The popularity of insurance capital stake acquisitions has plummeted, and the logic of equity investment is quietly shifting.

Title context: Text: A recent review by reporters found that, compared with the aggressive wave of insurance capital stake acquisitions last year, the pace has slowed markedly this year. Announcements by the Insurance Association of China as of the end of September show that insurance capital made 6 stake acquisitions this year. Including 2 deals announced this year but carried out at the end of last year, the total comes to 8, far below the roughly 30 stake acquisitions in the same period last year. A major reason behind the sharp drop in the number of insurance capital stake acquisition cases is that insurance institutions have become more low-key in their investment positioning. An investment head at an insurance company told reporters that to avoid triggering excessive market attention, the company pays special attention to thresholds such as the 5% or 10% stake acquisition lines, and unless a target clearly warrants an above-threshold investment, it will try to avoid touching those levels. With the equity ratio at a historic high, insurance capital is becoming more prudent in its allocation. Under low interest rates, the reinvestment needs of insurance funds and the volatility risk brought by high equity positions have become important issues that insurance institutions need to balance and resolve. A chief investment officer at a foreign-funded life insurer told reporters that this year the company will keep the proportion of equity assets stable, with the focus on optimizing the structure.