20 14 12 12, China Trust Industry Guarantee Fund and China Trust Industry Guarantee Fund Co., Ltd. have been approved by the State Council, and the CBRC is clearly responsible for supervision. On February, 2002 14+08+02, China Banking Regulatory Commission issued the Measures for the Administration of Trust Industry Guarantee Fund drafted by the Ministry of Finance to local banking regulatory bureaus, trust companies directly supervised by China Banking Regulatory Commission, and china trustee association, which was formally promulgated and implemented.

The Measures for the Administration of Trust Industry Guarantee Fund clearly states that the risk disposal of trust industry should be based on the principle that the seller is responsible and the buyer is responsible, and the decisive role of market mechanism should be brought into play to prevent moral hazard. Guarantee fund is a private mutual fund mainly raised by trust market participants, which is used to resolve and deal with trust risks.