After the client entrusts his own money to the trustee, who owns the money?

When it comes to trust, many southern fans will be unfamiliar. In fact, together with banking, securities and insurance, it is usually called the four pillars of the financial field. As a "Gao Fushuai" product in the financial field, trust is always mysterious. So what exactly is a trust? How do individual investors get involved?

Legend has it that in ancient Egypt, before the death of the head of the family, the property would be entrusted to a reliable person for management, and the heir to the property would be appointed through a will. This kind of "will entrust orphans" behavior is called "original trust".

Let's talk about the Romance of the Three Kingdoms, which we often watch. It tells the story of Liu Bei's orphan in Baidicheng. This contractual spirit that you can give you a country only by reaching an agreement with the other party is actually a kind of pure trust.

Therefore, it is not difficult for us to see the core of trust-that is "trust".

Two functions of trust 0 1

Property management function

In detail, trust is an act that the client entrusts the property rights to the trustee based on trust, so that it can manage or dispose of the property in the name of the client for the benefit of the beneficiary or for a specific purpose.

It sounds a bit confusing, but in a word: "Trust is that people entrust others to manage money on their behalf", which is also the basic function of trust-property management function.

Moreover, it should be noted here that the entrusted property can be both tangible assets such as stocks, bonds, land and houses that we are familiar with, and intangible assets such as intellectual property rights.

Therefore, according to the different nature of entrusted property, trust business can be divided into money trust, movable property trust, real estate trust and securities trust.

02

Financing function

Later, with the maturity of the trust system, trust has developed from a simple property escrow to a financial system arrangement that integrates property management, financial intermediation and social welfare functions.

For example, we often say that trust investment refers to the financial intermediary function of trust, that is, capital trust. In China, trust companies develop trust business and products according to the trust law and under the supervision of the China Banking Regulatory Commission, and use their professional knowledge to invest in financial markets, real estate, infrastructure construction and other fields, ultimately bringing benefits to investors.

What are the characteristics of trust financing? After understanding what trust is, investors are more concerned about one question: since trust investment is also a kind of financial management, what are its characteristics?

0 1

First of all, the risk is relatively controllable.

South-South also mentioned above that trust investment has three subjects, namely, the principal, the trustee and the beneficiary, which leads to the separation of ownership, management and beneficiary rights of trust property.

Generally speaking, the beneficiaries of trust investment need to provide mortgage or guarantee that meets the requirements while obtaining funds, so for investors, the safety of products will be guaranteed to some extent.

At the same time, the trustee is what we call a trust company. At present, there are only 68 qualified trust institutions in China, which also means the scarcity of trust licenses. Moreover, these trust institutions will be strictly supervised by the CBRC when conducting business, which also protects the legitimate interests of investors to a certain extent.

02

Secondly, the threshold of trust investment is high.

Take the fund we are familiar with as an example, its starting investment threshold is relatively low, and many of them can be purchased for one yuan on the direct selling website. And the threshold of trust products is far more than that, most of them are 1 10,000. Of course, there are also many products purchased by 300,000 yuan at present.

Does that mean you can buy it as long as you have enough money?

In fact, according to the Guiding Opinions on Regulating Asset Management Business of Financial Institutions issued on April 27th, 2065438+2008, it is clearly pointed out that trust products can only be invested by qualified investors. So what kind of individual investors can meet the qualifications of qualified investors? You can view the table in the text version.

To sum up, individual investors should not only have strong economic strength, but also have sufficient risk identification ability and commitment ability to invest in trust products.

03

Finally, the investment method is flexible.

According to the statistics of china trustee association, in 20 19, trust funds mainly flowed to industrial and commercial enterprises, financial institutions, basic industries and real estate, especially industrial and commercial enterprises accounted for 30.6%.

It is not difficult to see that trust can span the three fields of money market, capital market and industrial investment, and can also operate flexibly in various forms such as equity and loans.

04

The yield is higher than that of general wealth management products.

It is precisely because of the flexibility of investment methods and the universality of investment fields that the yield of trust products is higher than that of general wealth management products.

According to the statistics of Yiyi Financial Trust Research Institute, the average expected rate of return of collective trust products in 20 19 years is 8. 12%. Although with the breaking of rigid redemption and the promotion of net worth management, the expected yield of fixed-income products such as trust is facing downside risks, it does not affect that the yield of trust is still higher than that of traditional bank wealth management products.

Matters needing attention in trust investment Speaking of this, many investors may have a preliminary understanding of trust financing. As a "Gao Fushuai" product in financial management, finally South-South also put forward some investment precautions:

First, qualified investors must make purchases through formal purchase channels when making trust investments.

The common channels for us to buy trust products are direct sales by trust companies, bank consignment and third-party consignment. However, with the increasing number of third-party organizations and uneven development, individual investors must not take it lightly when purchasing.

Second: the overall investment period of trust products is long, and Nanfen, who needs funds in the short term, must choose carefully.

Finally, although trust products are guaranteed by "security mats" such as mortgages and guarantees, they are not without risks, so when choosing such products, we should also combine our own risk capabilities. Having said that, many southern fans may sigh: this investment product has such a high threshold that it is not suitable for me. But the knowledge of financial management has no boundaries. Learn more investment skills, maybe you will use them one day!