To be a channel, it is in this process that brokers provide channels for banks and charge a certain fee for crossing the bridge. The main form of channel business used to be bank-trust cooperation. Due to the suspension of the CBRC, banks turned to bank-securities cooperation with securities companies.
Extended data
Based on the principle of risk diversification, trust companies use the funds of unspecified majority investors to invest in securities by people with specialized knowledge and experience to obtain capital gains or dividend income. A securities investment trust enterprise refers to an enterprise that engages in the following businesses:
1, issue beneficiary certificates to raise securities investment trust funds;
2, the use of securities investment trust funds to invest in securities and related commodities;
3. Accept the full authorization of the customer;
4. Other related businesses approved by the People's Bank of China.
The types of securities investment trust business include:
(1) Common stock fund: All or most of the fund assets are invested in common stock.
(2) Bond preferred stock fund: invest all or most of the fund assets in bonds or preferred stocks with stable interest rates in order to be stable.
(3) Balanced funds: Fund assets are invested in common stocks, preferred stocks and various bonds.
(4) Money market funds: Fund assets are mainly used for high-yield short-term bills in the money market, such as treasury bills, commercial promissory notes and bank deposit certificates.
(5) Growth Fund: The goal is to pursue the profit from the rising price of securities.
(6) Income fund: for the purpose of obtaining dividend income.
Baidu Encyclopedia-Trust Business