The Current Situation And Development Of Structured Trust Plans In Domestic Trust Industry

Trust plans are financial products or financial assets established by a trust company under the specifications, and can be directly invested.Usually, the investment yield of a trust plan is significantly higher than the savings and bonds.The active innovation becomes an important impetus in the industry development. among the variety kinds of innovations in trust plans, the mostly used is structured trust plan.A structured trust plan can not only make innovation in investment profitability,but also help the trust plan to improve the market recognition,and help the trust company to improve its safety under current specifications.structured trust plans have aroused attention in trust industry. However,there are still many problems in this field.this article believe that by case study, we can get some good experience as well as find some problems, and make suggestion on how to improve the innovation in trust industry and trust plans.First,This article introduces the current situation in domestic trust industry, explains the conception and different types of innovations in trust plans, sums up the definition, history, development of structured trust plans, and analyze some typical cases.By case study, this article explains the innovation application in trust plans, points out the problems in trust industry and trust plans, discusses the reasons leading to current problems. This article thinks that high leverage ratio is the most important problem in structured trust plans.Finally, this article proposes that structured trust plans can calculate the proper leverage ratio by stress testing to avoid the risks, and make other suggestions to improve the innovation in trust industry and trust plans.