Banking and Insurance Institutions' Third Quarter Confidence Survey: Confidence in Equity Investments Recovers Month-on-Month, Willingness to Allocate Increases

The China Banking and Insurance Asset Management Association recently conducted a survey of 198 bank wealth management companies, insurance asset management companies, and insurance companies. The results show that the equity investment confidence index has rebounded compared to the second quarter, with a simultaneous increase in risk appetite and allocation willingness at the equity level, as well as a strengthened consensus on structural opportunities. In the third quarter, the fixed income investment confidence index stood at 50.02, slightly down from the second quarter and close to the neutral line of 50, indicating that the industry has a cautious and balanced assessment of the bond market overall. In terms of fixed income, the association's survey results indicate that short-end easing expectations have converged, while the allocation value of the long end has improved, leading to a more balanced market expectation. Expectations for monetary policy easing are marginally converging, and there is a marginal recovery in confidence regarding long-end interest rates and credit allocation.