China Insurance Regulatory Commission, Circular on Matters Relevant to the Investment of Insurance Capital in Preference Shares
中国保险监督管理委员会关于保险资金投资优先股有关事项的通知
November 10, 2014 | BY
clpstaff &clp articles &Insurance proceeds allowed to be invested in preference shares.
Issued: October 17 2014
Effective: as of date of issuance
Applicability: For the purposes of this Circular, the term “preference shares” includes publicly offered preference shares and privately offered preference shares (Article 1).
Main contents: Preference shares in which insurance capital is invested shall have a long-term credit rating of at least A or its equivalent (Article 4).
Preference shares in which insurance capital is invested shall be recognised as equity assets or fixed-return assets respectively depending on the issuer's classification of its preference shares as either equity financing instruments or debt financing instruments, and shall be included in either the equity or fixed-return asset investment percentage for administration purposes (Article 7).
Related legislation: Tentative Measures for the Administration of the Application of Insurance Capital (Revised), Apr 4 2014
Issued: October 17 2014
Effective: as of date of issuance
Applicability: For the purposes of this Circular, the term “preference shares” includes publicly offered preference shares and privately offered preference shares (Article 1).
Main contents: Preference shares in which insurance capital is invested shall have a long-term credit rating of at least A or its equivalent (Article 4).
Preference shares in which insurance capital is invested shall be recognised as equity assets or fixed-return assets respectively depending on the issuer's classification of its preference shares as either equity financing instruments or debt financing instruments, and shall be included in either the equity or fixed-return asset investment percentage for administration purposes (Article 7).
Related legislation: Tentative Measures for the Administration of the Application of Insurance Capital (Revised), Apr 4 2014
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