Study On The Asset Allocation Scheme Of Z Trust Company's "Wealth Inheritance Family Trust"

In recent years,with the sustained and rapid growth of China's economy,the number of high net worth clients highly increased with larger requirements for wealth management and wealth succession.Family trust,as a wealth management and inheritance tool with many advantages,is popular among high net worth clients and achieves rapid development.However,comparing with the overall requirements of family trust in our country,the current business volume is at the initial stage and still has great room to grow.The particularity of family trust function determines that its asset allocation should also be particular.The cash flow has great uncertainty since the benefit allocation of family trust includes a percentage of irregular allocation.Therefore,liquidity should also be a key factor added into consideration besides risk preference.However,due to the late start of family trust in China,many trust companies didn't establish professional enough business procedures to implement targeted asset allocation.And domestic academic research on family trust is mostly focused on the legal compliance level.Asset allocation is still a blank field for research,which makes the trust companies have no academic basis to carry out their business in practice.Family trust cannot get further improvement with this problem unsolved.Therefore,strengthening the research on the asset allocation of family trust has become one of the important topics to promote the rapid and stable development of family trust in China.In the process of research,this paper uses literature view act,case study,questionnaire,case flow method,and the combination of quantitative analysis and qualitative analysis.Firstly,this paper introduces the domestic and foreign research status and related theories from the two aspects of family trust and asset allocation;secondly,it analyses the specific cases and establishes the overall principle of asset allocation of family trust from the perspective of risk preference and cash flow forecast,and then designs a specific asset allocation scheme on this basis;finally,it tests the feasibility and effectiveness of the scheme by analyzing the matching degree of the liquidity,risks and benefits.I hope that this paper can provide some reference for the asset allocation of future family trust business for Z trust company and other trust companies.