Insurers Need Clear Attitude from CIRC

Insurers in China, which always show interest in IPO shares, did not subscribe shares two batches of companies issued in IPOs on the Growth Enterprise Market (GEM) of the Shenzhen Stock Exchange.

China launched the GEM recently and for fear that shares traded on it may drop below than the IPO prices, insurers in the country hold a prudential attitude, said some industry observers. However, others do not think so. They believe that it is an unclear attitude the China Insurance Regulatory Commission (CIRC), the top Chinese insurance regulator, holds on such investment that cause those insurers not to take move.

Taikang Assets Management Co., Ltd., a unit of Taikang Life Insurance Co., Ltd., subscribed a total of 61,140 shares of Lepu Medical Technology (Beijing) Co., Ltd., one of the first batch to debut on the GEM board, via four accounts. But all of the accounts are for non-insurance corporate annuity plans.