Shanghai FTA Insurance Preferential Policies Continue To Expand The Scope

The State Council has decided to set up three free trade zones in Fujian, Tianjin and Guangdong, marking the new stage of China's free trade area construction. A new round of high level opening up and wider range of reform pilot projects are accelerating.

In order to better support the construction of the free trade area and promote the replication of the pilot experience of the free trade zone, the CIRC will decide to expand the 11 supporting policies to support the development of the Shanghai free trade zone's insurance industry to Fujian, according to the requirements of the State Council on the promotion of the experience of the pilot reform of the free trade area of China (Shanghai) and the relevant pilot projects.

Guangdong's three new free trade zones and the Shanghai free trade zone expansion area.

Next step,

According to the overall plan of Fujian, Tianjin and Guangdong free trade area, we should formulate more targeted support policies and implementation plans to promote the insurance industry to better participate in and serve the construction of the free trade area.

The CIRC said that the three places have been formally approved by the Bureau of insurance, which requires timely implementation of the detailed rules and regulations.

The strategic positioning and development reality of Tianjin and Guangdong free trade area are gradual and orderly.

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Supporting policies include: Innovating the insurance product management system, allowing the local shipping insurance association to make trial Development Association provisions, improving the efficiency of product development and utilization, innovating the management system of insurance institutions and executives, canceling the local shipping insurance operation center, reinsurance companies set up branches in the free trade area, and approving the qualification of senior managers of insurance companies in the free trade area.

With the support of regulators for innovation and the gradual liberalization of the derivatives market, China's current financial derivatives tools are in a rich variety of processes.

At present, domestic hedge funds are mainly based on stock equity (alpha Fund) and arbitrage.

"Before 2010, the private placement of sunlight is only a strategy of stocks. After the launch of Shanghai and Shenzhen 300 stock index futures, quantitative hedging strategies will be developed rapidly. With the advent of new derivatives tools, there will be thirty to forty hedge fund strategies in the future," the industry expects.

It is estimated that by the end of last year, there were about 300 quantitative investment products, compared with about 100 in 2013.

At present, the amount of domestic quantitative pactions is about 50 billion ~1000 billion yuan, and almost all public private placement, large brokerages, Futures Company, trust companies, banks and so on have begun issuing quantitative hedging products.

With the large-scale expansion of the financial market, more and more high net worth customers seek financial products with value added.

Because of the low risk and considerable benefits of quantifying products, a large number of such investors are favored.

However, we must not neglect that quantitative investment is also faced with bottlenecks such as high paction costs, relatively simple hedging tools, and scale.

"Quantitative investment is not a good model, but it has found a magic weapon for making money. It needs to constantly develop new strategies and adapt to market changes, and expect more derivatives from the market, and the market space will be immeasurable."

Ding Peng, chief strategist at China Eastern Airlines, said that quantitative hedging is just like the Internet plus 15 years ago. It has just started. There are many problems and many opportunities.

Regarding the preparation for the two index futures, Ding Peng said that preparations are simple, and that Shanghai 50 and China Securities 500 stock index futures will be used as other Shanghai and Shenzhen 300 stock index futures.

Stock index futures are only derivatives tools. Quantitative investors need to focus on these two indices.

Among them, SSE 50 has a high dividend payout ratio. Investors should earn dividends and earn 500 of Alfa's earnings.

Public offering has also been actively preparing for two new index futures.

In the near future, Yi Fang Da sells the 50 index of Yi Fang Da SSE first, and finalized the subscription because of the hot subscription. The classification fund can implement diversified investment strategies with 50ETF options, Shanghai 50 Futures and Shanghai 50ETF.

According to the fund's recruitment data disclosed by the SFC, for the launch of two new stock index futures, many companies are declaring similar products, such as the steady Alfa's regular open hybrid launching style, the CSI 50 Index grading fund, the Shanghai Huaan 50 Index grading fund.

In addition, the public fund accounts are on the way to quantify hedging.

A public official in Shanghai said that such products might have policy implications in the future. Insurance companies allowed investment in futures classes from last year, and they will invest more and more through fund accounts. The company where the public offering staff is also fully prepared.

At present, CICC has only listed two varieties of Shanghai and Shenzhen 300 stock index futures and 5 year treasury bond futures. Among them, investors generally use Shanghai and Shenzhen 300 stock index futures to hedge risks.

As SSE 50 and CSI 500 stock index futures will be traded in April 16th, institutional investors represented by public funds have already been fully prepared for war, and the introduction of related innovative products has clearly won the recognition of many investors.