China Life Insurance Co, the country’s biggest life insurer has invested USD 300 million in Visa’s initial public offering, making it the first mainland insurer to make a pre-listing investment in a multinational company.

The purchase is the first major investment by a Chinese insurance company in the America, especially at the time of sub prime mortgage crisis. This investment was intended to put more of the money overseas to diversify risks after China’s benchmark stock index fall. The insurer used its own foreign-currency assets to make the investment, its biggest in the US stock market.

China Life even plans further investment in the US and Europe to diversify its portfolio.

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China Life Insurance, portfolio, U.S., Visa