Circular on Matters Relevant to the Investment in Unsecured Enterprise Bonds by Insurance Institutions
关于保险机构投资无担保企业债券有关事宜的通知
Investment of insurance proceeds in unsecured bonds restricted.
(Issued by the China Insurance Regulatory Commission on December 29 2009.)
(中国保险监督管理委员会于二零零九年十二月二十九日发布。)
Bao Jian Fa [2009] No.132
Insurance companies and insurance asset management companies:
保监发 〔2009〕 132号
With a view to strengthening the administration of investment in unsecured bonds, regulating investment and guarding against investment risks, and pursuant to the Tentative Measures for the Administration of Investments in Bonds by Insurance Institutional Investors (the Measures) and relevant provisions, the CIRC has decided to revise the relevant policy on the investment in bonds by insurance institutions and hereby notifies you of relevant matters as follows:
1. Insurance institutions may invest in unsecured enterprise bonds issued on the domestic interbank market, provided that the same satisfy the conditions in the Measures and relevant provisions and have a long-term AAA or equivalent rating as rated by a domestic credit rating agency.
各保险公司、保险资产管理公司：
2. The percentage invested by an insurance institution in unsecured bonds such as unsecured enterprise bonds and non-financial enterprise debt financing instruments shall, in addition to being handled in accordance with existing provisions, comply with the following provisions:
(1) the balance of insurance funds invested in the unsecured bonds issued by one enterprise (company) may not, in total, exceed 20% of the enterprise's (company's) net assets;
为加强无担保债券投资管理，规范投资行为，防范投资风险，根据《保险机构投资者债券投资管理暂行办法》（以下简称《暂行办法》）及有关规定，我会决定调整保险机构债券投资的有关政策，现就相关事宜通知如下：
(2) the share of a single type of unsecured bonds of one issuance invested in by the insurance institutions in one group may not, in total, exceed 60% of that issuance of that type of bonds; and
(3) the balance of unsecured bonds issued by an affiliated enterprise (company) invested in by an insurance institution may not exceed 10% of such institution's net assets.
一、保险机构可以投资境内银行间市场发行的无担保企业债券，其中无担保企业债券应当符合《暂行办法》及有关规定的条件，具有国内信用评级机构评定的AAA级或者相当于AAA级的长期信用级别。
3. The unsecured bonds that an insurance institution is to invest in shall be issued by way of a public invitation for bids, and the coupon rate and issue price and related fee rates shall be determined by the market and genuinely reflect market demand. An insurance institution may not obtain improper gains through means such as a directed subscription.
4. An insurance institution shall pay close attention to the liability risks of the local financing platform, rationally analyse the investment value and the risks and returns of urban infrastructure investment bonds, fully take into account the effect that macroeconomic policy and economic development will have on the capacity to repay the principal and pay the coupons, and pay special attention to financial details of the issuer such as the scale of its liabilities and the cash flow from its core business, the sufficiency of the source of funds for the repayment of its debts and the effectiveness of the security provided therefor so as to duly guard against credit risk and liquidity risk.
clp reference:3910/09.12.29prc reference:保监发 〔2009〕 132号promulgated:2009-12-29二、保险机构投资无担保企业债券、非金融企业债务融资工具等无担保债券的比例，除按已有规定执行外，还应当符合下列规定：
This premium content is reserved for
China Law & Practice Subscribers.
A Premium Subscription Provides:
- A database of over 3,000 essential documents including key PRC legislation translated into English
- A choice of newsletters to alert you to changes affecting your business including sector specific updates
- Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
Already a subscriber? Log In Now