FTLife rebrands as Cheng family deepens commitment
Local life insurance company FTLife Insurance rebranded to Chow Tai Fook Life Insurance (CTF Life) on Monday, a move that aims to demonstrate the commitment of the parent company Chow Tai Fook Group and its owner, the Cheng family, to the business.
“Chow Tai Fook is a household name in Hong Kong, mainland China and Asia and boasts a rich legacy. By creating a strong association with this trusted and highly recognised brand, CTF Life believes that its go-to-market efforts will be more effective. The move will also help the company strengthen customer confidence across markets,” a company spokesperson told AsianInvestor.
The insurer’s parent company, Chow Tai Fook Group, is a Hong Kong conglomerate with businesses spanning property, hotels, retail, luxury goods, media, and investment management, among others.
“With the new brand identity and positioning, CTF Life will further leverage Chow Tai Fook Group’s robust financial strength and strategic investments across the globe,” the spokesperson said.
The Cheng family acquired the life insurance business through its subsidiary, NWS Holdings, in 2019 from the Beijing-based financial holding firm JD Group for HK$21.5 billion ($2.75 billion).
TURBULENT PAST
Since its establishment in Hong Kong in 1985, the insurer has undergone four ownership transitions and six rebranding exercises.
AsianInvestor understands that through the rebranding, the Cheng family aims to demonstrate its long-term commitment to the business and dispel potential concerns about unstable ownership.
“We aspire to become a leading insurance company in the Greater Bay Area,” CTF Life chief executive officer Ip Man-kit said at the brand launching ceremony on Monday.
Source: CTF Life
After the rebranding, CTF Life expects to beef up its presence among mainland Chinese customers, which in turn will bolster its investment management capabilities.
“Our unwavering commitment remains focused on policyholders’ benefits, guided by a risk-aware framework that emphasises asset-liability management (ALM), ESG principles, and cross-asset diversification,” the spokesperson said.
The city’s life and health insurance premium to GDP ratio was 18% in 2022, much higher compared to the 3.46% of the nine mainland Chinese cities in the Greater Bay Area during the same year, according to Swiss Re.
This makes cross-border customers a key growth engine for Hong Kong insurers’ new business.
Hong Kong is a well-established insurance market, with total gross premiums of HK$$549.7 billion in 2023, according to the latest data from the Insurance Authority.
INVESTMENT CAPABILITIES
At the end of 2023, CTF Life managed a globally diversified investment portfolio worth HK$74.9 billion ($9.6 billion), with 78% in bonds, 9% in stocks, and 5% in alternative assets.
Its overall investment income was 3.8% for the financial year ended June 30, 2023.
The insurer ranked 5th among life insurance companies in Hong Kong by premium income in 2023, up from 9th the year before.
Over the past few years, the insurer has bolstered its in-house investment capabilities.
“At the same time, we have also expanded our network of external asset managers and bank counterparties to enhance our ability to deliver favourable investment results,” the spokesperson said.
CTF Life hired Chief Investment and ALM Officer Richard Chan from AXA Hong Kong in September 2022. It also tapped deputy CIO Carol Mo from BOC Life in December that year.