Both trust and contract funds are essentially entrusted to manage financial management on behalf of clients, and the starting point for investment is one million. Trusts, real estate trusts, securities trusts, property rights trusts; in addition to operating trust business, trust companies also operate inherent business (the inherent business cannot invest in entities) and other businesses; contractual funds are mainly fund parties entrusted by fund parties to manage fund properties according to the fund contract. Trust and contract funds are independent of each other, and only banks and securities companies are qualified as custodians. The main differences between contractual funds and trusts are:
1. The managers are different. The managers of the trusts are trust companies (there are 68 trust companies in normal operation in the country, 3 trust companies in abnormal operations, and the registered capital of the trust companies is The minimum paid-in 300 million) trust license is quite valuable; contractual fund managers are private fund managers (private fund managers include private securities investment fund managers, private equity, venture capital fund managers, and other private investment fund managers).
2. The regulatory agencies are different. Trusts are regulated by the China Banking and Insurance Regulatory Commission; contractual funds are regulated by the China Securities Regulatory Commission. 3. The requirements for qualified investors are different. The individual income of a trust qualified investor exceeds RMB 200,000 per year in the past three years, or the total annual income of the husband and wife exceeds RMB 300,000 in the past three years. Natural persons who can provide relevant income certificates ; Contractual funds require investors whose assets are not less than 3 million yuan or individuals with an average annual personal income of not less than 500,000 yuan in the last three years. 4. The regulatory laws are different. The legal system of trusts is mainly one law and three regulations; the legal system of contract funds is one law, two regulations, seven measures, two guidelines and multiple announcements.
5. The number of qualified investors is different. The number of investors with a trust investment of less than 3 million is limited to 50, and the number of investors with more than 3 million is not limited; the number of investors in contract funds is 2-200.
6. The loan qualifications are different. Trusts have the same lending qualifications as banks. Contract funds do not have this function. At present, the management scale of trusts is 26 trillion, and the management scale of private funds is 14 trillion.