Fund supervision, also known as third-party supervision. Mainly used for real estate transactions. It means that the transaction funds of buyers and sellers are not directly transferred through brokerage companies, but are transferred by the real estate administrative department in conjunction with the "special account" for fund supervision opened by banks and institutions with guarantee qualifications, and are owned by banks.

If the buyer transfers ownership within the specified time limit, the funds will be transferred to the original owner's account, otherwise it will be transferred to the buyer's account. Therefore, the supervision of funds requires buyers and sellers to open accounts in the supervision bank, and the bank is the main body of funds supervision, thus ensuring the safety of trading funds of buyers and sellers and safeguarding the rights and interests of buyers and sellers. Similar to online trading platforms such as Alipay and Tenpay.

People's Republic of China (PRC) Securities Investment Fund Law

Article 26 If the fund manager of a publicly offered fund engages in illegal business or has serious risks, which seriously endangers the order of the securities market and damages the interests of fund share holders, the the State Council securities regulatory authority may take regulatory measures such as ordering the fund manager to suspend business for rectification, appointing other institutions to take custody, take over, cancel the fund management qualification or cancel the fund management qualification.

Article 36 A fund custodian shall perform the following duties:

(1) Safely keeping the fund property;

(2) Opening a capital account and a securities account of the fund property in accordance with regulations.

(3) Set up separate accounts for different fund assets under custody to ensure the integrity and independence of the fund assets;

(4) Keeping records, account books, statements and other relevant materials of fund custody business activities;

(five) in accordance with the provisions of the fund contract, according to the investment instructions of the fund manager, timely liquidation and settlement matters;

(6) Handling information disclosure matters related to fund custody business activities;

(seven) to issue opinions on financial accounting reports, interim and annual fund reports; (eight) to review the net asset value of the fund and the purchase and redemption price of the fund share calculated by the fund manager;

(9) Convening a general meeting of fund share holders in accordance with regulations;

(ten) to supervise the investment operation of the fund manager in accordance with the provisions;

(eleven) other duties as prescribed by the the State Council securities regulatory agency.