(Yicai Global) Jan. 13 -- Big state-owned Chinese lenders, including Bank of China and China Construction Bank, have been recommending long-term insurance policies to customers who are looking for less-volatile and safer products.

Customers were more optimistic and willing to invest in the stock market and real estate sector around 2020, Qin Yi, financial manager of the Guangzhou branch of BOC, told Yicai Global. But last year, many opted for more secure and guaranteed products with medium- and long-term maturities, where yields can outperform fixed deposits, Qin said.

Investor confidence in financial products offered by Chinese lenders in Dongguan and Guangzhou, in the country’s southern Guangdong province, is still low after many customers redeemed wealth management products last year.

A property strategist told Yicai Global that a bank manager suggested he put part of his funds into insurance products when he was considering investing in wealth management products. In the past two years, banks have been pushing products with higher yields, he added.

Revenue from bancassurance channels at major listed Chinese insurers rose in the first half of 2022 from a year earlier, according to financial data platform Choice. China Pacific Insurance, China Life Insurance, and Ping An Insurance saw their bancassurance revenue jump 876 percent, 24 percent, and 21 percent, respectively, the data showed.

Editors: Shi Yi, Martin Kadiev