China Life Insurance seeks structural investments this year

China Life Insurance Co Ltd, one of the country’s largest life insurers, will seek structural investment opportunities this year, betting on quality stocks with huge growth potential and a steady long-term investment return, the company’s top management said on Friday.

"We believe there are still structural opportunities in the A-shares market this year, and the valuation remains at a comparatively low level," said Zhao Lijun, vice-president of China Life. "Meanwhile, the company also will seek opportunities in the alternative investment market."

On Thursday China Life Insurance Co Ltd reported a 69 percent surge in 2017 net profit on strong investment returns from stock markets.

The insurer’s net profit rose to 32.25 billion yuan ($5.09 billion) last year from 19.13 billion yuan a year earlier. And its net investment return reached 4.91 percent last year, up from 4.66 percent in 2016.

"But the investment in the fixed-income category will still be the majority, and we will invest heavily in treasury bonds and financial debts," Zhao added.