Hong Kong-listed mainland insurance stocks continued to rise. As of writing, China Life (02628) increased by 4.03% to HK$27.38; PICC Group (01339) rose 1.62% to HK$5.63; New China Life Insurance (01336) climbed 1.48% to HK$47.86; and China Pacific Insurance (02601) advanced 1.01% to HK$34.04.

Recently, listed insurers have successively disclosed their 2025 annual reports. According to Guosen Securities statistics, benefiting from the flexibility on the investment side and continuous optimization of liability structures, the top five listed insurers collectively achieved operating revenue of 2,928.129 billion yuan, an increase of 7.8% year-on-year from a high base. Combined net profit attributable to shareholders reached 425.291 billion yuan, up 22.4% from the previous year.

Huachuang Securities noted that recent geopolitical impacts led to market adjustments, which affected the investment side and caused some pullback in the insurance sector. Currently, most insurers' valuations are below the 50th percentile of the past decade, indicating that bottom values have emerged. In the short term, Q1 2026 performance is expected to face pressure due to capital market fluctuations. Over the medium to long term, regulatory and industry-wide efforts are gradually optimizing liability costs, and the risk of significant "negative interest spreads" for leading companies is largely resolved, with PEV valuations expected to recover toward 1x.