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8 December, 2015

China Taiping Insurance Holdings Company Limited

Investor/Analyst Open Day

2

Forward-looking Statements The presentation herein contains unaudited data. While the Company has endeavored to accurate and complete data, it makes no express or implied statement or warranty regarding fairness, accuracy, completeness and correctness of such information or opinions. All data contained in this presentation are only subject to the circumstances when they were provided and the Company makes no commitment to perform any update of the presentation for any consequent change

The “forward-looking statements” contained in the presentation herein refer to the statements of the Company on possible future business activities, events or evolutions. Such statements are assumptions formed on the basis of the Company’s future operations and various factors out of the control of the Company, hence actual operation outcomes may differ greatly from such statements

Data, statements or opinions contained in the presentation herein do not constitute any open offer or investment advice. The Company and its staff, whatever reason it might be, assume no responsibility for any loss or damage incurred from the use or interpretation of the presentation herein or any information in connection with it

China Taiping Group — Overall Business Review

3

Operational Highlights

Delivered Good Quality and Sustainable Overall Operational

Results by the end of October 2015

Premium growth beats the market

Operational performance keeps improving

Quality of business remains strong and keeps improving

Overall competence continues to improve

4

Operational Highlights (Cont’d)

Mainland Insurance Businesses Developed Rapidly, Quality of Business and Operating Performance Have Been Steadily Improved By the end of October, direct premium written of life insurance increased by 24.3% YoY Monthly production per agent achieved RMB17,117，resulting in a 41% increase in gross

premium of new policies which ranked No.4 in the industry. Outstanding agents(regular premium ≥ RMB300,000) increase by 31% YoY

Persistency ratios of agency & Banca channel continued to be stable at the forefront of the industry; The loss ratio of short-term group insurance kept in a satisfactory range

TPI’s direct premium written increased by 21.6% YoY. Growth of both motor & non-motor insurance outperformed the market, with non-motor insurance accelerated growth

Balance of pension assets under management was over RMB100 billion

Note: All data related in this material is stated in RMB 5


Overseas Insurance Businesses Recorded Steady Growth, Quality of Business Stays Good

Premium of CTPI(HK) increased steadily, keeping its forefront ranking in the market

TP Macau ’s premium continued to be No.1 in the market

TPRe has become a member of Lloyd’s. Beijing branch of TPRe has been restructured as

TPRe(China) and approved by CIRC. This was the second case in PRC that a reinsurance

company was granted an independent legal license for reinsurance after China

Reinsurance (Group). The premium of TPRe for life insurance realized a significant growth

6


Successful Implementation of Strategic Cooperation and Cross-selling Initiatives with Large Clients China Taiping had signed Group Strategic Cooperation Agreements with large clients such as

Sinopec, EIBC, CDB and ICBC etc. in 2015. By the end of Oct. 2015, China Taiping had

established headquarters to headquarters strategic cooperation with 56 large clients

Our cross-selling initiatives achieved RMB2.2 billion of insurance sales, including RMB1.7

billion of property insurance sales through TPL, and RMB300 million of pension sales through

TPL

We have made a breakthrough in the Sinopec gas station program. By the end of Oct. 2015,

4,754 outlets has been stationed with over 12,000 employees. The premiums of this

program has achieved RMB660 million including RMB530 million of motor insurance during

the same period

7

The following figures are the results of TPL from its operations, before intra-group eliminations.

• TPL

Life Insurance Business Review

Note: The Group holds 75.1% of the equity interest in TPL

8

Life Insurance：Strong leading indicators of value creation

Agency headcount (not including agents from Sinopec project) has hit its full-year

target with 199,000 by the end of October. It is increasing ahead of our expectation.

Outstanding agents increased by 31% YoY during Jan-Oct 2015

The growth rate of new policies from our core business maintains rapid increase in

both Agency & Banca channels. The structure of new policies keeps optimizing . The

proportion of health insurance keeps increasing

Persistency ratio leads the industry

NBV margin remains stable and growing

9

Life Insurance: Premiums Growth outperformed the Industry average, with Solvency Margin kept stable

Note: The calculation of the regulatory solvency adequacy ratio is based on C-SI. Due to the sub-debt redemption, capital market volatility, as well as new business growth, the solvency adequacy ratio decreased slightly

Direct Premium Written

（RMB million）

Regulatory Solvency Margin Ratio

68,766

55,339

Jan-Oct 2015 Jan-Oct 2014

+24.3% Over 200%

268%

At 31 Oct 2015 At 31 Dec 2014

10

Life Insurance: Structure of Gross Premiums – By Distribution Channels

Jan-Oct 2014

Jan-Oct 2015

1,204 1,400

28,243 32,153

25,892 35,213

Rising Proportion of Agency Channel Business

（RMB million，%）


47%

51%

2%

51%

47%

2%

Agency Channel

Telemarketing and Group

Banca Channel

11

Life Insurance: The Proportion Of Health Premium Increased

Premium Composition In Agency Channel：11.7%

Premium Composition In Banca Channel：3.7%


2.1%

90.2%

7.7%

2.5%

85.8%

11.7%

Health Accident Life

Jan-Oct 2014 Jan-Oct2015

0.1%

99.1%

0.8%

0.0%

96.2%

3.7%

Health Accident Life

12

Life Insurance : Per capita productivity kept stable while number of agents increased, with a increase of high performance agents

Number of Agents Monthly Productivity Per Agent

Number of Outstanding Agents – Regular Premium

17,117 17,682

At 31 Oct 2015 At 31 Dec 2014

199,000

133,700

At 31 Oct 2015 At 31 Dec 2014

+49%

Agent with RMB1M Premium

Agent with RMB500K Premium

5,248

1,179

Jan-Oct 2014

2,780

6,854

1,315

Jan-Oct 2015

3,420

Agent with RMB300K Premium

13

Life Insurance: Persistency Ratios stood at the forefront of the industry - No.1 in both Agency and Banca Channel in terms of 13th month persistency ratio

93% 93% 93%

88% 89% 87%

2013年底 2014年底 2015年10月底

第13个月之保费继续率


Agency Channel Banca Channel

92% 91% 92%

90% 89% 87%

2013年底 2014年底 2015年10月底



Persistency ratio – 13th month


At 31 Dec 2013 At 31 Dec 2014 At 31 Oct 2015 At 31 Dec 2013 At 31 Dec 2014 At 31 Oct 2015



14

• TPI

Mainland P&C Insurance Business Review

Note：The Group holds the 100% equity interest of TPI

The following figures are the results of TPI from its operations, before intra-group eliminations. 15

Mainland P&C Insurance: Premiums Growth outperformed the Industry average

The regulatory solvency ratio of TPI rises 18 pp due to its capital increase in Q3 2015

13,007

10,697


+21.6%

Direct Premium Written （RMB million） 192%

174%

At 31 Oct 2015 At 31 Dec 2014

+18PP

Regulatory Solvency Ratio

16

The following figures are the results of the respective companies from their respective operations, before intra-group eliminations.

Overseas P&C Insurance and Reinsurance Businesses Review

HK & Macau • CTPI (HK) • TP Macau

Overseas • TP Singapore • TP UK • TP Indonesia

Reinsurance • TPRe

17

Overseas P&C Insurance and Reinsurance: Overseas P&C premiums increased steadily, TPRe life reinsurance achieved sustainable and rapid growth

2,104

1,842

Overseas HK & Macau

Overseas P&C Insurance

707

650


2,682

2,979

1,025

2,717


Life Non-Life

Reinsurance

+14.2%

+8.8%

（ RMB million ）（ RMB million ）

3,707

5,696 +53.7%

18

The following figures are the results of TPP from its operations, before intra-group eliminations.

• TPP

Pension and Group Life Insurance Businesses Review

Note: The Group holds 100% of the equity interest in TPP

19

Pension and Group Life Insurance Businesses Direct Premium

Written

（RMB million）

Annuity Entrusted Assets


950

756

567

1,108

1,005

554

Short Term Non-health

Long Term Short Term Health

2,272

2,666 +17.3%

43,756

36,480

At 31 Oct 2015 At 31 Dec 2014

+19.9%

Annuity Invested Assets

48,706

42,005

At 31 Oct 2015 At 31 Dec 2014

+16.0%

（RMB million）（RMB million）

20

Industry Outlook

Life Industry The C-ROSS is expected to be formally implemented in 2016 after 3-quarters’test running. Under the

risk oriented solvency management framework, those companies focus on business quality will take advantage of it

After participating insurance reform policy lands, the “three steps” of life insurance premium rate market reform will be successfully ended. Participating insurance will be facing new opportunities and challenges

As interest rates continued to decline, it’ll promote demand for insurance products With personal tax preferential health insurance policy lands, the relevant product guidelines and

provisions will be officially released, the health insurance market will witness a new growth point Personal tax deferred pension insurance is expected to land within this year, then the pension

insurance market will have great potential Occupational pension policy is expected to implement in the first half of 2016, and there will be

development opportunities in the annuity market

21

Industry Outlook (Cont’d)

P&C Insurance

New car sales growth will be slower, resulting in the significant slow down of P&C insurance premium growth

With the advancing of Commercial motor insurance rate reform, there will be high insuring rate, high insurance amount, low accident frequency, rapid decline of premium rate and slow decline of cost rate in motor insurance market

As national economy development strategies such as the “13th Five-year Plan”, “One belt, one road”, and the new “State Council Ten Guidelines” lands, there will be a golden opportunity for insurance industry and new demands of professional services and management abilities for insurance company

22

Industry Outlook (Cont’d)

Reinsurance

As C-Ross is taking into effect, it will have different risk reserve requirements between domestic and foreign reinsurance company, which is beneficial for TPRe’s business development and performance

There is an upward trend of non-proportional reinsurance, which is beneficial for TPRe’s further expansion

Under supervision of C-Ross, reinsurance proportion of non-motor and life insurance will increase, and benefit TPRe in the way of further improving profitability and new business value

23

TPL — Agency Channel Development Introduction

24

• Business Development

Agency Channel Development Introduction

25

Regarding agency channel, the Company, based on actual market situation, formulated and implemented short-term wealth management insurance products supplemented by high-value health products to focus on business volume and improve market share in the first half of 2015 while priorities were given to marketing of high-value health insurance and 10 years and above wealth management insurance products to raise business value and optimize product structure for the whole year. As of October, NBV margin of agency channel has improved on a YoY basis

In the context of a 62% growth of the number of agents compared to the year beginning, key indicators including activation ratio and per capita policy maintained stable and high performance agents increased by 52% on a YoY basis, achieving personnel and profitability improvement

Regarding the Sinopec project, a 2-year pilot program has led to phased breakthrough up till now. As of Oct 2015, a total of 12,000 agents are in service, attracting over 300,000 clients, establishing itself as a potential development channel

26

Business Development

Business Development(Cont’d)

Number of agents and insurance premium rise steadily At October, 2015, number of agents has reached 199,000. As of November 25,

the number of agents has reached 217,000

FYP ranked No. 5 in the market in 2013, and No. 4 in 2014. Remains No. 4 by the end of October, 2015

Jan-Oct 2014 Jan-Oct 2015 Year-on-Year Growth

Total Number of Agents 127,000 199,000 58.2%

27

2015 Trend Chart for Agency Force In March and July 2015, company-wide recruitment has been conducted, by the end of

August, the number of agents has exceeded 200,000

From September, agent consolidation and retention for new recruits has been carried out. In November when the annual business goal has been basically accomplished, another agent recruitment has been executed in the whole company. By November 25, the number of on-the-job agents is 217,000, up 62% since the beginning of the year

12.3

12

13.8

14.5

14.5

15.818.7

20.1

20.319.9

21.7

5

7

9

11

13

15

17

19

21

23

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

Unit：10,000 Agent

Business Development(Cont’d)

28

• Key Agent and Performance Indicators


29

Key Agent and Performance Indicators

2015 1H Jul-Oct 2015

6th Month Retention Rate 83.9% 82.2%



2015 1H Oct 2015

Agency Force per Group 7.8 9.2

Agency Force per Department 36.3 47.2

Agency Force per Group, Agency Force per Department

Retention Ratio

30

2015 Agent Development

With the policy adjustment on agent qualification management by China Insurance Regulatory Commission, the number of agent has grown substantially in July and August. The new agent number in that period is 71,000. New health insurance (Fu Li Jian Kang+) was adopted to lower the sales difficulty, and to improve productivity of new recruits. By the end of August, the number of agency channel exceeded 200,000

From September, the sale of protection and non-participating financing insurance are adopted to ensure the accomplishment of the annual business goal ahead of schedule. In the condition that the initial premium plan has been basically completed, more agents were recruited in November. At November 25, agents number has reached 217,000

Key Agent and Performance Indicators (Cont’d)

31

Key Performance Indicator

2014 Jan-Oct 2015

Policy Per Month Per Capita 1.03 1.02

Productivity Per Month Per Capita 17,682 17,117

Monthly Overall Activation Ratio 54.3% 53.1%

Three Month Formalization Ratio 39.6% 41.5%

Cumulative Activation Ration In Three Months 77.1% 78.5%


Monthly Agents With RMB10K Sales In The Period(regular Premium ) 23,861 36,763

Annual Agents With RMB1 MM Sales In The Period(regular Premium ) 1,179 1,315


32

Agent Force with Superior Performance Grew with an Optimized Structure From Jan-Oct, 2015, there are 36,763 agents whose regular premium exeeded RMB10k

per month, with year-on-year growth of 52.1%. Among these agents, the 2015 new recruits makes up 43%

Agents recruited before 2013 with high performance grows from 9,703 to 9,765 in 2015, up 0.6%

Start working

Year

Agents with High

Performance* Percentage

Comparison with 2014 Note

Number Percentage

2015 15,814 43% 10,248 42% Recruited in 2015

2014 7,344 20% 4,223 17% Recruited in 2013

2013 3,840 10% 1,695 7% Recruited in 2012 and 2011

Before 2013 9,765 27% 8,008 33% Recruited 2 years before

Total 36,763 24,174


Note: *Agents with high performance refers to agents with over RMB10k regular premium per month 33

• Development Strategy of 2016


34

Development Strategy of 2016: Opportunities

New Recruit Premium Gross Premium Percentage

RMB2.56 Billion RMB8.74 Billion 30%

The agent team grows very fast. In 2015, the cumulative recruits is 164,000. As of November 25, the agent number is 217,000. The performance growth based on the number of agents increase has been achieved

The huge expansion of the agent team does not result in obvious decline in management indicators, on the contrary, various kinds of training and team leader self-management have been greatly improved, which pushes the expansion

The statistics is based on the premium contribution made by 2015 new recruits during April 1 to October 31, 2015.

After the “good start”, the 2015 new recruits contributes 30% of the annual gross premium

2015 1H Jul-Oct 2015

Monthly Overall Activation Ratio 53.6% 52.3%

13th Month Retention Ratio 52.7% 51.8%

35

The new recruits with entry time shortly than 6 months makes up 49%; recruits with entry times within 12 months makes up 71%. New recruits accounts for a large proportion. As a result, the basic management is under pressure for the production improvement and effective retention of the new recruits need time and constant training

The duty exemption policy for Annuities Insurance products are still pending, which affects the design of new products

The implementation of health insurance tax preferential policy will affect the design and profit of critical illness products

Development Strategy of 2016: Challenges

36

Effective growth of agent team is the guarantee for the healthy, stable and sustainable development of personal insurance

Continue to promote the effective growth of agent team Special training is designed for the 2015 new recruits to ensure the stability and formalization, and to improve the retention ratio with promotion. Three-month formalization rate and employee performance indicators for business manager growth rate are set

Continue to promote “large unit, large department” “large unit, large department” will be continuously carried out in personal life insurance. Under the condition that the total cost of Sales Performance Appraisal and Remuneration Measures remains the same, the cost input of high productivity team will be increased, and the input of low productivity team will be decreased. Average agent number of department and unit will be increased under direct of supervisor to improve the performance of the team

Development Strategy of 2016: Continuously adhering to Sales Performance Appraisal and Remuneration Measures to lead the growth of the agent team

37

Carrying out the standard training for new recruits and lay a solid foundation for the new recruits, cultivating seeded lecturer and head teacher to improve training quality, fully implementing the 90 days training for sales unit new recruits to improve their skills, the 135 growing days for new recruits will help them build confidence and pave the way for future development to improve retention rate and consolidate the foundation of the team

Working Idea on New Recruits Retention — One focus, four key points

1

2

3

4

The implementation of standard training for new recruits

The cultivation of

seeded

lecturer and head

teacher

90 days training for sales unit new recruits

New recruits

cultivation project

135 growing days for new

recruits

Training class

Three month Formalization rate

38

Integrated with Internet+, efforts should be made to develop simple and cost-effective product with great appeal and to develop personal agent products in internet channel. Quick customer accumulation can be achieved with simple and cost-effective products

Adhering to the relevant tax preferential policy requirement of China Insurance Regulatory Commission, different models should be used to match different groups for sales to maintain regular customers and develop new customers

With marketing strategic projects such as Health Cabin to improve customer experience and to push the transformation from customer accumulation to the sales of health insurance

Development Strategy of 2016: Multi-dimension customer accumulation to enlarge customer basis

39

Formulate development policy with differentiation for institutions and push the institution with star performance to keep growing and become stronger By the end of October, compared with same period last year, third tier institutions with over 50% new policy premium growth rate reaches 93 and the number of fourth tier institutions amounts to 457. we will continuously promote the development of third tier and fourth tier institutions to improve the branch productivity and market ranking

Further improve the institution management system and the operation management of third tier and fourth tier institutions

Promote “Operation Manual for China Taiping Personal Life Insurance Fourth Tier Institutions” to establish person in charge file of personal life insurance for third tier and fourth tier institutions

Improve leader training system to cultivate good leader in large-batch for Taiping personal life insurance Establish hierarchical institutional head training system

Development Strategy of 2016: Improve institution operation system, push the institution to keep growing and become stronger

40

Comparison table of institution regular premium platform in the same period

Type Institutions Jan-Oct 2014 Jan-Oct 2015 Growth rate

Second tier institution

Provincial branch 28,698 39,539 38%

City branch 17,758 26,205 48%

Third tier institution

Provincial capital key-sub branch 11,215 14,224 27%

Prefecture-level city key- sub branch 1,982 2,740 38%

Fourth tier institution

Sales office within the same city with the branch 1,716 2,321 35%

Sales office outside the same city with the branch 420 621 48%

41

RMB 10K

TPI — P&C Insurance Business Introduction

42

Highlights and consolidated results of operation

Outperformed the industry average By the end of October, direct premium written reached RMB13.01 billion, outperforming the industry average by over 9 percentage point

Profit keeps growing： Continue to achieve underwriting profit since 2011. The total loss ratio keeps improving, decreasing by 0.3 percentage points on a YoY basis

Successful implementation of Boutique strategy Sales through Strategic cooperation and cross-selling channel increased by 72.9% and 37.6% respectively. Almost 5,000 Sinopec gas stations had been stationed. Actively expanded development of third-party cooperation and online claim processing, with 350,000 Wechat followers

43

Premium growth outperformed industry average, with an increasing market share

Direct premium written increased to RMB13.01 billion by the end of Oct 2015, 9 percentage points higher than industry average

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

201410 201411 201412 201501 201502 201503 201504 201505 201506 201507 201508 201509 201510

TPI Industry

Direct Premium Written Growth

44

Continued underwriting profitability for 5 years 99.9%

99.8% 99.8% 99.8%

2011 2012 2013 2014 2015Q1-Q3

Combined Ratio

45

56.5%

56.3%


45.0%

44.6%


Improvement of loss ratio resulting from strict cost control

54.8%

54.5%


-0.3PP

-0.4PP

-0.2PP

Loss Ratio Motor Insurance Loss Ratio

Non-motor Insurance Loss Ratio

46

Improvement of business quality, with a balanced development of both motor and non-motor business

Direct premium written of motor insurance increased by 20.4% to RMB10.53 billion by the end of Oct 2015 on a YoY basis. Business growth exceeds 20% in the pilot areas of commercial motor-insurance marketization reform

Direct premium written of non-motor insurance increased by 26.9% to RMB2.48 billion by the end of Oct 2015 on a YoY basis, among which Liability, Credit, Accident and Health lines grew more than 35%

10,529

8,745


+20.4% 2,478

1,952


+26.9%

Motor Insurance Business （RMB million）

Non-motor Insurance Business （RMB million）

47

Successfully implemented the Boutique Strategy

Strategic cooperation channel business grew fast, increasing by 72.9% than the same period of last year

Cross Selling channel business increased by 37.6% than the same period of last year; Almost 5000 Sinopec gas stations has been stationed, with nearly RMB530 million premium income

Serving the “One belt and One road "strategy, the overseas inward premium reached RMB26.3 million

0.55

1.24 0.96

1.70

Strategic Cooperation Property Insurance Sales throughTPL


Strategic Cooperation and Property Insurance Sales through TPL

（RMB billion）

+72.9%

+37.6%

48

Promote Internet business

Explore new marketing channel, develop client-service communication platform and provide more value-added services

350,000 Wechat Followers

E-Claim Actively implemented internet claim methods, covering 27 business branches

Enriched functions in Wechat , attracted 350,000 followers

Cooperation with Ant Financial Services, Zuihuibao Network, etc.

Third Party Platform

49

Outlook

Continue to outperform the industry, accelerate innovation, grasp opportunities of marketization reform, and improve profitability To improve strategic cooperation and cross-selling channels, and expand the development

of third-party platforms To pursue steady increase of traditional channels and at the same time promote innovation.

To improve agent productivity and achieve new breakthroughs of auto dealers channels in third and fourth-tier cities

To grasp opportunities during motor-insurance marketization, innovate pricing model, prove profitability and pursue steady increase of market share.

To continuously optimize business structure, improve product mix, embrace internet, improve business quality and pursue steady increase of persistency ratio

To continue strengthening the customer relationship management by internet methods including wechat, and expend the development of third-party platforms

To enhance cost controls, reduce operation fees and enhance business value by improving IT system and e-claim, utilizing e-statements, and standardized procedures

50

China Taiping Group —Overall Investment Business

51

• Investment Profile from January to October 2015

Investment Business Introduction

52

Investment yields: Group investment yields reached a relatively high level, and will surpass the yearly budget goal

As of the end of October, both the book yield and market value yield were higher than those on a YoY basis

In terms of comparison within the industry, as of the end of October, the yield is higher than the average yield of 6.5% in the insurance industry

4.9%

6.3%

0%

1%

2%

3%

4%

5%

6%

7%

8%

Book Yield(unannualized) Market Value Yield(unannualized)

YoY Comparison of Investment Yields

October 2014

October 2015

53

Asset size: Own and third-party entrusted investment assets grow strongly

As of the end of October, insurance assets under management within the Group was RMB 288.1 billion, increased by 15% compared to the beginning of the year; and third-party entrusted assets was over RMB 175.4 billion, increased by 33% compared to the beginning of the year

Rapid growth of third-party entrusted investment assets led to an increase in management fees. For example, the management fee income from January to October 2015 of our subsidiary Taiping Asset was RMB 470 million, with 67% derived from third-party entrusted assets

404

1,602 1,917

2,507 2,881

0

1,000

2,000

3,000

4,000

2006 2012 2013 2014 Oct. 2015

Insurance AuM of the Company

113

472

796

1,320

1,754

0

500

1,000

1,500

2,000

2006 2012 2013 2014 Oct. 2015

Third-Party Entrusted Assets

54

（RMB 100million）（RMB 100million）

Performances of various assets: Stock and bond investment performances surpass the market

TPAM’s overall return on equity portfolio at the end of October is higher than that of the Shanghai and Shenzhen 300 index as well as the equity funds

TPAM’s overall return on bond asset realized a return higher than China Bond index as well as bond fund index

21.4%

1.5%

Performance of Taiping Asset’s Equity Portfolio

TPAM

9.2%

3.0%

Performance of Taiping Asset’s Debt Portfolio

TPAM Overall Index for equity funds

Shanghai and Shenzhen 300 index

Bond fund index

China Bond index

55

• Stick to Risk Management Standards and Constantly Innovate Alternative Investments

Introduction to Investment Business

56

Overall: Alternative investments proportion of the Group is slightly lower than industry average

As of the end of October, the Group’s total alternative investments amounted to RMB 86.65 billion, accounted for 22.3% of total assets, 3 percentage points lower than industry average

or 18.5%, if the South-to-North Water Diversion debt investment of RMB 14.7 billion(the central government credit) is excluded, which was 6.7 percentage points lower than industry level

October 2015 Book value (RMB 100m) Percentage of total assets

Investment in equity financial products 108.6 2.80% Equity investment programs and equity investment funds 82.6 2.13%

100% equity asset management products 26.0 0.67%

Investment in debt financial products 544.7 14.02%

Domestic debt financial products 529.2 13.62%

Oversea debt financial products 10.8 0.28%

100% bond asset management products 4.7 0.12%

Investment in other four types of new products 114.0 2.93%

Investment properties 99.2 2.55%

Total 866.5 22.31%

57

Debt financial products: Rating of most of the projects were above cnBBB+

As of the end of October 2015, AAA level products accounted for 88%, AA+ and AA products accounted for 6%

Based on credit rating classification application in Greater China, projects rated cnBBB+ or above accounted for 90%

88%

5%

1% 6%

Ratings of Group’s debt financial products

AAA

AA+

AA

Not Applicable

52%

20% 1%

10%

2% 1%

3%

4% 5%

0% 2%

Greater China credit ratings

cnAAAcnAA+cnAAcnAA-CnA+cnA-cnBBB+cnBBBcnBBB-cnB+Not Applicable

58

Debt financial products: Most of them were Quasi-central government bonds, or guaranteed by banks, large-scale enterprises

In terms of credit enhancements, as of October, 75% investments were quasi-central government debt or guaranteed by banks major SOEs and enterprises

8% had credit enhancements in the form of collateral/pledge. As of October, there are 4 projects exempted by CIRC from having credit enhancements, which accounted for 6% of total investments

Other credit enhancement include: requirement for debts to repurchase assets under securities brokerage business at a premium, and liquidity guarantee by parent as credit enhancement for Oversea assets management products

35%

34%

8%

3% 6%

9% 6%

Credit Enhancements

Quasi-central Government Bonds/Bank Guarantee

Large-scale Enterprise Guarantee

Collateral/Pledge

Superior/Inferior

Credit Enhancement Free

Others

Non-bank Guarantee and Collateral/Pledge

59

As of the end of October, local government related investments in debt financial products amounted to RMB 9.6 billion , representing 2.5% of total asset

98% of these projects were sponsored and established within the Group, with good understanding of project particulars and sound overall risk control

For credit enhancements, 67% of the funds were invested in projects secured by banks and large-scale enterprises, 17% invested in projects pledged/with collateral and 16% invested in projects with seniority arrangement and repurchase commitment from substantial shareholder of counterparties to increase credit enhancements.

the Group adopts a more stringent approach to calculate local government debts than that adopted by regulators, which is local government debt refers to debts with repayments to be made directly or indirectly or secured by local government.

29%

16%

17%

38%

Credit Enhancements for Local Govt

Debts Large-scale Enterprises

Seniority Arrangement

Collateral/Pledge

Bank Guarantee

2.40%

2.70%

2.50% 2.50%

2014年第一季度 2014年第四季度 2015年第一季度 2015年1-10月

Proportion of Local Government

Debts in Total Assets

Quarter I of 2014 Quarter 4 of 2014 Quarter I of 2015 Jan.-Oct. 2015

Debt financial products: Proportion of local government debt is stable with adequate credit enhancements

60

As of the end of October, investments of the Group in debt financial products from property development industry amounted to RMB 15.16 billion, representing 3.9% of total assets

93% of the funds were invested in AAA and AA+ products

70% of the projects were quasi-central government bonds/secured by banks or large-scale enterprises, while the remaining 25% were secured by land collateral and pledge over costs recovered from the projects and 5% are credit enhancement free projects approved by CIRC

16% of the projects were secured in a mixed way with guarantees from major enterprises plus collateral/pledge as dual credit enhancements to protect funds invested

19%

35% 25%

5%

16%

Credit Enhancement for Debt Financial Products in Real Estate

Quasi-central Government

Debts/Bank GuaranteeNon-bank Guarantee

Collateral/Pledge

Credit Enhancement Free

Non-bank Guarantee and

Collateral/Pledge

Debt financial products: Rating of debt investment in real estate is high and adequate credit enhancements

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79%

14%

7%

Rating of Creditor Financial Product Investment in Real Estate

AAAAA+Not Applicable

Real estate investment: Highlight our exquisite strategy focused on core cities and locations with manageable risk

The Group concentrates its property investments in tier one core cities. Developed properties on lease include the Shanghai Taiping Finance Tower, China Taiping Tower in Hong Kong, The Exchange Beijing and Shenzhen Taiping Finance Tower.

Bespoken projects Beijing Guang’anmen Taiping Finance Tower and projects under development including Suzhou Taiping Finance Tower and Nanning Taiping Finance Tower are in good progress as planned.

Projects Occupancy rate Rent (yuan/m2/day)

Shanghai Taiping Finance Tower 100% 8.9

China Taiping Tower in Hong Kong 100% 13.1

The Exchange Beijing 91% 10.3

Shenzhen Taiping Finance Tower 92% 8.7

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Alternative Investment Innovations: Overseas investment, innovative equity investment, senior health industry investment

Alternative investments

Real Estate and senior living

communities

Overseas investments

Financial leasing

Traditional investments

Explore overseas investment

Innovate equity investment

Equity investment in emerging industries

Establishing senior living investment platform

New York Tribeca 111 Project

TFDAC Aviation Assets Equity Investment Funds - with stable cash flow dividends

Lakala

Uber

Establishing Joint-venture Pension Company with advanced foreign companies

Reaching definite intention in establishing Senior Health Investment Fund Management Company with Poly

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• Basic Ideology for Investment and Asset Management in 2016

Introduction to Investment Business

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I: The Group strengthens macro guidance and management and supports the transformation of new and old driving forces of Chinese economy

For traditional surplus productivity industries such as cement, steel, coal and coal chemical industry etc, two measures will be taken: one is strictly controlling new investments including increasing threshold, and the other one is strengthening risk check for exiting investment to guarantee the safety of funds by early discovery, early response and early disposing

Supply reform and innovation will be supported to promote the industry waking towards middle and high end, cultivate new growth point of future economy and make investment efficiently go through economy cycle

Investment in the following new emerging industries will be strengthened: national strategy industries like new energy and new material etc; modern service industries like senior health medical industry and modern manufacture industries like aviation, aerospace, navigation, high-speed rail and nuclear power industries

Greatly support and cultivate new growth point development of future economy

Strictly control investment in traditional surplus productivity industries

In investment the Group plays the role of providing directional guidance mainly at a macro level. In 2016 the basic direction of Group investment is to limit the investment in traditional surplus productivity and strengthen the investment in new growth points of future economy

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II: Strengthen investment in the fields beneficial to national welfare and the people’s livelihood or with synergy effects

The state policy measures of promoting the fast development of senior living industry, health industry, new consumption and life service industry will be put into effect; new mode of combining medical and recuperating will be explored; multi-measures will be taken like development, acquisition, reconstruction and rent; synergy of internal funds and external funds will be carried out to form national layout network. And the investment management mode of “Best Quality” senior housing community with Taiping characteristics will be created through effort

Collaboration with foreign companies will be conducted to push the establishment of our group controlled joint-venture operational management company so that we can learn advanced experiences of foreign senior living industry. By collaborating with leading real estate venture capital companies in the country, senior living health industry equity investment fund will be established and social fund investment in senior living industry will be introduced actively

Continue to be adapted to national strategy, like investment in national significant construction and significant infrastructure construction and in health, medical and senior living industries which are beneficial to national welfare and the people’s livelihood and have synergy effects with insurance industry

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III: In debt investment, default risk of existing debts will be checked, and to ensure new allocations will be of investment grade

For existing debts, risk check will be carried out comprehensively to reach the goal of early discovery, early response and early disposal. From current situation, the whole situation is sound. No risk involvement variety is found and portfolio’s credit risks are managable as a whole.

Focus on the prevention and response against default risks during economic downturn

For new funds, will be focus on high graded debt. Within a certain future period, national debt default risks will be rising whereas currently credit risk premium is not high. From the perspective of risk prevention and from the performance of all kinds of bond type during the spread of debt default, interest rate debt and high grade credit debt are usually better than low grade credit debts.

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IV: In equity investment, gradually cultivate long term investment and value investment idea and style

It is taken into full consideration that insurance fund has a longer investment period and lower risk tolerance. Absolute profit return character should be focused on, and long-term investment, steady investment and value investment idea and style adapting to its own characteristics should be cultivated gradually.

The following stocks will be chosen: “Best Quality” stock with strong downturn resistance, stock with high dividend guarantee and stock with outstanding advantages of coping with adverse stock market volatility so that stable yield will be produced.

Further optimize position structure

Gradually cultivated value investment philosophy

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V: In terms of alternative investment, post-investment management of projects shall be strengthened.

By fully leveraging the account custody bank as an independent supervisor, the monitor of insurance fund flows will be strengthened. A supervision bank will be established to controls special payment and ensure a fixed sum for a fixed purpose. When a project with risk signals occurs, it shall be tackled as soon as possible to ensure the safety of insurance fund practically.

For equity investment projects, explorations on how to strengthen supervision right before returning equity investment shall be made. Controlling force of equity investment project and management methods after investment will be increased by means of contracts or agreements.

For new projects, relevant agreements on investment management will be strengthened.

For existing alternative investment, the supervision of project’s main situation and insurance fund flow will be strengthened.

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VI: In terms of overseas investment, the advantage of cross-border platform will be fully leveraged for diversified allocations

Domestic Investment of Oversea Funds •RQFII Investment •RQFII Publicly Offered Funds •Foreign Capital Equity Investment Funds •Cross-border Loan and Equity Financing

Oversea Investment of Domestic Funds •Entrust QDII Investment within the Group •QDII Investment Entrusted by Third Parties •Dual-currency Insurance Policy Entrust Investment in Free Trade Area

•Insurance Funds •QDII Funds •Insurance Asset Management Products •Alternative Investment Projects •Entrusted by Other Companies

Taiping Assets Taiping Pension

Taiping Investment Holdings Taiping & Sinopec Financial Leasing

•Insurance Funds •RQFII Funds •MPF •Public Funds •Private Equity Funds

Taiping Financial Holdings

Oversea Investment Management Platform Domestic Investment Management Platform

The Group is endowed with the following advantages: it is the only central financial enterprise whose HQs is located overseas with cross-border investment platform and diversified asset allocation. The adverse situation of domestic shortage of investment will be relieved through allocating oversea “Best Quality” asset

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VII: Headquarters to headquarters strategy and comprehensive financial layout will be played fully

Currently the Group has Headquarters to headquarters strategic cooperation agreements with over fifty large-scale enterprises, state-owned enterprises and some provinces and cities

Alliance between giants with strategic customers and large-scale state-owned enterprises will be carried out; deep cooperation will be made; and two party will not only act as fund providers but assume risks and share profits, effectively control project quality and appropriately cover investment yields

Comprehensive financial advantage will be played and a package of financial services will be provided for customers

Headquarters to headquarters strategy will be implemented with Comprehensive

financial advantage

Domestic Integrated Financial Services

Overseas Integrated Financial Services

Taiping Sinopec Financial leasing

Securities

Wealth Management

Center

Controlled Public Fund

Trust

Futures

Asset Management

Financial Management

Asset Management

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Liability Investment

VIII: Asset & Liability management will be strengthened, and investment and liability business will be coordinated

Insurance investment needs to deeply understand the liability feature of insurance funds and keep a balance of risk and yield

Benign interaction of asset & liability will be realized, acquisition cost of insurance fund will be controlled properly and loss from difference of interest rate will be avoided

Liability business strategy will be identified according to investment market change

On the basis of liability features

Overall Management of Assets & Liabilities

Carry out asset allocation

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Q&A

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Thank you!

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