This week will focus on:
● The China Securities Regulatory Commission (CSRC) conducted research on further deepening the reform of the capital market in an all-round way
● Can the "transfer with mortgage" of real estate land make the capital chain of real estate enterprises pick up?
● The Audit Commission disclosed that $27.9 billion of special bond funds were idle or misappropriated
● Guidance on the recollection window of some trust companies
● The "China Trust High-quality Development Report" was released
● CITIC Trust Evergrande Guangzhou project was successfully withdrawn
● The equity of Daye Trust should be completely transferred
● Project refund? Golden Valley Trust issued an emergency declaration
● Dongguan Trust was approved to change its registered capital
● Zhejin Trust's "restructuring + common benefit debt" model helps enterprises to bail out
● China Construction Investment Trust launched the first direct investment convertible bond "fixed income +" product
● Kunlun Trust established the first green certificate trading trust of PetroChina's main business unit
●[Observation] Strategic thinking on the high-quality development of trusts in 2024
●[Observation] The trustee is exempt from liability for due diligence in the investment of real estate trust equity
1. Financial perspective
■ The China Securities Regulatory Commission (CSRC) conducted a special investigation on further deepening the reform of the capital market in an all-round way
On June 28, in order to thoroughly implement General Secretary Xi Jinping's important exposition on comprehensively deepening reform, and conscientiously implement the relevant arrangements of the Central Financial Work Conference and the new "National Nine Articles", Wu Qing, Secretary of the Party Committee and Chairman of the China Securities Regulatory Commission, and other team members have carried out research in Shenzhen, Guangzhou, Shanghai, Beijing and other places to further deepen the reform of the capital market in an all-round way.
Comments: Promoting the high-quality development of the capital market is of great significance for supporting high-level scientific and technological self-reliance and self-reliance, and developing new quality productivity. All parties are full of confidence that the mainland's economy will continue to maintain stability and improvement, and that the capital market will develop steadily and healthily.
■ Can the "transfer with mortgage" of real estate land make the capital chain of real estate enterprises pick up?
On June 24, the Ministry of Natural Resources carried out video training, implemented the executive meeting of the State Council and the national video conference deployment of the work of ensuring the delivery of housing, and promoted the effective disposal of idle and revitalized land in various localities. The Ministry of Natural Resources, together with the National Development and Reform Commission and other departments, has issued 18 policies and measures in three aspects, including promoting the "mortgage transfer" of real estate land, and supporting the recovery of acquired land for affordable housing with local government special bonds.
Comments: Judging from these 18 policies, recycling projects will also involve problems at the company level, but the recovery of land plots is very direct to alleviate the capital level of enterprises, so the policy is very optimistic. At the implementation level, SOEs are likely to be more willing to participate, and of course their audit requirements will be more stringent.
■ The Audit Commission disclosed that 27.9 billion yuan of special bond funds were idle or misappropriated
On June 25, the National Audit Office released the "Audit Report of the State Council on the Implementation of the Central Budget and Other Financial Revenues and Expenditures in 2023", which disclosed the audit of the central financial management, budget implementation of central departments, major projects and key livelihood funds, and state-owned asset management in 2023, pointing out that the measures related to investment expansion have not been effectively implemented, and the management of local debts is not strict enough. By the end of 2023, 27.924 billion yuan of bond proceeds from 522 projects were idle or misappropriated that year.
Comments: This reflects that there are still omissions in the screening mechanism and monitoring of the use of funds for special bonds, and the problem of insufficient reserves for high-quality projects is prominent.
2. Trust dynamics
■ Guidance on the recollection window of some trust companies: the third-party consignment business is completely suspended
On June 25, the reporter of Trust Bailaohui learned that some trust companies recently received guidance from the window of the regulatory department again, requiring a complete suspension of third-party consignment business. Some trust company insiders admitted to reporters that what they received was an oral notice from the territorial supervision, and the follow-up regulatory authorities may have relevant documents issued. In addition, a number of third-party distribution agencies confirmed to reporters that they have received a request from the cooperative trust company to suspend third-party distribution, including the collective trust products that are planned to be issued and those that are being issued.
Comments: The regulatory authorities have long prohibited the third-party consignment sales of collective trusts, and the main purpose of this window guidance is to continue the overall idea of strict supervision and risk control, and cut off the transmission of third-party risks to trust companies, which is conducive to maintaining the stability of the financial market and the steady development of the trust industry.
■ The "China Trust High-quality Development Report" was released
On June 29, the "3rd International Trust Law Frontier Seminar" was held in Beijing, sponsored by the Law School of Nankai University and China Foreign Trade Trust, co-organized by Beijing Jingjing Law Firm and Jinghua Shijia Information Consulting (Beijing) Co., Ltd., and supported by Beijing Trust Law Society. At the meeting, China Foreign Trade Trust, Nankai University Law School and Beijing Jingjing Law Firm jointly wrote the "Accurate Positioning, Transformation and Innovation, Inclusive Services, and Helping to Strengthen the Country-China Trust High-quality Development Report" was officially released, and the report proposed that the high-quality development of China Trust should be based on the financial system with Chinese characteristics to find the correct positioning, learn from and surpass the global trust development experience and achievements, continue to promote the theoretical innovation, institutional innovation and practical innovation of China Trust, and take the road of trust development with Chinese characteristics.
■ CITIC Trust Evergrande Guangzhou Project was successfully withdrawn
Recently, the CITIC Trust Evergrande Guangzhou project, which has received widespread attention in the industry, namely the "CITIC Trust Jiahe No. 125 Evergrande Guangdong Equity Income Right Collective Fund Trust Plan", has received the last payment. This indicates that with the joint efforts of the local government and the trust company, the trust plan will be successfully exited, and the relevant funds are planned to be distributed in the near future.
■ Shaanxi Guotou declares that it "does not authorize or entrust" these websites and institutions
On the morning of June 26, Shaanxi Guotou, a listed company, urgently issued the "Solemn Statement on Illegal Sales by Third-Party Institutions" on its official WeChat, saying that the company had not entrusted a third party to sell trust products. Shaanxi Guotou said to consumers in a statement that the company has recently found that some websites, non-financial institutions, etc., have published the company's trust product information without authorization, so it solemnly declares that the company has not authorized or entrusted any third-party non-financial institutions or websites to promote and sell the trust products issued by the company. Please pay attention to the screening.
■ The equity of Daye Trust should be completely transferred
On June 26, according to the information of the Beijing Equity Exchange, Daye Trust intends to transfer equity, and the first two state-owned shareholders of this trust company hold a total of 80% of the shares, and the two state-owned shareholders plan to sell their shares in the same proportion! The announcement discloses: the transfer of the equity (non-controlling interest) held by the first state-owned shareholder of the target, the second largest state-owned shareholder intends to exercise the right to transfer the equity together, and other shareholders have the right to exercise the right of first refusal or the right to sell under the same conditions. The partner shall meet the requirements for the transfer of state-owned financial assets, the Interim Measures for the Administration of Equity of Trust Companies issued by the State Administration of Financial Supervision and other requirements for the qualifications of the transferee, and shall obtain the approval of the government of the place of registration.
■ Chengtou sent a "lawyer's letter" to Minsheng Trust to request payment!
Chengtou has sent the redemption payment to the trust company, but the investor has not received the redemption payment? Recently, the incident triggered an "oolong", which made investors mistakenly think that it was difficult to redeem urban investment, and mistakenly thought that Jiangsu Zhengxin was at risk, but in fact, Jiangsu Zhengxin products are still as stable as Mount Tai! It is understood that as early as June 14, the urban investment company has paid the trust company. The actual problem is not Chengtou, but the trust company, as we all know, Minsheng Trust belongs to the custody state, and there is a problem in the process.
■ Project refund? Golden Valley Trust issued an emergency declaration
Recently, Jingu Trust issued a statement. According to the statement, recently, the company found that some criminals forged our company's seal, fraudulently used our company's name, and issued false information called "Jingu Trust Clearance Notice", requiring users to click on relevant unknown websites to handle project refunds. In this regard, Jingu Trust said: The company has never issued the above notice, and investors should not click on the links of relevant websites to avoid being deceived. If you have any questions, please go to our company (10th Floor, Block C, Tongtai Building, No. 33 Financial Street, Xicheng District, Beijing) or verify through the official website (https://www.jingutrust.com) and telephone (400-610-6658).
■ Dongguan Trust was approved to change its registered capital
On June 27, 2024, according to the Dongguan Supervision Branch of the State Financial Supervision and Administration Bureau, Dongguan Trust Co., Ltd. obtained the approval to change the registered capital. It is reported that the approval includes the approval of Dongguan Trust to change its registered capital from RMB 1656185568.00 to RMB 2064839415.00. The company shall complete the capital change, amend the corresponding articles of association within 6 months from the date of approval by the branch, and report the relevant situation to the branch. If the legal procedures such as business license registration are involved, the company shall report the relevant situation to the branch within one month after completing the change procedures.
■ The East China Business Headquarters of Kunlun Trust established a standard trust for industrial chain customers
On June 18, the East China Business Headquarters of Kunlun Trust established the "Kunlun Gem Huahua Standard Investment Fixed Income Trust Plan", which is a customized standard trust developed for the East China Business Headquarters to dig deep into the financial needs of industrial chain customers and develop them for industrial chain customers. The first phase of the project is entrusted to two industrial chain institutional customers, and the business headquarters in East China will continue to develop industrial chain customers to invest in this trust product. The successful implementation of the project has realized the effective connection between industrial chain customers and standard product business, and laid a solid foundation for further cooperation with industrial chain customers in the field of industry and finance while solving the financial needs of customers.
■ Zhejin Trust and Caitong Securities jointly landed the company's first investment advisory listed company wealth management service trust
On June 26, the official WeChat account of Zhejin Trust announced that the family office of Zhejin Trust continued to innovate and make breakthroughs in the field of wealth management service trust, and joined hands with Caitong Securities to land the company's first investment advisory listed company wealth management service trust. The project is supported by a listed company as the trustee, Zhejin Trust as the trustee, Caitong Securities as the investment advisor, and the two service agencies jointly provide account management and asset allocation services for the listed company. Since last year, Zhejin Trust and Caitong Securities have joined hands to implement a number of wealth management service trusts with corporate legal persons as settlors, and have accumulated a lot of relevant experience.
■ Jingu Trust signed a strategic cooperation agreement with Anhui Zhong'an Financial Assets Co., Ltd
On June 26, the signing ceremony of the strategic cooperation agreement between Jingu Trust and Anhui Zhongan Financial Asset Management Co., Ltd. was held in Hefei. The signing of this agreement provides a new opportunity for the two sides to carry out multi-level, multi-form and multi-field cooperation, and in the next step, the two sides will start with this cooperation to accelerate the establishment of a long-term mechanism of high-level communication, and gradually expand the scale and field of cooperation. Jingu Trust will also continue to adhere to the strategy of "regional deep cultivation", rely on the advantages of Zhong'an Financial Assets in Anhui Province, achieve rapid development in Anhui Province, and provide a full range of financial services for high-quality enterprises in Anhui Province in investment and financing, disposal of non-performing assets, ABS, F-EPC, REITS and other business fields.
■ Zhejin Trust: "Restructuring + Common Benefit Debt" model helps enterprises bail out
Recently, the groundbreaking ceremony of the second phase of the Chongqing Jiangjin Luhu Changdao Project, which was the target of the mutual benefit bond project set up by Zhejin Trust, was successfully held. This project is the first real estate common benefit bond placed by Zhejin Trust in Chongqing, and it is also the first local bailout case of "restructuring + common benefit debt" enterprise. The project has a development area of about 110,000 square meters and a development area of about 500,000 square meters. During the implementation of the reorganization plan, with the strong support of the local government and the court, Zhejin Trust actively connected with the project company, managers and partners, sorted out the assets and liabilities of the project company, and formulated an overall revitalization plan according to the pain points and difficulties of the project.
■ China Construction Investment Trust launched the first direct investment convertible bond "fixed income +" product
Recently, China Construction Investment Trust has successfully launched the first direct investment convertible bond "fixed income +" product - "China Construction Investment Trust Huifu No. 1". The establishment of this product not only reflects the company's innovative breakthrough in the field of capital market business, but also marks the company's deep cultivation in the investment fields such as credit bonds and convertible bonds. The filing scale of the "Huifu No. 1" product is 800 million yuan, with an estimated duration of 10 years, which is open for fundraising every month and closed for 6 months. The successful fundraising of this product provides a solid foundation for China Construction Investment Trust's exploration in the field of fixed income multi-strategy, and also lays the cornerstone for its future business transformation.
■ Kunlun Trust established the first green certificate trading trust business of PetroChina's main business unit
Recently, the Financial Interbank Department of the Financial Market Division of Kunlun Trust was entrusted by the Erlian Branch of PetroChina North China Oilfield Company to establish the "Kunlun Electric Power Green Energy No. 2 Administrative Management Service Trust", and the funds were specially used to find green certificate sellers for the client and help them complete the delivery of green certificates. After full market research by the project team, the client and Tianjin Anjie IOT Technology Co., Ltd., the seller of green certificates, successfully completed the delivery of 15,000 green certificates, marking the company's official entry into the field of green electricity and green certificate trading as the main business unit.
3. Market observation
■ Strategic thinking on the high-quality development of trusts in 2024
In 2023, the trust industry has undergone unprecedented changes and challenges, and although it has experienced the baptism of risk outbreak, institutional liquidation and scale reduction, it has also provided development opportunities for trust companies that operate in compliance and focus on transformation. In 2024, in the face of relatively mature customer groups, complex market environment and diversified financial needs, trust companies should seize the opportunity to transform into new tracks and explore new models, and can consider exploring from the following aspects:
Insider's view:
First, in terms of strategic choice, the implementation of the new regulations on the "three classifications" of trusts provides new ideas and new guidance for trust companies to get rid of traditional paths, clarify business boundaries and broaden service connotations, and provide a foothold for financial services and financial innovation. At the same time, we try to find the business development direction of serving the "five major articles", and diversify into service-oriented trusts, asset management trusts, charitable trusts and wealth management.
Second, in terms of business model, trust companies should combine the development experience of other asset management institutions, change their development ideas, find their own differentiated competitive advantages under the premise of conforming to regulatory guidance and market rules, and shift from the acquisition of non-standard assets and the approval of non-standard projects as the core to customer demand-oriented, and improve their professional capabilities in terms of solution innovation, product design capabilities, channel expansion, digital capabilities, operation carrying capabilities, and service specialization. From a high dependence on real estate and government credit business to a comprehensive expansion of the industrial side, we will continue to build a sustainable business model with certain competitive advantages.
Third, in terms of organizational system, the implementation of the "three classifications" makes it difficult for the trust company's original organizational structure to better implement the corporate strategy around the traditional non-standard financing business, and a professional front-end team should be set up around the business areas under the "three classifications", and the supporting middle and back office capacity building should be strengthened with technology empowerment, so as to ensure that the resource investment matches the company's strategy, and carry the implementation and implementation of the trust company's transformation strategy through the new organizational structure.
■ The trustee is exempt from liability for due diligence in the investment of real estate trust equity
In recent years, with the rapid development of equity investment in real estate trusts, it has broad market prospects as one of the directions of trust business transformation. With the in-depth adjustment of the real estate industry and the improvement of regulatory requirements, the trustee, as an independent institution with management and operation responsibilities, is facing increasing responsibilities and challenges. In this process, how to balance the responsibilities and immunity of trustees has become an important issue.
Industry Perspectives:
1. Pre-investment management: do a good job of due diligence. The focus of pre-investment management of equity investment in real estate trusts is to do a good job of due diligence. Business personnel should follow the principles of prudence, prudence and seeking truth from facts, conduct a comprehensive investigation of the factors affecting the business security of the real estate trust project applied for through on-site inspection, inspection, inquiry and other methods, and confirm the authenticity of the information provided by the borrower, guarantor and other transaction partners.
2. Post-investment management: keep the key links. Post-investment management of real estate trust equity investment refers to the dynamic management and control process of comprehensive supervision, management and operation of the invested project after the completion of the real estate trust equity investment to ensure that the project can operate smoothly according to the plan and achieve the expected returns, while minimizing the investment risk. Real estate investment generally has a long cycle, so post-investment management is a very important part of the whole real estate trust equity investment process, and it is also the most problematic link. It includes the following key links: First, the early stage of project development. Second, the investment in project development. Third, sales and collection. Fourth, the management of monetary funds.
■ A one-week market overview of trust products
1. This week (June 24, 2024 - June 30, 2024), the market for the establishment of asset management trusts has rebounded sharply, and the number and scale of product establishments have increased significantly. According to incomplete statistics from public information, a total of 457 asset management trust products were established this week, an increase of 26.59% month-on-month; the establishment scale was 9.457 billion yuan, an increase of 19.50% month-on-month; The average daily establishment scale is 1.891 billion yuan.
2. This week, the asset management trust issuance market "decreased", with the number of issuances rising slightly and the issuance scale declining slightly. According to incomplete statistics from public information, a total of 38 trust companies issued 254 asset management trust products this week, an increase of 4.96% month-on-month; The issuance scale was 18.293 billion yuan, a decrease of 4.80% month-on-month, and the average daily issuance scale was 3.659 billion yuan.
3. This week, the number and scale of non-standard trust products have both risen sharply. According to incomplete statistics from public information, a total of 193 non-standard trust products were established this week, an increase of 29.53% month-on-month; The establishment scale was 6.534 billion yuan, an increase of 36.72% month-on-month.
4. The number of standard trust products issued this week was 142, an increase of 6.77% month-on-month; A total of 264 standard trust products were established, an increase of 24.53% month-on-month; The establishment scale was 2.923 billion yuan, a decrease of 6.76% from the previous month.
Author: Usufruct Trust Research Institute
Source: usufruct trust network