Fortune Management Summit 2012 Held in Ningbo
- Details
- Category: Governmental News
- Published: Tuesday, 02 October 2012 15:03
The Fortune Management Summit 2012 was held recently at the Shangri-La Hotel, Ningbo. The Forum was jointly organized by Ningbo Daily Jiangxia Think Tank and Hangzhou Industrial & Commercial Trust. More than 100 entrepreneurs and scholars, including Liang Yaowen from Morgan Stanley and leaders of Hangzhou Industrial & Commercial Trust Co., Ltd. launched a brainstorming about trust and real estate development in China.
Trust, as the name implies, is "managing money matters entrusted by the people". The data released at the forum show that after 20 years of development the trust industry across the country has the total trust assets of 4.8 trillion yuan by the end of last year, which is an increase of 58% over 2010. By the end of June, this figure has soared to 5.54 trillion yuan, among which, the trust funds account for 95% of the total. Currently, the trust funds mainly go to basic industries, enterprises, real estate, financial institutions and securities.
It is worth noting that the once heated real estate investment trust among investors and developers have cooled down significantly. Statistics from the forum show that t the proportion of real estate trust funds account for less than 13% of the total and the absolute amount of trusts funds in real estate sector is coming down year by year.
Liang Yaowen pointed out that for investment in the real estate sector, the selection of cooperative partners should be based on a high-standard risk assessment, which is an extremely important work of the trust company before making an investment.
Many representatives at the forum believed that trust companies are playing increasingly important roles in management of personal wealth. In allocating private assets, attention should be paid on how to reduce risks to the minimum when allocating assets in different fields and in different economic cycles. The role of trust companies is to reallocate the funds entrusted by clients and invest in various fields and products of different cycles, aiming to yield the maximum benefits for customers. A survey shows that there are two million people who own over 10 million yuan of assets and that financial institutions currently have a relatively low number of such quality customers. Therefore, there exists a huge market for asset management.