China News Service, May 6th, according to the website of the China Insurance Regulatory Commission, the China Insurance Regulatory Commission recently issued the "Notice on Matters Related to the Development of Asset Management Businesses of Financial Asset Investment Companies" (hereinafter referred to as "Notice"). The notice states that insurance funds, pensions, etc. can be invested in a debt-to-equity investment plan according to law.
The notice mentions that when investing in asset management business, a financial asset investment company should abide by the principles of cost accounting, controllable risk, and full disclosure of information, perform its duties honestly, trustworthyly, and diligently, and pay investors the income according to the agreed conditions and actual investment income. 2. The principal payment and income level are not guaranteed. Investors bear the investment risk and obtain income.
The notice made it clear that financial asset investment companies should issue debt-to-equity investment plans to qualified investors through non-public means, and strengthen the appropriate management of investors. Qualified investors are natural persons, legal persons, or other organizations that have the ability to identify risks and bear risks that are compatible with the debt-to-equity investment plan and meet the following conditions:
1. Have more than 4 years of investment experience, and meet one of the following conditions: family financial net assets not less than 5 million yuan, or family financial assets not less than 8 million yuan, or the average annual income of not less than 60 in the past 3 years Ten thousand yuan.
2. A legal entity with a net asset of not less than 20 million yuan at the end of the most recent year.
3. Other circumstances that the China Banking Regulatory Commission regards as a qualified investor.
The amount of qualified investors ’investment in a single debt-to-equity investment plan is not less than 3 million yuan. Financial asset investment companies shall conduct regular assessments of investors' risk tolerance through official channels of financial asset investment companies or other channels approved by the China Banking and Insurance Regulatory Commission.
Natural person investors participating in the subscribed debt-to-equity investment plan shall not use the bank ’s bad debts as the investment target.
The notice pointed out that financial asset investment companies may sell debt-to-equity investment plans on their own, or they may entrust commercial banks and other institutions recognized by the China Banking and Insurance Regulatory Commission to sell or promote debt-to-equity investment plans. When commercial banks act as agents in the sale of debt-to-equity investment plans, they should strictly follow the requirements of the CBRC's Notice on Regulating Commercial Banks' Agency Sales Business (Yinjian Fa [2016] No. 24) and other requirements, and do due diligence, risk isolation, and investors Suitability management.
Financial asset management companies, insurance asset management institutions, state-owned capital investment and operation companies and other market-oriented debt-to-equity swap implementation agencies and in compliance with the "Notice on Encouraging Related Institutions to Participate in Market-oriented Debt-to-Equity Conversion" No. 1442), various relevant institutions may use their own funds, legally raised or managed special funds for market-oriented debt-to-equity investments to invest in debt-to-equity investment plans under the premise of legal compliance.
Financial asset investment companies may use their own funds, legally raised or managed special funds for market-oriented debt-to-equity swaps to invest in the company ’s or other financial asset investment companies ’debt-to-equity investment plans as managers, but they may not use trustee-managed funds. Capital investment in the company's debt-to-equity investment plan.
Insurance funds, pensions, etc. can be invested in debt-to-equity investment plans according to law. Other investors can use their own funds to invest in debt-to-equity investment plans.
The notice stated that the debt-to-equity investment plan may invest in a single market-based debt-to-equity asset, or it may be invested in an asset portfolio. In portfolio investment, market-oriented debt-to-equity swap assets should in principle be no less than 60% of the net assets of the debt-to-equity swap investment plan. Other assets that can be invested in a debt-to-equity investment plan include contractually-deposited deposits (including large certificates of deposit), standardized debt assets, etc.
The notice requires that the debt-to-equity investment plan should be a closed-end product. Investors must not subscribe or redeem from the product establishment date to the termination date. If the debt-to-equity investment plan invests directly or indirectly in non-standardized debt assets, the termination date of the non-standardized debt assets shall not be later than the product maturity date. If the debt-to-equity investment plan invests directly or indirectly in the equity of the unlisted enterprise and its income rights, the withdrawal date of the equity and its income right of the unlisted enterprise shall not be later than the expiration date of the product.
Debt-to-equity investment plans should in principle be equity products or mixed products, and share classification can be carried out. The classification ratio (priority share / inferior level share, intermediate level share is included in the priority level) Share). The classification ratio of equity products shall not exceed 1: 1, and the classification ratio of mixed products shall not exceed 2: 1. The tiered debt-to-equity investment plan shall not directly or indirectly provide capital preservation arrangements for priority share subscribers.
A financial asset investment company shall independently manage the graded debt-to-equity investment plan, and shall not delegate it to inferior investors.
The total assets of the debt-to-equity investment plan shall not exceed 200% of the net assets of the product. The total assets of the graded debt-to-equity investment plan shall not exceed 140% of the net assets of the product.
When calculating the total assets of the debt-to-equity investment plan, the financial asset investment company shall merge and calculate the underlying assets invested in the debt-to-equity investment plan according to the penetration principle. If a debt-to-equity investment plan invests in asset management products, the underlying assets shall be calculated according to the proportion of asset management products held.