The Regulatory Authorities Have Noted The Potential Risks Of The Guaranteed Fund.

From now on, when applying for registration of the new guaranteed fund, the fund manager needs to rename it as a hedge fund, and refer to the "guidance on hedge fund strategy" issued by the Securities Regulatory Commission recently (hereinafter referred to as the "opinion").

As for the capital preservation fund established before the implementation of the "opinion", the pitional arrangement should be carried out in accordance with the principle of "new and old delimitation".

The spokesman for the securities and Futures Commission, Deng Ge, introduced the above information at a press conference 10.

He said that in addition to adjusting the name of the "guaranteed fund" to the "hedge fund", the contents also made the following amendments: cancel the joint and several liability guarantee mechanism; improve the right.

The risk control requirements of the fund are defined; the upper limit of the hedge fund size is limited, and the related risks are prevented; and the requirements for the wind control management of the fund managers are perfected.

As early as 2010, in order to regulate the development of the capital preservation fund, the SFC issued the guiding opinions on the capital preservation fund, clarified the investment strategy of the capital preservation fund, the qualification of the guarantee institution and the way of guarantee.

Deng Ge said that there are 151 guaranteed capital funds currently in existence, with a net asset value of about 320 billion yuan.

But at the same time, the regulatory authorities have noticed that there are some problems and potential risks in the capital preservation fund.

Deng Ge said, first, there are some problems in the guarantee mechanism of guaranteed funds.

At present, the guaranteed funds issued by both parties adopt the guarantee mechanism of joint and several liability guarantee. The guarantee institutions have the right to recover funds from the fund managers unconditionally, and the fund managers actually undertake the principal of capital maintenance for the investment principal of the fund share holders.

Once the guaranteed fund fails to guarantee the maturity, the fund manager should pay the ultimate investment loss and the industry risk can not be ignored.

The two is the failure of guaranteed capital investment strategy.

Some of the guaranteed funds are not stable enough to increase the rate of return, and the existence of low grade credit bonds in the scope of sound asset investment, the mismatch of the remaining maturity and the high magnification of risky assets make the fund's net value fluctuate.

The three is the risk that the fund can expand rapidly.

With capital preservation

Quantity and scale continue to increase rapidly, especially for some fund managers who issue large amount of capital guaranteed funds. If there is a loss due to maturity, they can easily damage the interests of holders.

In view of the above problems, the SFC has revised the guiding opinions on the capital preservation fund, and solicit opinions from the public through the official website from August 8, 2016 to August 27th.

Deng Ge said that during the process of public soliciting opinions, some of the opinions suggested that although the capital preservation fund operated through certain guaranteed investment strategies and introduced the relevant guarantee mechanism to achieve the goal of "capital preservation", the name of the capital preservation fund explained the mechanism of such products to a certain extent in the literal meaning. However, the arrangement of the guaranteed investment strategy and guarantee mechanism could not guarantee the absolute protection of the investment principal. Under extreme market conditions, investors might still face a loss of principal investment. In order to fully reveal the risk that such products could not be completely guaranteed, it is recommended to adjust the name of the capital preservation fund.

In combination with this situation, in order to avoid investors' expectation of "rigid payment" for the absolute guarantee of such products, the name of the guaranteed fund is adjusted to "

Accordingly, the name of the guidance on capital preservation fund is adjusted to "guidance on hedge fund".

The contents of the "opinions" have been revised in many ways, such as the cancellation of joint and several liability guarantee mechanism, avoiding the industry's undertaking of "rigid payment", reducing the risks of the industry, and promoting the steady and healthy development of the industry.

At the same time, the Opinions also improve the risk control requirements of hedge fund, limit the upper limit of hedge fund, prevent related risks, and improve the requirements of fund managers' wind control management.

In addition, in order to do well in the convergence of new and old rules, the opinion clearly stipulates the pitional arrangements for hedge fund in accordance with the principle of "new and old delimitation". The guaranteed fund is still operating in accordance with the terms of the fund contract, without changing the name of the fund, but it is not necessary to increase the assets that do not meet the requirements before the expiration of the guarantee period. It should not increase the remaining period of the robust asset portfolio and increase the risk assets multiplier. After the expiry of the guarantee fund, it should comply with the provisions of the opinion, adjust the product protection mechanism, and rename it as a hedge fund.

Deng Ge stressed that the publication of the opinion is conducive to guiding the return of related fund products to the essence of asset management in public fund industry, and preventing the investment and operation risks and industry risks of capital preservation fund, so as to protect investors' rights and interests.

After the release of the "opinion", the SFC will closely follow the investment and operation of the fund, guide the industry to standardize its operation, further enhance the risk prevention and control capability of the industry, and promote the long-term stable and healthy development of the public fund industry.

For more information, please pay attention to the world clothing shoes and hats and Internet cafes.