(1) Investment project risk: Most trust products rely on the cash flow or profit generated by the project itself as the repayment source, so the risk of the project itself is one of the biggest risks of trust products.
(2) Risk of the project subject: The actual operation of the trust project and the management level, financial status and repayment willingness of the management subject affect the safety of the trust products.
Trust products refer to financial products issued by trust companies to provide investors with low risk and stable returns. At present, the annualized income category is mostly 8%- 12%. Advantages are: low risk and high return. Disadvantages are: 1 and 1 10,000, and the threshold is high. 2. The term is generally 1-2 years, during which the liquidity is poor.
Trust investment, as a financial management method with both risks and benefits between RMB financial products of banks and fund stocks, is favored by institutional and individual investors for its high and stable income level and high security measures. In terms of investment methods, trust products are similar to savings and national debt, generally with a relatively fixed term and a clear rate of return (trust is the expected rate of return). After investors buy trust products, they can generally receive income and principal at maturity, saving time and worry.
The varieties mainly include:
1. loan trust refers to the trust model that absorbs funds and issues loans through trust. This kind of trust product is the largest at present.
2. Equity trust, a kind of trust product, is to raise funds by setting up a trust for the rights that can bring cash flow. Its outstanding advantage is to realize the realization of intangible assets of the company, so as to speed up the capital turnover of the company to which the equity belongs and realize the replacement of different growth assets, which is conducive to the company to grasp favorable investment opportunities, quickly intervene and maximize the company's value.
3. Real estate trust land and various building facilities above or underground are collectively referred to as real estate.
4. Financial Leasing Trust
Collective trust
The closure period is at least one year, and the subscription amount is at least 1 ten thousand. At present, there are a small number of 300,000-500,000 trust products on the market. Trust funds and private equity funds are very similar, but there are great differences. Private placement products mainly invest in the securities market, while trusts invest more in the physical market, with a lower risk level than private placement products. At present, the trust products on the market are all fixed income, most of which are annualized at 6%-8%, and a few of them can reach 12% or even higher.