premium income and insurance assets have maintained rapid growth.In 2017,China’s premium income has increased from 564.1 billion yuan in 2006 to 3.6 trillion yuan,and the total amount of insurance assets is also 1.97 trillion.The yuan has increased to 16.9 trillion yuan,and the insurance industry has become a new growth point for promoting social and economic progress.Underwriting business and investment business as the source of profit for insurance companies are crucial to the continued stable operation of insurance companies.According to the insurance development path of developed countries,with the fierce market competition,the profit margin of underwriting business will become smaller and smaller,and investment business has become the top priority of insurance company management.China has issued a series of documents on insurance capital investment,but China’s insurance companies still have problems in investment risk security and low yields in the investment process.Therefore,how to use insurance funds reasonably becomes a problem worth studying.This paper analyzes the use of insurance funds in China and compares them with the situation of developed countries to explore how the insurance industry in China can be better under the financial environment of financial deepening reform,China Insurance Regulatory Commission opening investment channels and regulatory ratio.Make good use of the balance of funds to promote the rapid development of the company and the industry.The article first introduces the use of insurance funds in China.A brief review of the history of domestic insurance fund investment development,and multi-dimensional analysis of the status quo of the use of insurance funds in China,compared with developed countries such as Europe,the United States,Japan,found the shortcomings and made recommendations.Then according to the Markowitz portfolio model,the mean-variance model is established by means of empirical research.According to the actual market,the constant variable selection is carried out,and the optimal investment portfolio of insurance capital application is obtained through analysis and calculation.Ping An Insurance Group,which has a large market share in China,uses the model to derive the proportion of asset investment under the theory according to its use of funds,and compares it with the actual investment ratio to obtain the actual investment ratio of Ping An Insurance Group.It still does not reach the optimal combination ratio,and its use rate of insurance funds needs to be further improved.At the same time,for a single asset,it is necessary to grasp the reasonable scale of its investment.Finally,it is proposed that,in terms of the entire insurance market,it is necessary to enrich channel investment,expand business,appropriately reduce the proportion of bank deposit investment,carefully invest in stocks,and improve the capital market.