Insurance funds increased their holdings of bank stocks in the third quarter, with state-owned major banks becoming a key focus of their investment strategy.

In the third quarter, insurance funds continued to increase their holdings in the banking sector. Among them, state-owned banks became the focus of insurance funds' layout, with Postal Savings Bank of China and China Construction Bank receiving significant increases in holdings, and Insurance funds appeared in the top ten list of circulating shareholders of Industrial and Commercial Bank of China and Agricultural Bank of China for the first time. In addition, some regional city commercial banks and rural commercial banks also received increases in holdings from insurance funds. Industry insiders believe that the high dividend characteristics of bank stocks are highly matched with the demand of insurance funds, and dividend income can meet the income needs of insurance funds. With the promotion of policies to attract long-term funds to enter the market, insurance funds may become an important source of incremental funds in the future equity market, and bank stocks with stable profits and high dividend returns will continue to be favored by insurance funds.