A-shares include insurance funds, public funds

[shapanwwuom]

After the asset shortage in 2024, I believe everyone has learned the most important point: the importance of incremental funds.

At present, the main investors of, financing (active funds with high risk appetite), retail investors and foreign capital:

With government bond interest rates at historic lows, increasing insurance funds’ allocation to equity assets is an option that must be put on the table.

The equity positions of public funds themselves are bc data malaysia relatively high. In addition, the size of mixed funds has shrunk for 11 consecutive months in 2024. The biggest driving force for subsequent growth still comes from ETFs.

Financing is a typical right-side fund. Currently, the scale of margin trading still maintains the 1.8 trillion mark. However, with the A-share market falling 200 points in three days, the scale of net financing purchases has shrunk for three consecutive days. On the contrary, the net inflow of ETFs during the same period exceeded 30 billion yuan.

Foreign capital can only add icing on the cake. The key lies in the economic fundamentals. If we can see PMI and M1 improving in the future, foreign capital will surely not be absent.

To sum up, the most certain funding entities in 2025 are insurance funds and ETFs. Complementing each other, ETF is also one of the main tools for insurance funds to deploy equity assets.

As of mid-2024, institutional holdings accounted for 58.12% of equity ETFs. According to Huatai Securities' estimates, Central Huijin's cumulative net subscription in the first three quarters of 2024 was close to 800 billion yuan, and insurance funds' estimated cumulative net subscription in the first two quarters of 2024 was over 55 billion yuan.



After penetrating the linked fund data, it was found that institutions particularly favor broad-based ETFs, with institutional holdings accounting for as high as 69.23%. The proportion of institutions holding dividend strategy ETFs also exceeded that of individual investors, at 57.13%.