Protection Of Investors 'Rights And Interests In China' S Real Estate Investment Trust

Real Estate Investment Trusts(REITs), as a mature investment tool, is widely applied in the financial market of American and other European countries. In recent years, with the development of Chinese economy, the national incomes has increased dramatically. The growing investment enthusiasm meets the confrontation with narrow financial channels. What’s more, estate agents have to find other financial channels to raising capital due to the increasing threshold set by banks. Under this circumstance, REITs emerged as the time required.Methods of comparative analysis, logical thinking and value assessment are used to analyzing the protection of investors’ beneficial right of the trust in this paper. The innovation of this thesis can be listed in the following: to build the system of registration and circulation for investors; to establish duties and responsibilities to trust corporations; to put forward to the reference standards of related party and to the forms of information disclosure.This paper can be separated into four sections.In the first section, the author pointed out what kinds of risks will investors confront under this financial system by defining the conception and characteristic of REITs. Reasons to those risks will be illustrated in this paper through analyzing the legal relations of REITs.Part two mainly analysis legal character of wide beneficial rights. In order to protect investors’ beneficial rights, the circulation of beneficial rights system should be perfection. Beneficial Assembly will exercise the duties of supervision to trust investigation companies and provide reassurance to the investment, management and exertion of trust property.From legal regulation’s point of view, this section regulated the fiduciary duties of trustee. At the same time, this part explored the issues of trust investment companies’ performance of fiduciary duties, affiliate transaction and non-transparency of information disclosure.In order to perfect the special protection of investors’ interests, the last section pointed out setting up special registry and settlement center to trust property; lowering the legal standards of Beneficial Assembly; specifying the fiduciary duties of trustee; ensuring the fairy price and related party of affiliate transaction as well as information disclosure through trade process; sounding the content of information disclosure and durable information disclosure.