Study On The Behavior And Market Impact Of Insurance Funds Acquisition For Listed Companies In China

With the continuous development of our national economy,the insurance industry is growing rapidly in terms of total premium income and total asset size,but there is still a certain gap between the overall level of development of the insurance industry in China and the more mature countries in the industry.In the use of insurance funds investment is more prominent.Up to the second half of 2017,the balance of insurance funds has exceeded 14 trillion yuan,insurance financial institutions investors have become an important participant in the capital market of our country.In recent years,the internal competition in the insurance industry is becoming more and more fierce,and most of the underwriting profits of insurance companies are gradually shrinking,so the importance of investment business in the daily operation of insurance companies is gradually shown.Under the background of the rapid development and expansion of insurance industry and the gradual relaxation of the investment scope of insurance funds,the insurance funds with large scale and high concentration have invested heavily in the listed companies,and the acquisitions have frequently appeared.Including the cases of Baonengxi acquisition for Vanke taking Foresea life insurance as a representative have become the focus of attention of the market.This paper attempts to carry on the research around the investment behavior of the domestic listed company of raising the acquisition of the insurance fund,first summarizes the behavior of raising the acquisition and its evolution,the system stipulation and so on,then carries on the summary to the investment of the insurance fund.This paper deeply analyzes the internal reasons of the market phenomenon of insurance capital acquisition for domestic listed companies and the choice logic and strategy of the acquisition target,and then studies the market influence of the acquisition behavior,and summarizes the significance and function of the acquisition behavior.Finally,the investment strategies of insurance funds and the policies of regulatory departments are proposed,and the future development trend of the investment of insurance funds in the stock market is forecasted.Through the combination of theory and practice,this paper makes a deep research on the behavior of domestic listed companies with insurance fund raising from different angles,and summarizes the influence of acquisition on the market,and draws the following main conclusions:It is not an accidental behavior for domestic listed companies to acquisition insurance funds,there are many deep-seated reasons,the insurance funds will continue to increase investment in the domestic stock market in a period of time.The main purposes of the insurance capital acquisition for listed companies in China is to obtain long-term and stable investment returns,optimize the structure of assets and liabilities,and improve the financial statements.Therefore,it tends to invest in high quality listed companies with the characteristics of large market value,low price-earnings ratio,high return on net assets,dividend yield,profitability and so on.The acquisition behavior of insurance funds in the secondary market will push up the share prices of listed companies listed by the listed companies,and can significantly improve the level of trading activity of acquisition companies in the short term.