Research On The Legal Framework Of Securities Investment Fund, Based On Trust Theory

Analyse the legal connotations, characteristics and elements of trust in its origin and development, and compare the legal relations and characteristics of the securities investment funds and trust , there is a conclusion that the nature of the securities investment funds is trust. As a trust, Securities investment funds is a flexible and effective asset management system design, and its most notable features is separation of the beneficial property and the ownership, thereby making its unique advantages in modern conomic system. No matter what form of securities investment funds law design, it should be to strengthen the protection of the interests of the beneficiaries and the obligations of the trustees. Foreign securities investment fund industry is high degree of prosperity , and it can be helped to improve the governance structure of the fund through several of the current foreign representative, which legal structure is to be designed in accordance with the principle of trust. Whatever the excellence or limitation of model, it can be drawn on China's reference. It also will be conducive to the analysis of the China's current securities investment fund management structure and operation of the legislative shortcomings. Based on those work, the legal framework of China's securities investment funds will be: the client is investors; managers and trustee are co- fiduciary; at the same time the sponsors given a figure as clients; conclusion of the contracts will be ratified by investors afterwards, and through special legislation to the custodian of the great powers, the trustee is not confined to the Trust Deed of rights and obligations, and enjoy more rights, have more obligations. This legal structure to set up securities investment funds is in line with the idea of trust law, and the Trust Law which has been formulated. It is conducive to the protection of the interests of investors, but also is able to meet the purpose of securities investment funds to pursuit upgrade of efficiency.