Original Title: Anchoring National Strategic Direction, Strengthening the Foundation of the Real Economy: An Interview with Yin Chunping, General Manager of Pacific Asset Management Co., Ltd.
Source: Financial Times
Reporter: Sun Rong
The 15th Five-Year Plan explicitly calls for "growing patient capital and improving the policy framework to support long-term funds entering the market," providing clear direction for insurance capital to leverage its long-term strengths and serve the real economy.
How do insurance funds align with national strategic priorities while adhering to the core principles of value investing, long-term investing, prudent investing, and responsible investing? Recently, a Financial Times reporter spoke with Yin Chunping, General Manager of Pacific Asset Management Co., Ltd., to explore how insurance capital supports the real economy and drives high-quality development. The discussion highlights the company's achievements and strategic布局 in areas such as livelihood protection, green transformation, and service to national strategies.
Financial Times Reporter: Based on its positioning as a patient capital provider, how has CPIC Asset Management leveraged long-term investment principles to build a differentiated investment framework and strengthen cross-cycle allocation capabilities?
Yin Chunping: CPIC Asset Management upholds a value-oriented, long-term philosophy. We assess market dynamics with prudence, maintain a steady asset allocation strategy, continuously refine our diversified investment approach, and build cutting-edge research capabilities.
First, strengthen the stable core portfolio and deepen the dividend value strategy. Amidst extreme market polarization and a zero-sum dynamic, the company has maintained strategic focus by anchoring its asset allocation on liability-side characteristics. The key initiative involves advancing research and deployment of the dividend value strategy, targeting high-quality assets with stable operations, robust cash flows, consistent dividends, and reasonable valuations to build a moderately diversified equity portfolio. These assets serve as a stabilizing "ballast" during market volatility, providing steady cash flow and enhanced defensive resilience while leveraging the compounding effect of dividend reinvestment to boost long-term returns—aligning with insurance capital's dual demand for yield stability and long-term growth.
Second, strengthen a diversified strategy framework to capitalize on structural investment opportunities. Aligning with the market's structural trends, CPIC Asset Management is focused on building and expanding its multi-strategy approach. In technology, we leverage the upcycle in sectors such as artificial intelligence and semiconductors, identifying structural opportunities driven by domestic innovation and import substitution. In resources, we dynamically allocate to globally priced commodities—including energy and non-ferrous metals—by factoring in geopolitical shifts and supply-demand dynamics. On the carbon neutrality front, we are increasing investments in emerging strategic industries like energy storage. Through coordinated execution of these diverse strategies, we aim to capture excess returns across different sectors while managing portfolio volatility.
Third, we drive the enhancement of "new quality" capabilities through industry-chain investment research. Centered on our proprietary investment decision-making system and empowered by financial technology, we are transforming our investment management framework toward greater systematization, modeling, and strategic depth. In asset allocation, our Decision Support System (DSS) enables dynamic alignment across macroeconomic cycles, industry trends, and asset values, continuously refining a cross-cycle allocation framework. Concurrently, we are building specialized industry-chain investment research teams to strengthen our "new quality" research capabilities, making forward-looking investments in strategic areas with clear opportunities and potential. Currently, we focus on six key sectors: technological innovation, scarce resources, green economy, healthcare, consumer services, and more—establishing a differentiated, competitive advantage-driven investment strategy tailored to the industrial chain.
Financial Times Reporter: Fixed income is the core of insurance capital allocation. How does Pacific Asset Management balance stable operations with serving the real economy and national strategy through long-duration fixed-income investments?
Yin Chunping: Taiping Asset Management leverages the unique advantages of long-term, stable insurance capital. Guided by matching asset-liability duration structures, cost-return profiles, and liquidity requirements, we continuously refine our long-duration asset allocation strategy. This approach not only strengthens the safety cushion for portfolio returns but also actively supports major national strategic initiatives.
First, anchor the core portfolio with long-term government bonds to achieve a dual synergy between investment returns and social responsibility in steady operations. In recent years, the company has strengthened its research on the characteristics of insurance liabilities, securing stable-yield cash flows from an asset-liability management perspective. By increasing allocations to long-duration government bonds during periods of relatively high interest rates, we have achieved average yields significantly above current market levels, locking in cycle-resilient returns for insurance funds. Investing in local government bonds not only meets the need to match liability durations but also channels capital directly into the real economy, establishing a positive feedback loop of "insurance capital collection → service to local development → protection of public welfare," thereby achieving mutual success in both financial and social value.
Second, focus on long-term, high-grade credit bonds to anchor real economy financing needs. In the first half of 2026, the company increased investment in long-term, high-grade non-financial corporate credit bonds, with a primary focus on public utility enterprises such as highways and energy sectors that serve the general public. By anchoring on ultra-long-term credit bonds, insurance funds leverage their "long-cycle, low-volatility, and stable supply" characteristics to drive high-quality development in the real economy, directly supporting national strategic priorities including essential public services, green and low-carbon initiatives, innovation platforms, and new infrastructure.
Third, anchor the strategy of revitalizing existing assets with high-quality REITs and create a new paradigm for high-quality fixed-income development through innovative investment布局。In recent years, the company has expanded its investment focus from traditional infrastructure debt plans to securitized products such as public REITs and hold-type real estate ABS. Insurance capital, leveraging its long-term nature, invests in underlying assets of high-quality REITs, serving as the critical link that connects "long-term capital—real assets—industrial upgrading" into a value loop. On one hand, it precisely targets key areas such as advanced manufacturing, new infrastructure, and new industrial parks, providing stable, cycle-defying capital for long-term industrial projects. On the other hand, it helps the nation revitalize existing infrastructure assets and unlock space for reinvestment, achieving resonance between investment returns and social value in the process of cultivating new quality productive forces and empowering industrial clusters.
Financial Times Reporter: Through innovative asset securitization tools, what practical achievements and strategic layouts has CPIC Asset Management made in areas such as social security, green transition, and serving national strategies?
Yin Chunping: The "15th Five-Year" Plan places "building a modern industrial system and consolidating the foundation of the real economy" as its top strategic priority. Leveraging our long-term capital advantage, we utilize innovative financial instruments such as public REITs and hold-type property ABS to deepen our focus on key areas including affordable rental housing, new energy infrastructure, and green low-carbon transformation. We are progressively charting an effective path to channel financial resources precisely into the real economy.
Housing is a critical livelihood issue that touches the dreams of millions of families for stable living. In 2026 year 2 month, the "CPIC Asset – New Huangpu Dream Building City Affordable Rental Housing Hold-type Real Estate Asset-Backed Special Plan" was successfully established at the Shanghai Stock Exchange. Managed and led by CPIC Asset, the issuance size reached 11.942 billion yuan, with underlying assets comprising the "New Huangpu · Dream Building City Meilong" rental community, which includes 1315 sets of high-quality affordable rental housing units. This project represents an innovative and successful practice of insurance capital participating in affordable rental housing construction through institutional REITs, fully leveraging the unique advantage of long-term insurance funds aligning perfectly with the long-cycle operational needs of affordable rentals, thereby effectively enhancing the sustainable operational capability of the underlying assets.
Under the guidance of the "Dual Carbon" goals, the new energy sector has become a key driver for cultivating new quality productive forces. In 2026 3, the company listed on the Shanghai Stock Exchange with the "CPIC Asset - Trina Solar Home New Energy Infrastructure Carbon Neutral Green Hold-REITs Special Plan." This project marks the first institutional REITs for residential distributed photovoltaic power in the PV industry and is an innovative product integrating the three thematic labels: "Carbon Neutrality," "Green," and "Rural Revitalization," filling a gap in asset securitization for residential solar assets. That same month, the company successfully issued the "CPIC Asset - Ganghua Smart New Energy Infrastructure Carbon Neutral Green Hold-REITs Special Plan" on the Shenzhen Stock Exchange, with underlying assets totaling RMB 5.07 billion and an issuance size of RMB 3.05 billion, attracting strong subscription from diverse investors including insurance companies, bank wealth management products, brokerages, trusts, and foreign institutions.
In addition, to align with the national policy direction of expanding pilot programs for insurance institutions to establish private securities investment funds, the Company established CPIC Zhiyuan Private Securities Investment Fund No. 1, with a cumulative investment size of 200 billion yuan. This initiative aims to further promote an investment ecosystem driven by value investing, enhance the quality and efficiency of financial support for the real economy, and better leverage the role of insurance capital as patient capital.
In terms of specific investments, the company will continue to deepen its focus on clean energy infrastructure—including solar power, energy storage, and wind power—to support the transition of the energy mix. In the data center sector, it will actively serve the "Digital China" initiative and the "East Data, West Computing" project by providing long-term, stable funding for new infrastructure. For affordable rental housing and commercial real estate, the company will combine a people-centric approach with market-oriented operations to enhance urban operational quality and residents' living standards. In green investment, the company leverages diverse instruments such as debt investment plans, equity investment plans, asset-backed securities plans, and industry funds to further develop key areas like clean energy and green infrastructure. Additionally, the company has established an ESG evaluation standard platform and rating analysis system to assess over 120 external managers, ensuring compliance and sustainability from the source of green investments.
