The income of private equity funds is much higher than that of trusts, so some risk-oriented investors choose private equity funds instead of trusts. The risks of private equity funds are obviously higher than those of trust companies, not in terms of products, but in terms of today's management and system. After all, trusts are members of the national financial system supervised by the China Banking Regulatory Commission, and their licenses are worth more than 1 billion yuan. Now redemption is basically rigid and there is no risk, but it is hard to say for private equity funds. A single product bears risks.

however, in terms of product design, some private placements are still good, even with better risk control.