Is Shandong A Niu Zhitou reliable? What is the difference between trust and asset management?

Both trust and asset management are acts in which investors, the settlor, entrust funds to professional trustees or institutions to help the settlor manage and operate their own assets. So what is the difference between trust and asset management?

1. The meaning of trust products

Trust product refers to a financial wealth management product that provides investors with low risk and stable income return. Trust varieties are very diverse in product design, and each will have different characteristics.

2. The meaning of asset management products

Asset management is a standardized financial product that is approved by the regulatory authority for a public fund management company or securities company to raise funds from a specific customer or accept the entrustment of the property of a specific customer as an asset manager, and the custodian institution acts as the asset custodian, using the entrusted property for investment for the benefit of the asset principal.

3. The difference between trust products and asset management products

1) Regulatory authorities vary

The regulatory authority for asset management products is generally the CSRC, and the trust product is the CBRC.

2) There are differences in applicable laws

Asset management products are mainly subject to securities market laws, and trust products are subject to trust market laws.

3) There are differences in the issuing entities

The issuer of asset management products is an asset management company, and the issuer of trust products is a trust company.

4) There are differences in quotas

Asset management products can have 200 investment quotas; trust products can only have 50 natural persons with less than 3 million.

5) The scope of investment varies

Asset management products are only an investment and financing tool; in addition to being an investment and financing tool, a trust can also have application value in many fields such as family wealth preservation and inheritance, social charity and donation.

6) There are differences in management content

Asset management products are the management of funds; trust products can also manage some things in addition to fund management, especially in family trusts.