Following the introduction of REITs in Singapore, the first real REITs-linked fund in Hong Kong was officially listed on the Hong Kong Stock Exchange in June+February, 5438. However, there is no real real estate investment trust product in Chinese mainland at present. Generally speaking, REITs (Real Estate Investment Trust Fund) means that investors invest their money in a real estate portfolio managed by experts, which is mainly used to buy mature properties with stable rental income, and the proceeds are used to repay investors. Because it takes the form of public offering and issuance of income certificates from listed transactions, it is defined as a public investment tool. So far, the real estate investment fund in China is only a real estate investment trust scheme, not a real REITs. The similarities between them are as follows: first, real estate investment is regarded as an important goal of fund investment; Secondly, investors' funds are concentrated and invested by investment experts, so they are generally called real estate investment funds. (Original by He Xun Finance and Economics) REITs have distinct characteristics, which are different from general trust products. Its investment cycle is long, mainly based on mature commercial properties, and the source of funds is mostly in the form of public offering, which has restrictions on investment targets (restricted development projects) and even geographical restrictions. It is a public investment tool with strict supervision. Each real estate investment trust certificate represents a certain proportion of the ownership of a set of real estate, backed by fixed assets, so it is easier to be used for pledge or secured financing, and the acquisition of real estate requires independent legal personality. On the contrary, trust products are generally short-term, and most of them are specific targets. In fact, earlier, China mainland trust companies tried to reduce the minimum amount of trust units by persuading the regulatory authorities in order to expand the scope of fundraising, which can only be regarded as an innovative attempt to move closer to REITs. At present, due to the lack of corresponding legal support, there are no real REITs products in China market. The first batch of real estate investment trusts in Asia chose to list in Singapore. Before 2000, Singapore had laws and regulations on the listing of REITs. In June this year, Hong Kong also announced the entry into force of the revised Code of Real Estate Investment Trust Funds. However, there is no corresponding industrial fund law in Chinese mainland. REITs is one of the hottest terms in 2005. Recently, a large number of mainland properties are planning to list in Singapore or Hong Kong. The revised Code for Real Estate Investment Trusts allows real estate trust investment funds (REITs) to invest in global real estate projects and include mainland real estate projects in the listing of REITs in Hong Kong. (He Xun Finance and Economics Original) At present, there are a large number of diversified financing needs in China, so we should first develop localized REITs. We can learn from the successful experience of Singapore and Hong Kong, and provide opportunities for more people to share REITs in the mainland market of China. (He Xun Finance Original) In fact, once REITs products are invested in mature properties in China, it will have a decisive impact on commercial real estate. If a mature property is not placed on a real estate trust fund, it is possible that the developer is still a major shareholder and holds the property according to the company's holding method. Then, a large part of their investment is locked in real estate. However, if the property is put into the real estate trust fund, it is equivalent to selling the property to the trust fund, then most of the investment can be recovered, and these funds can also be used to develop new properties. (He Xun Finance Original) The biggest selling point of REITs is low risk and high return. Compared with stocks, not only the investment risk is lower, but also the return on investment is higher than that of stocks. REITs do not invest in a single developer or buy shares in listed real estate companies, but choose the best. They select mature projects with stable cash flow from the developed projects as investment products, and then hold them for a long time, and get rents as investment returns. Then, since the mainland securities market in China can allow securities products such as stocks to exist, why are there no REITs? (He Xun Finance and Economics Original) Of course, we can't give up the opportunity for this product to enter the mainland securities market just because there is no good legal binding mechanism at this stage. Therefore, the enactment of industrial fund law as soon as possible is the most concerned and studied issue of China government at present. (He Xun Finance and Economics Original) Judging from the current development of REITs in Xingang, the level and mode of operation of REITs tend to be mature, and there is an example to follow in developing REITs in China, which can reduce risks and avoid unnecessary detours. Therefore, it is timely to launch local REITs in Chinese mainland. (