--- title: "Ping An eyes Hong Kong ETFs after nod on cross-border investment" type: "News" locale: "en" url: "https://longbridge.com/en/news/296631559.md" description: "Ping An Insurance is considering investing in Hong Kong-listed ETFs to boost returns, following regulatory approval for cross-border allocations. This move aims to diversify mainland insurers' investment strategies and strengthen ties between the two capital markets. Despite recent tightening of controls on offshore wealth management, Ping An executives stated that new tax policies have a negligible impact on their business. The company reported strong H1 net profit growth, driven by investment income, and remains optimistic about the long-term potential of life insurance amidst low-interest-rate environments." datetime: "2026-08-21T14:39:22.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/296631559.md) - [en](https://longbridge.com/en/news/296631559.md) - [zh-HK](https://longbridge.com/zh-HK/news/296631559.md) generator: "portal-rs" --- # Ping An eyes Hong Kong ETFs after nod on cross-border investment Ping An Insurance (Group), China’s largest insurer in terms of market capitalisation, is eyeing investments in Hong Kong-listed exchange-traded funds (ETFs) to boost returns following Beijing’s green light for cross-border allocations, according to senior executives. “Allowing mainland insurance funds to invest in Hong Kong listed ETFs is set to tighten the ties between Hong Kong and the mainland capital market,” said Richard Sheng, secretary of the company’s board, after a press conference on Friday. “We will consider various opportunities, including Hong Kong ETFs, in our insurance allocation strategy.” The National Financial Regulatory Administration (NFRA) voiced support on Tuesday for insurance funds investing in ETFs through the Stock Connect schemes, which allow cross-border trading between the mainland China and Hong Kong financial markets. The average daily turnover of ETFs – index funds that track certain stocks – in Hong Kong reached HK$40.6 billion (US$5.2 billion) in the first seven months of 2026, up 22 per cent from a year earlier, according to Hong Kong stock exchange data. “Many Hong Kong ETFs offer exposure to non‑Hong Kong and non‑mainland assets, including overseas investments and various thematic strategies,” said Kenny Tang Sing-hing, chairman of the Hong Kong Institute of Financial Analysts and Professional Commentators. “This can enrich mainland insurers’ investment instruments and strategies, potentially boosting returns without them having to rely solely on Hong Kong or mainland markets.” For Hong Kong’s ETF market, the benefit was “even more obvious”, he said, as insurance capital was typically long‑term and stable, helping to reduce market volatility. Meanwhile, Ping An executives said they were not worried about Beijing’s recent tightening of control over cross-border investment. “The tax policy is not new,” said Xie Yonglin, executive director, president and co-CEO of Ping An. “The tax policy doesn’t yet apply to domestic insurance income, and Ping An’s overseas policy-related business sector is small, so overall impact is negligible.” \[Hong Kong ETFs\] can enrich mainland insurers’ investment instruments and strategies, potentially boosting returns Kenny Tang, Institute of Financial Analysts and Professional Commentators Beijing in recent months has stepped up controls on wealthy mainland families’ use of cross-border wealth management and insurance products. Some local authorities enforced a 20 per cent tax on gains from offshore insurance policies as part of that push earlier this month. Such taxes would reduce the returns of policies bought in Hong Kong and thus enhance the competitiveness of mainland-issued insurance policies. Hong Kong insurance policies invest more in international stocks and bonds, and hence usually provide a higher return than mainland policies, which face more restrictions. Xie said the outlook for the insurer was positive after it reported 36 per cent growth in first-half net profit on Thursday, driven by investment income and sales growth. “The overall economic environment is remaining low-interest-rate for the long term, narrowing the spread for the financial industry, but the life insurance industry on the contrary is entering a golden era, because life insurance offers long-term guaranteed returns and stable yields even in such an environment,” he said. Mainland insurance companies held total assets of 41.31 trillion yuan (US$6.1 trillion) at the end of last year, according to government statistics. As some of the largest institutional investors in the equity markets, they tend to make long-term commitments, typically spanning a decade or more. Beijing has rolled out a number of measures since early 2025, including relaxing capital requirements, to allow mainland insurers to invest between 30 and 40 per cent of their assets in stocks, up from 10 to 20 per cent previously, depending on their asset size. ### Related Stocks - [PNGAY.US](https://longbridge.com/en/quote/PNGAY.US.md) - [02318.HK](https://longbridge.com/en/quote/02318.HK.md) - [601318.CN](https://longbridge.com/en/quote/601318.CN.md) - [82318.HK](https://longbridge.com/en/quote/82318.HK.md) ## Related News & Research - [PING AN Confident of Better Full-Yr NBV Growth; Overseas Policy Gain Tax Impact Nearly Zero](https://longbridge.com/en/news/296570673.md) - [Chinese insurer Ping An’s profit rises 36% on policy sales, investments](https://longbridge.com/en/news/296488170.md) - [These 3 Low- and Min-Vol ETFs Fend Off Market Jitters](https://longbridge.com/en/news/296009552.md) - [3 Low-Cost Vanguard ETFs Every Beginner Needs](https://longbridge.com/en/news/296245365.md) - [PING AN 1H26 Net Profit Up 36.1% to RMB92.585B; Interim DPS Hikes 3.2% to RMB0.98](https://longbridge.com/en/news/296473576.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**