The Research On Risk And Management Of Real Estate Investment Trusts In China

As an important part of the national economy,the real estate industry has always been the focus of macro-control.Due to the macro-control policy guidance,the real estate financial market is not developed.The current real estate industry in China is still lack of financing channels,and facing financing pressure and other issues.Since 2002,China began to implement Reits in June 8,2015,Penghua Qianhai Vanke Reits officially landed in Shenzhen Stock Exchange,to become the mainland's first public offering of Reits products.Various policies and practices have shown that Reits is about to bloom in the mainland.But at present in our country,no matter legal credit,personnel or other aspects,there are many gaps and short board,which may have adverse effects for the healthy development of Reits.Therefore,it is very important to strengthen the risk management of real estate investment trust fund and improve the risk awareness of real estate investment.This paper studied on the risk management of China's development of Reits in the first part,briefly introduced the current domestic and foreign research results,clarified the theoretical and practical significance of the research of risk management in Reits.The second part introduces the basic concept of Reits,the organization and operation mode and risk management,and risk will be divided into macro and micro aspects.The third part introduced the risk management policies and measures of the United States,Hongkong,Japan and other countries and regions.The fourth part,by introducing Penghua Qianhai Vanke Reits as a case,analyzed the potential risks and gave the overall view.The fifth part detailed analysis based on the above,the macro measures including economic policy,legal regulation,regulatory agencies,social environment;while the microcosmic measures including the internal risk management system,risk investment and inventory before the process of investment risk control,implement appropriate risk aversion,resolve moral hazard,strengthen personnel training and so on.The last part showed the conclusion and prospect,making a summary of research and suggesting that Reits risk management should develop with the experience and practice.Reits is still in its infancy in China,but in the United States,as well as some developed countries and regions have formed a well-runned system.We can see,once Reits is implemented in China mainland,the real estate financing,especially of public rental housing,commercial complex,pension real estate,tourism real estate,cultural property,medical real estate and other areas,will have a positive effect,because Reits help to reduce the real estate developers financial pressure.Therefore,we have to study foreign Reits risk management measures,to solve the bottleneck of China's Reits development,to ensure the healthy development of the mainland Reits and then promote the development of China's real estate.