Industrial Trust Was Approved the Qualification of Stock Index Futures Trading Business

Recently, the reporter learnt that IB has been approved the qualification of stock index futures trading business formally, thus becoming another trust company with the qualification after Fortune Trust, FOTIC and China Resources SZITIC Trust, and the first trust company in the banking system with such qualification in China.

Industrial Trust indicates that, with the qualification of stock index futures trading business, its securities investment trust business formally enters the field of investment in financial derivatives. Getting engaged in the stock index futures, the securities investment trust products of Industrial Trust will transform from the model of “Mutual Fund” to that of “Hedge Fund” gradually, and such business will also shift from the conventional direction and tendency oriented investment model featuring high risks to the low-risk investment model with stable returns centering on market neutral strategies. The change of investment model can not only propel the diversified development of investment strategies for securities investment trust products, but also push forward the sustainable development of securities investment trust business. In the meantime, the introduction of a risk management tool like stock index futures can gradually change the situation where the securities investment trust products have homogenized performance and rise or fall generally, and open a new circumstance for the company to further develop the securities investment trust business in the future.

It is reported that securities investment trust business has become one of primary and pillar businesses of Industrial Trust. By the end of September 2012, Industrial Trust has launched and established a total of 119 securities investment trust products, covering such types as management trust, structure trust, umbrella trust, trading equity financing, PE, mezzanine finance, tailored additional shares and inter-bank equity market business. Of them, securities investment trust business ranked front in the industry both in terms of scale and product number. The innovative highlight products have won the recognition of the market. In the process of business development, Industrial Trust has established close cooperation with 13 major commercial banks, 39 famous securities companies, and 105 outstanding private placement companies, forming a sound development pattern where commercial banks, securities companies, trust companies and private placement investment companies complement each other with respective advantages and cooperate with each other for win-win results.

After being approved the qualification of stock index futures trading business, Industrial Trust will introduce the risk management tool of stock index futures to hedge against the systemic risks of trust products, intensify its efforts in making innovation in securities investment trust business, and further push forward the sustainable and sound development of securities trust business, so as to improve the net values of products and maximize the interests of the beneficiaries.

In fact, Industrial Trust has made sustained efforts in the field of securities investment trust products. Since “Industrial Trust--Suntime Chinese Private Placement Fund Index”, an all-sample index jointly released by Industrial Trust and Suntime in November 2011, the index has up to now covered 1,541 securities investment trust products, becoming the one that has been mostly cited by the research institutions of securities, trust, banking and third party.

With sturdy investment style and good performance, the securities investment trust products of Industrial Trust have also won the recognition of the market and investors. The performance of the products managed by the company in 2011 surpassed the average level of the private placement trust industry. Specifically, “Industrial Trust • CR Phase 1 Fund Trust Program for Securities Investment Portfolio” won the “2010 Best Trust Program for Securities Investment” awarded by Securities Times and the “Honest Trust--Valuable Trust Product Prize” awarded by Shanghai Securities News. “Industrial Trust • BF Phase 2 (Xingzhou) Portfolio Fund Trust Plan” won the prize of “2011 Best Trust Program for Securities Investment” awarded by Securities Times. Meanwhile, with its outstanding performance, Industrial Trust has also won the general prize of “2011 China Outstanding Trust Company” jointly awarded by Securities Times and New Fortune.