Chinese Insurers’ Stock Buying Bolsters Case for Slow Bull Run

Chinese insurance firms have increased their equity exposure to the highest level in at least three years, heeding Beijing’s call to build a slow and steady bull market.

Equity holdings by the cohort rose 640 billion yuan ($90 billion) in the first six months of the year to 3.1 trillion yuan, according to regulatory data, the highest level since 2022. Brokerages expect more buying, with Morgan Stanley estimating that insurers will plough more than 1 trillion yuan into China and Hong Kong shares this year.

The wave of purchases marks the latest show of confidence in a market that’s posted ...