sources of fund
According to the "Measures", the rules for raising guarantee funds are divided into three categories: trust companies subscribe according to the balance of net assets 1%; The fund trust is subscribed according to the new issuance amount of 1%; The newly established property trust shall be subscribed by the trust company at the rate of 5% of the remuneration received by the trust company.
The guarantee fund is mainly raised by trust market participants * * * to resolve and deal with trust risks. However, feedback from insiders shows that the industry security fund established by trust companies "out of their own pockets" will increase the cost of trust companies and dampen the enthusiasm of management.
The role of trust industry guarantee fund
The purpose of establishing trust industry guarantee fund is to better solve the problem of investors' confidence in trust products. Once a single trust institution has risks, the guarantee fund will provide assistance on the premise that the trust company operates legally and in compliance, so as to avoid causing industry risks or even systemic risks.