Equity holdings exceed 1.2 trillion! "Leader of life insurance" releases annual report, Honghu Fund announces scale data for the first time
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On the evening of March 25, China Life released its 2025 annual report.
Data shows: this "leading life insurer" achieved an operating income of 615.678 billion RMB in 2025, up 16.5% year-on-year; net profit was 154.078 billion RMB, up 44.1% year-on-year.
In 2025, China Life's total premiums broke 700 billion RMB for the first time, reaching 729.887 billion RMB, up 8.7% year-on-year.
For key investment details, China Life revealed: as of the end of 2025, the scale of open-market equity investments exceeded 1.2 trillion RMB, an increase of more than 450 billion RMB from the beginning of the year.
Insider also found: in this annual report’s “nooks and crannies,” China Life for the first time officially disclosed the scale of the Honghu Fund, which has attracted particular market attention.
Multiple Indicators Rank First in Global Life Insurance Industry
As of December 31, 2025, China Life’s total assets and investment assets were 7.59 trillion RMB and 7.42 trillion RMB, respectively, and equity attributable to shareholders of the parent company reached 595.205 billion RMB, up 16.8% year-on-year.
By the end of the reporting period, China Life’s comprehensive solvency adequacy ratio was 174.01%, and core solvency adequacy ratio was 128.77%, continuously maintaining sufficient levels; the company had a total of 327 million valid long-term insurance policies.
Insider also noted: as of the end of 2025, China Life’s life and health insurance reserve scale data ranks first among global life insurance companies.
2025 Yield Exceeds 6%
China Life's annual report shows: In 2025, the company achieved total investment income of 387.694 billion RMB, an increase of 79.443 billion RMB compared to the same period in 2024; the total investment yield was 6.09%, up 59 basis points from the same period in 2024.
This life insurance giant’s average total investment yield for 2023-2025 was 4.76%.
Honghu Fund Officially Declared as a Trillion-RMB Private Placement
China Life disclosed an important detail in the annual report:
“Vigorously advancing mid-to-long-term capital entry into the market, seizing market opportunities and resolutely increasing equity investment; the scale of open-market equity investments exceeded 1.2 trillion RMB, up by more than 450 billion RMB from the start of the year. Continuing to make good use of innovative models for private securities investment funds, with cumulative fundraising scale exceeding 100 billion RMB, supporting the development of the capital market and forming a demonstration effect.”
The statement “continuing to make good use of innovative models for private securities investment funds, with cumulative fundraising scale exceeding 100 billion RMB” means China Life for the first time publicly stated: its jointly held secondary private placement Guofeng Xinghua with New China Life, i.e., the manager of Honghu Fund, reached a total scale of over 100 billion RMB by the end of 2025.
Honghu Fund can be said to have officially “announced” its upgrade to a trillion-RMB stock private placement in China.
Continuing to Allocate High Dividend Stocks
Regarding last year's investment operations, China Life disclosed: the company’s investment assets reached 7.42 trillion RMB, up 12.3% from the end of 2024; allocation proportions for bonds, time deposits, and fixed-income financial products remained basically stable.
Additionally, China Life's allocation proportion for stocks and funds (excluding money market funds) increased from 12.18% at the end of 2024 to 16.89%, explaining: “The main reason is that the company seized market opportunities and decisively increased equity investment, leading to a significant rise in equity investment scale.”
For details on specific major asset allocations, the following description was provided:
In 2025, bond market rates fluctuated slightly at low levels, and spreads for extra-long maturities widened; the stock market performed strongly overall, with obvious structural differentiation. The company adhered to asset-liability linkage management and principles of long-term, value, and prudent investing, continuously improving investment professionalism and dynamically optimizing major asset allocation, constantly enhancing portfolio income stability and long-term return potential.
For fixed income, they flexibly adjusted allocation rhythm and strategies, continuously solidifying the base allocation.
For equity investment, they vigorously promoted mid-to-long-term capital entry, seized opportunities, resolutely increased equity investment, actively invested in areas related to new productive forces, and steadily carried out high dividend stock allocation.
For alternative investment, they focused on quality entities and core assets, innovated investment modes, and strengthened forward-looking layouts. The company maintained prudent asset allocation and overall excellent asset quality.
Total Premiums Break 700 Billion RMB for the First Time
In 2025, China Life’s total premiums broke 700 billion RMB for the first time, reaching 729.887 billion RMB, up 8.7% year-on-year.
Among them, first-year premiums for 10-year and longer terms reached 52.197 billion RMB, accounting for 44.92% of first-year premiums; in individual insurance channels, first-year premiums for 10-year and longer terms surpassed 58% of first-year premiums.
As of December 31, 2025, the company’s total sales force numbered 638,000, maintaining industry leadership, with continuous improvement in professionalism, specialization, and youthfulness.
New premium proportions for life, annuity, and health insurances were 31.75%, 32.11%, and 31.23%, respectively; significant efforts pushed business structure transformation, with floating income business achieving strong growth, accounting for nearly 50% of first-year premiums, marking successful business structure transformation.
Rapid Growth in Participating Insurance
In 2025, China Life’s individual insurance channel total premiums were 551.79 billion RMB, up 4.3% year-on-year.
This life insurance giant stated: over the past year, vigorous promotion of floating income products led to rapid growth of participating insurance business, pushing the proportion of first-year participating insurance premiums in individual insurance channels to nearly 60%, becoming a strong pillar for new premiums.
Main products gradually strengthened mid-to-long-term sales orientation, payment periods and insurance terms became more diverse, and insurance types and business structure of first-year individual insurance premiums became more balanced. New-business value for individual insurance channels in one year reached 39.299 billion RMB, up 25.5% year-on-year.
As of December 31, 2025, the individual insurance sales force numbered 587,000, still the industry leader, including 371,000 in the marketing force and 216,000 in the collection and expansion force.
Bancassurance Channel Is a Key Focus
In 2025, China Life's bancassurance channel saw comprehensive improvement in core indicators, with total premiums reaching 110.874 billion RMB, breaking the 100 billion mark, up 45.5% year-on-year; new premiums reached 58.506 billion RMB, up 95.7% year-on-year, with the proportion of new participating insurance premiums up about 15 percentage points year-on-year.
Why is the bancassurance channel important for life insurance?
Simply put, banks have many outlets, customers, and high trust. Through bank channels, life insurers can quickly reach vast depositors and bring insurance products to more people. Compared to building their own sales force, bancassurance channels have lower costs and faster volume growth, making them a key position for growing premium scale and expanding new customers.
As of now, China Life has partnered with over 100 banks; new policy issuing outlets reached 77,000, up 25.9% year-on-year, and star-rated outlets increased by 49.1% year-on-year. The bancassurance channel has 20,000 client managers, with per capita production capacity up 53.7% year-on-year.
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