Real Estate Industrial Fund In China

From the middle of the 1990's,a new economic recycle of real estate is coming. With the encouraging of house reformation and financial policy, the building square of new house and investment increase year by year. From 2003,with the oppugning of "Real Estate industry is overgrown", Central Bank restrict the credit to Real Estate Industry, not only to the development enterprise of Real Estate, but also to personal consumer of this Industry.There are 2 characters in the financial demanding of Real Estate: One is huge capital amount needed, the other is long operation cycle, which decide the industry needs powerful support of finance.Presently, the financial system of real estate is still unhealthful. The major method of financial support is bank credit, which leads to bank's huge risk. At the same time, personal investment market has very few investment channels and the stock market is "sleeping".There are 4 factors which spur the development of Real Estate Investment Fund (REIF): the lack of real estate financing channels, high finance risk of commercial banks, abundant capital in the society but less investment products, develop-needed stock market. With the background, it is very suitable for us to take REIF into practice. In one side, it can bring more products of financial market, match the diversified requirements of personal investor, give the real estate enterprise more channels to get capital, decrease the venture level and deepen the reformation of real estate financial system. At the other side, it can quicken the steps of fund market development and bring stable factors to stock market.This thesis research the oversea REITs (Real Estate Investment Trusts) and our market environment, give a suitable pattern of our country.Actually, due to the limitation of practice, domestic researchers only focus on the signification of development and handicap of it. As regards how to develop REIF under currently environment is little. However, the thesis brings the possibility andtrend of REIF, also puts forward workable operation mode and developing pattern. After that, it gives a solution to the high dissymmetry of information — the major reason of the many problems in the REIF market.