fund custody business refers to a business in which a qualified commercial bank acts as a custodian, signs a trust fund custody contract with the client according to relevant laws and regulations, safely keeps the entrusted investment funds, and performs the relevant duties of the custodian. There are many kinds of bank custody business, including securities investment fund custody, entrusted fund custody, social security fund custody, enterprise annuity custody, trust fund custody, rural social security fund custody, basic old-age insurance personal account fund custody, supplementary medical insurance fund custody, income and expenditure account custody, QFII (qualified foreign institutional investors) custody, valuables custody and so on.
fund custody business is the business of receiving clients' entrustment, keeping clients' funds safely, exercising supervision duties and providing investment management-related services.
commercial banks have a wide range of custody business, mainly including: safe custody of entrusted funds; Capital settlement and securities delivery under the name of entrusted funds; Supervise the investment operation of entrusted funds; Report the investment operation and related information of the entrusted funds to the relevant departments and clients in a timely manner; Make accounting records of the funds, liabilities and investments of the entrusted funds; Valuation of securities held by entrusted funds according to relevant requirements; Objectively and fairly analyze the investment operation of the entrusted funds, and provide relevant analysis information to the clients; Other businesses related to entrusted fund custody.
for the entrusting party, the entrusted fund custody business gives consideration to the profitability and safety of investment, and can enjoy the financial services provided by the entrusting party. At the same time, because the entrusting party is responsible for the accounting and liquidation of funds, it can effectively avoid some disputes in the process of entrusted financial management, so the entrusted fund custody business of commercial banks has broad market development prospects.