Legal analysis: Yes. According to the property law, stocks and funds are allowed to be pledged, but whether you can find someone to give you a loan is another question. You need to contact a specific bank, trust or natural person to negotiate. When the fund share is mortgaged, both parties shall conclude a written contract. After the pledge, it shall not be transferred without the consent of both parties.

It is a common practice all over the world to allow the pledge of equity and fund shares. After the implementation of Property Law, this kind of pledge behavior will be more and more in China.

Legal basis: According to Article 46 of People's Republic of China (PRC) Securities Investment Fund Law, fund share holders have the property right to share the proceeds of fund property, participate in the distribution of the remaining fund property after liquidation, transfer or apply for redemption of their fund shares according to law.