Case Study On China Credit Trust's Default Of “Chengzhi Jinkai No.1” Product

Although China currently operates the separate management,due to the expansion of the scale of business between the Bank and the Trust,both parties have facilitated business cooperation.Bank-Trust cooperation is one of the important businesses of Trust companies.Under the leadership of banks,Trust companies play the role of special purpose carriers to promote the transformation and innovation of banking wealth management and asset securitization.However,there are risks and deficiencies in the Bank-Trust cooperation process,such as lack of due diligence,unclear definition of the cooperation rights and responsibilities of the Bank-Trust,and structural design flaws.These problems caused multiple defaults in the Bank-Trust cooperative wealth management products in the market,which in turn affected the development of the Bank and the Trust.Therefore,it is necessary to study the default cases of Bank-Trust wealth management products and learn lessons.Therefore,this article takes the "Chengzhi Jinkai No.1" product as a case to analyze in depth the default of the Bank-Trust cooperation products.The thesis is mainly divided into four parts.The first part is the introduction,which expounds the background of the topic selection,the literature review,the research methods and significance,innovations and deficiencies.In the second part,the participants of the "Chengzhi Jinkai No.1" default event were introduced in detail and the process of the event occurred.The third part is an in-depth analysis of the reasons and consequences of violations,as well as the problems and causes of the violations.The fourth part is to put forward countermeasures to prevent default of trust products based on the current development status of China's Bank-Trust cooperation.