China Trust Industry To Explore

Trust Business of our country was restored at the beginning of system reform, which, with the establishment of the socialist market economy and continual expansion of monetary system, has played an active role for both the economical prosperity & development and financial reform & innovation. Yet, some problems, such as business orientation, market positioning and legal norm are nofwell resolved during its process. Currently, payment crisis still conceals in many trust & investment companies of our country, whose operations are in an extremely hard status. Five nation-wide rectifications has been performed since 1982 onwards without complete success.The thesis adheres to Marxist historical materialism, devotes to study the trend of Chinese Trust Industry and manages to explore means which best fits for the development of Chinese Trust Industry.The thesis starts from the historical origins of the emerge of the Trust Industry, observes the situations of the Trust Industry growth in different countries, researches the objective law of the development in trust Industry and concludes: private ownership to the assets (the ownership to the means of production & livelihood) is the prerequisite & foundation for the origin of the Trust; the discrepancy in managing abilities between proprietors & operators is the reality demand for the Trust commencement; the expansion of the commodity economy is the radical motivation for the Trust development and the establishment o f socialist market economy lays a sound foundation for the evolution of the trust Industry.The thesis analyses the essential structure in Trust Industry and concludes: Trust behavior is legislative action with Trust Setting as its purpose and is a legal Trust -setting behavior. Trust relation is the mutually specific relationship established due to Trust behavior. Trust is to be entrusted to manage properties or conduct economy-relevant affairs for the appointed individuals, which is known as "entrusted to manage property ". Trust is a kind of independent credit means, which is the same as banking credit. The credit relationship is the long -term circulation of capital rather than that of the short-term. The nature of the Trust Industry decides that it is irreplaceable by whatever banking or insurance industry in the financial system.The thesis illustrates the relationship between Trust Industry and development of market economy and concludes: Trust produces and grows with the development of commodity economy and in turn, the developed Trust Industry promotes the growth and integration of the market economy. Being one form of the financial credit, Trust exerts more and more important influence in the whole life of social economy. As we are still at the developing stage of the market-oriented economy, in order to establish economy and operation system of the socialist market economy, realize the transformof the enterprises' operating system ,enrich and integrate united system for the socialist market economy, especially cultivate and expand capital market, it is imperative for us to go all out to implement Trust business and make full use of its functions, such as capital circulation, finance management and banking service etc to serve socialist economy construction.The thesis summarizes and recalls the bumpy course China takes over the past 20 years since restoration of the Trust Industry; appraises the achievement and problems in an objective & impartial way and concludes: the development of Trust Industry, on one hand, performs a positive role for the compensation to the flaw of the traditional banking business, the collection of foreign funds, the shift of social idle capital, the exploitation of banking service, the integrity & completion of financial system, the realization of diversity in fiscal forms as well as for the promotion of fast economical development; on the other hand, some negative effects are also disclosed during its process: Fund-appealing with unreasonably high interest interrupts financial order, excessively & indiscrimin...