Financial products hit by stock market

As the stock market continues to plunge, the financial planning products of banks are shifting to less risky notes and guaranteed products. As BizChina's Chen Lijun finds out, the hottest products last year, those related to the stock market, have lost value.

As the stock market continues to plunge, the financial planning products of banks are shifting to less risky notes and guaranteed products.

At a branch of the Industrial and Commercial Bank of China, no financial planning product related to stock market is found.

Zhao Na, Executive of I.C.B.C., said, "In the past two months, we issued renminbi financial planning products five times. The products focus on safe and moderate products, mainly trusts and notes. We do not issue any products related to the stock market."

Same in other banks, stock related products, promoted most by banks last year, have now been removed from selling lists. Starting from February, customers have cast doubt on products of this kind as some of them have posted zero profit. In addition, the investment-linked insurance, the most profitable products last year, have also lost their appeal due to the weakness of the stock market.

Zhou Ying, Executive of Bank of Communications, said, "Last year, most banks' major insurance product is investment-link insurance. This year, it is only a small portion of our insurance products.

So far, some of 29 investment-linked insurance that most profit earning last year have lost all the earnings it made last year.