Trust product is a kind of wealth management product that provides investors with low risk and stable returns. Trust varieties are very diverse in product design, and each will have different characteristics. There may be great differences in risk and income potential among trust varieties.

In China, according to Article 2 of the Trust Law of People's Republic of China (PRC), trust is defined as: "Based on the trust in the trustee, the trustor entrusts his property to the trustee, and the trustee manages or disposes of the property in his own name for the benefit of the beneficiary or for a specific purpose according to the wishes of the trustor."

Simply put, it is entrusted by people to manage money on their behalf. At present, there are 68 trust companies in China that can conduct trust business, which is the most valuable financial license in China and the golden egg. Trust companies have comprehensive asset management capabilities, such as issuing loans, investing in equity, investing in securities and buying bonds. The investment and financing methods of trust are very flexible, so China has set a high entry threshold for the trust industry.

There are eight main business sectors of trust companies, namely: credit channel trust, securities investment trust, equity pledge trust, infrastructure trust, fund management trust, real estate trust, private equity investment trust and mineral energy trust.

2. What are the types of trust products?

Trust products generally include equity trust products, loan trust products, equity investment trust products and real estate trust.

(1) equity trust products. The client invests the funds in financial companies and then obtains stable income. This trust product is called equity.

(2) Loan trust products. The customer entrusts funds to the finance company, and then issues loans to projects or individuals in need of loans in the name of the finance company. This is a loan trust product.

(3) Equity investment trust products. Put the entrusted funds into the stock market or securities market, and the stock market determines the income.

(4) Real estate trust. Land and all kinds of building facilities above or underground are collectively called real estate. At present, many enterprises generally invest in real estate development.