The advantage of trustee management

Ping An has 140 investment experts and researchers, and 95% of them hold master degree or above, and 20 of them hold PhD degree. Of 104 members of Society of Actuaries in China, Ping An of China employs 20 of them, and Ping An Annuity has 7.

Ping An Annuity professional team consists of: 6 trustee experts, 7 members of Society of Actuaries, 8 experts of trustee custodian management, 5 experts of trustee accounts, 7 experts of trustee investment, 4 legal experts, 12 experts of investment management. Brief introduction of experts goes as follows:

• Mr. Du Yongmao

  Mr. Du Yongmao has abundant management experience in financial scope. In 1991, he was honored with the title of “excellent president” by the head office of People’s Bank of China; after his joining into Ping An, Mr. Du has in sequence taken the key posts of deputy general manager or general manager of Ping An Securities, Ping An Bancassurance, P&C insurance. With his rich experience and ever-developing innovation, the unit under his leadership has won frequent achievements. In 2004, he received “Ping An Chairman special prize”, and in 2006, he won the highest honor of “Ping An first-degree Medal”.

• Mr. Zhao Weixing

  Mr. Zhao, PhD in Management science and engineering of Xi’an Jiaotong University, is a senior accountant now. He has taken management posts in multiple big-scale financial insurance constitutions. With rich experience is insurance, annuity, finance and corporate governance, he is able to comprehend and analyze financial policies and systems home and abroad.

• Mr. Clement Zhang

  Mr. Zhang is an expert of international financial actuary, who once was chief supervisor of Metlife Greater China (HK), and associate Vice President of Manulife (HK). After his joining into Ping An, he has taken the post of vice general managers of Ping An Life, and chairman of Ping An Health.

• Ms. Jacqueline Zhang

  Ms. Zhang, master in financial science of Nanyang Technology University and member of the Global Association of Risk Professionals (GARP), is an investment chief of Ping An Annuity. She once took the post of vice president of Bank of China Investment Management, performance analyst of Asia Pacific Area of Allianz Global Investors. Being in the industry of insurance asset management of Hong Kong and Singapore for many years, she is rich in related experience.

• Mr. Vincent Wang

  Mr. Wang, CFA and PhD in Management Science and Engineering (Financial Engineering) of Shanghai Jiaotong University, is now an investment portfolio manager of corporate annuity of Ping An Annuity. He once was a researcher of Shanghai Rongchang Asset Management and Financial Engineering Research Center of Shanghai Jiaotong University. He has 5 years experience in investment research, and once received a training course on investment portfolio management by Merrill Lynch (Asia-Pacific), and one training course on fixed-income and derivatives investment management by Deutsche Bank.

Professional actuarial technology is inevitable in innovation and risk control of annuity products, design and measure of annuity scheme. Ping An annuity enjoys an unparalleled advantage in this respect.

Ping An Annuity, equipped with 14 actuaries, 7 of them are members of SOA, are the strongest in actuary power among domestic legal person trustee institutions of corporate annuity. With original life annuity experience, Ping An has also introduced advanced actuary system and technology which has been widely used in North American Professional Annuity and Hong Kong mandatory provident fund, Ping An has a deep understanding of Chinese corporate customers’ need in annuity. Since the establishment of the Company, Ping An Annuity has provided payment services, measuring service of substitution rate and fund gap for more than 200 corporate annuity customers, and also offered a professional solution for the annuity of retired and to be retired staff. On the essential link of realizing the safeguard of staff retirement: the drawing of annuity, Ping An with its strong actuary power, based on detailed requirements of retired staff, has designed and provided multiple drawing methods, which include stabilization life annuity, progressive life annuity, stabilization fixed-term annuity, progressive fixed-term annuity, guaranteed term life annuity, principle guaranteed life annuity. Diversified drawing methods not only enable the beneficiaries to reasonably use the annuity but also realize the safe appreciation of the residual fund, so that their life quality can be better safeguarded.

Besides, the experts of Ping An Annuity based on the staff age, gender, risk preference of the corporate, can develop a tailor-made annuity scheme and annuity investment products with the use of actuarial survival model, which has shown the industrial strongest actuary power in the liability management of annuity products and investment risk management.

Ping An designed and developed the first corporate annuity trustee management system with self-proprietary right in China. The hardcore platforms of the system are 4 Dell servers. The 10G Oracle database employs leading partitioned storage technology, which excels in operation performance and security; 30G scalable network shared hard disk enables hundred millions level data operation. A uniformed security mechanism and data backup scheme has been adopted. A big-scale intranet across China of high speed, stability, safety and 1300 links has been established. The system is advance in design, strong in scalability, high in availability, wide in broadband, and high in safety level and technologically, the system ensures the safety of asset management, timeliness of operation service and accuracy of information disclosure.

Ping An Annuity trustee management system ensures the safety of asset management, high efficiency of operation service, accuracy of information data by the running of its two modules: trustee operation management module and trustee investment management module.

• Data interface and transfer: by data interface, annuity management data of account managers and custodians can be automatically transferred into an internally unified data format, which improves the efficiency of data transfer by great extent;
• Data checking: Based on data separately provided by custodians and account managers, Ping An Annuity trustee management system provides automatic verification and double checking to ensure the accuracy of the related data of corporate annuity fund;
• Agreement management: Ping An annuity trustee management system provides systematic management and maintenance for corporate annuity management contract to correctly collect information of related contracts;
• Expenditure calculation: The enquiry and collection of expenditure verification, expenditure restitution calculation, instruction release and payment information;

Ping An annuity trustee management system consists of six functions, which are portfolio analysis, risk management, performance evaluation, asset allocation, compliance monitor and report management. Firstly the system will obtain related corporate annuity data from custodians and other basic information, and then form a database for the purpose of corporate annuity investment monitoring, afterwards conduct portfolio management, portfolio analysis, risk management and market evaluation with the use of investment portfolio definition and investment portfolio tree establishment .

• Long-term accumulation of annuity customers

  Ping An of China has accumulated rich experience in the management and services of complementary annuity. Over 20 years, Ping An has provided complementary annuity design, management and service for about 5 million employees of more than 50 thousand enterprises, the annuity insurance fund under its management has exceeded 20bn. With the open-up of Ping An annuity and the reorganization of Ping An Life, the institute business and customers have all been combined and transferred to Ping An Annuity. Our customers cover many famous enterprises home and abroad, China Telecom, China Mobile, China Merchant Bank, China Cinda Asset Management, FAW, Shanghai Automobile, North China Electric Plant, National Grid Guangdong, Jiangsu Electric Power, Zhengzhou Railway Administration, Xi’an Railway Administration, Kunming Cigarettes, Oracle, GE, ABB and etc.

• Long term experience in annuity insurance fund management

  According to the related regulations, fixed-income products and currency market tools are the major investment varieties which corporate annuity is allowed to invest in. Insurance fund bears many similarities with annuity funds in investment scope and limitation. Ping An of China has about 20 years’ experience in insurance fund management and operation, and the annuity fund under its management grows rapidly by year, and as of end of 2006, the amount has exceeded 20bn. With long-term experience in asset liabilities management, Ping An of China is playing an important role in domestic bond, currency and capital markets, with excellent performance, which has outperformed the peer average continuously. Meanwhile, the investment channels of annuity fund have also be widened, Ping An has been approved to conduct overseas investment and infrastructure projects, which is the first in the industry. This has also laid a sounded groundwork for future possible widening of corporate annuity investment scope, and the yield growth of annuity investment.

• The allocation of investable asset of Ping An of China in 2006
• Investment performance of Ping An over these years