A new regulation that is being consulted has spurred the bond private fund industry.

On 28 April, the Chinese Securities and Investments Association drafted the Operational Guidelines for Private Fund Investments (for comments) (hereinafter referred to as the Operational Guidelines) and consulted publicly with society. The issuance of the Operational Guidelines is unique to safeguarding the order of the bond private fund industry and protecting the interests of investors.

In recent years, the proliferation of urban debt has led to a large number of private bonds. However, the fast-paced private fund sector is rife, with disruptions to market order and bond pricing occurring.

Some of the sections of the Operational Guidelines, which were consulted at this time, govern the collection, investment, operation and management of private fund-raising for bonds. It was felt that the introduction of these rules would change the past practice of privately soliciting some bonds in favour of “lue money” and overloading the proceeds to light risk, thus making industry more regulated.

Prohibition of participation in structured distribution

Participation in the structural distribution of bonds and in the corridorization operations is prohibited. The relevant requirements in the Operational Guidelines have received considerable attention from bond marketers. A number of bonds that are eager to engage in such operations “lue money” have raised alarms and regulated the structuralization of bond markets from the investment end.

The Operational Guidelines refer to the fact that private fund managers and their shareholders, partners, actual controlrs, employees are not allowed to participate in the issue of structured bonds, nor are they directly or disguised to receive various forms of fees such as bond issuers’ services, finance consultants, advisory services, etc.

The Operational Guidelines also prohibit passage operations. It was mentioned that private fund managers should review the conformity of the sources of financing of investors and should not be subject to investment instructions from investors or their designated third parties or be responsible for the operation of the investments themselves.

“The corridor operation and structuralization operations are a short-lived lucrative of earning money in the bond market, with excessive management fees for their products and extra-currency financing consultants starting up with hundreds of millions of yuan renminbi, a lucrative mode of lucrative management more than hard-wed financing.” A bank finance investment manager said.

In general, structured distribution is a “special means” used when market-based financing channels are not readily available. Bond private fundraising funds generally absorb the remaining funds through the purchase of bonds issued by a part of the enterprise, which not only distorts the normal pricing of the bond market, but also results in the loss of State-owned assets.

The former investment manager stated that it had held a city-debted debt in front of a structured, subject-matter enterprise, and that the recipient interest rate for a new bond issued by the subject did not reflect its real credit level, thus resulting in a substantial discount on the bond’s market place and a premium on the secondary market for its depositary bonds, which resulted in a significant reversal of the net value of its portfolio.

The Chief Analyst of Fixed Profits in Telecommunication Securities held that early regulation regulated structurally issued regulations primarily from the end of the issuing deposit, regulating the conduct of related participants, such as intermediaries, distributors, etc., and that investment ends such as private fundraising funds, vouchers, etc. were more important participants in the structured distribution of bonds.

“The present Operational Guidelines address the infractions of participation in structured distribution by some private fund managers, provide chain-of-custody regulation from various aspects of bond distribution, investment and private fund management operations, combat bond market distortions in a combination of fists, regulate market order, and also facilitate more transparent pricing of credit markets.”

Reducing concentration

In addition to the “roads” and “structured” operations, the Operational Guidelines also call for the concentration of bond private fund investment bonds: funds invested in the same bonds by private equity investment funds alone should not exceed 10 per cent of the net assets of the Fund; and the number of private equity investment funds managed by private fund managers that invest in the same bonds should not exceed 10 per cent of the retention of the bonds.

“The strictness of this rule exceeds the requirement of the escrow plan, with the aim of controlling the risk of default of the city’s debt.” Lee Myong, a private fund, said.

Several practitioners have indicated to journalists that, as risks in the real estate industry have gradually emerged, and new support policies have not yet been put in place, combined with the recent recovery in real estate sales, this year’s real estate debt is difficult to gain significantly, and the “divided dividends” in high-income debt markets are left to “city debt”.

As of now, there has been no default in the open market of market-based market bonds. Since this year, in the context of a strong willingness on the part of many Governments to resolve local hidden debt, high-yielding “city-debt” has been the object of market dignitaries, as well as the creation of many private fund-raising funds that have emerged from the “city-for-debt”.

According to Lee Mymin, some bond private foundations placed 20 per cent of their warehouses in single “net” cities, replenishing their product leverage, thus generating very high returns on the market. But there is a great deal of uncertainty, and once the market is at risk, there may be serious setbacks.

“The market has shrunk, from the first default in 2014 `overday debt’ to the near future debt-religible market, suggesting that none of the markets is “dependency”. Lee Minh said that the bond private fundraising fund, which is not able to invest in the mindset of casinos for expansion and return rates, should be heavily guarded against risk by pooling tickets.

However, the view was also expressed that the provision might deprive private funds for high-income debt of investment flexibility.

The Crown Dependencies of the Private Fund (PSF) indicated that if some private fund investment strategies were focused on resurgent yields, the “10 per cent” provision would make it more difficult for private fundraising funds to lose flexibility and make high returns.

The Royal Prince believes that radical investors, who are the owners of domestic debt, are themselves in a position to recognize this heavier tactic and that investors are targeted at high-risk earnings, and they can also afford this risk.

“In the run-up to last year’s policy signals in the market of real estate, there were high net customers who wanted to repay the gains of single-handed land debt. Financial markets should allow a diversified investment presence, and private fund investors would have been high-value customers with some assets, much more affordable than the diaspora.” Wang Sultan.

Where bonds are private

Bond private fundraising funds

Sina Shandong, March 7, 12:02 attention

According to the information publicity platform of Qingdao administrative punishment and administrative compulsion, Qingdao Ruifeng Construction Engineering Group Co., Ltd. and Qingdao Zengquan Construction Group Co., Ltd. colluded in bidding, and both companies were punished by Pingdu urban and Rural Construction Bureau.

The law enforcement officers of Pingdu Urban Rural Development Bureau found that there was collusion in bidding between Qingdao Ruifeng Construction Engineering Group Co., Ltd. and Qingdao Zengquan Construction Group Co., Ltd. during the supervision of the general contracting bid opening project of the comprehensive pipe gallery project in the chemical development zone of Xinhe chemical base, and the law enforcement officers investigated their unit and the personnel of relevant units, Qingdao Ruifeng Construction Engineering Group Co., Ltd. and Qingdao Zengquan Construction Group Co., Ltd. are bidding enterprises that collude with each other in bidding.

According to Article 32 of the bidding law of the people’s Republic of China, “bidders shall not collude with each other in bidding quotation, exclude the fair competition of other bidders and damage the legitimate rights and interests of the tenderee or other bidders”, Pingdu urban and Rural Development Bureau imposed a fine of 69139.7 yuan on Qingdao Ruifeng Construction Engineering Group Co., Ltd, Impose a fine of 68991.1 yuan on Qingdao Zengquan Construction Group Co., Ltd.

The distance you desire has not yet arrived; The life you yearn for has not been realized; The person you expect has not yet appeared, and everything seems not so satisfactory.

But it doesn’t matter. Find the right time in 2021 to meet the people you want to see, do the things you want to do, and think of the distance you want to reach!

01

Go to the island × Enjoy yourself

I always believe that the sea can cure all unhappiness and noise.

Its blue, its sound of waves, is probably the best thing in the world. Even I envy the city with the sea. “Facing the sea, warm flowers in spring” is their daily life.

If you feel tired, go to a city with a sea and relax.

Run on the beach, play with the waves, change into a bathing suit, go for a sea swim, or order a cold drink under the beach umbrella, blow the wind and look at the clouds….

At such a moment, people can forget the trivial life and the noisy city.

02

Go to the desert × Feel endless grandeur

Since ancient times, people have given it the words “desolate and desolate”, but ignored its grandeur.

This kind of magnificence is full of endless stories in the flying sand and stones and in the flow of time.

If you can, feel the grandeur of the desert. Pick up the sand with both hands and feel its temperature. When it leaves between your fingers, you may know that the more you work hard, the more you can’t grasp some things.

It’s better to put it down properly and let go of yourself.

03

Go up high × Realize the smallness of life

If you feel confused about the way ahead, if you don’t know the direction of the future, then put on your backpack and climb the mountain.

For a goal, climb bravely until the peak, and you will find that the road when you come is tired, but it is worth it.

Standing on the top of the mountain, looking at the sun sticking out a little bit, looking at the overlapping mountain shadows in the distance, looking at the high-rise buildings becoming small, what else can’t cross?

04

Go hiking × Put your eyes in heaven

Why are there so many “donkey friends” who love hiking? I think they can use their feet to measure the longest road, accompanied by beautiful scenery all the way, put their feet in hell and their eyes in heaven.

No one can resist such a trip with five steps and one beauty and ten steps and one temptation.

I always live in the city at two points and one line. My steps have become hasty. I haven’t observed the beauty of the city carefully, and I don’t have time to go far away.

For 21 years, go hiking when you have time. Everything beautiful is worth exploring.

05

Go to the lake × Empty your mind

The calm lake can always comfort our hearts.

It’s pleasant to sit in front of the lake, daze, read books and waste an afternoon.

Take all your thoughts into the air, and you will find that it suddenly becomes clear that the landscape also seems to have its own language, comforting everyone who comes in its own way.

Snow capped mountains, grasslands and blue lakes form a beautiful picture, and all beauty will come as promised.

06

Go to the ancient town × It doesn’t hurt to be a little slower

The ancient town dream in my heart always reminds me that I’m going to start from time to time.

The small bridges and flowing water in the south of the Yangtze River are soft spoken by Wu Nong. Let’s take off our guard every minute. If you have time, come to the ancient town for a few days.

The days are still very long. You don’t have to be so tired. Slow down before you know what life is.

what you think?

07

Go to the grassland × Find a horizon

The charm of grassland is probably that you want to roll up at the first sight.

On this green carpet, cattle and sheep eat grass and horses run. They accidentally break into the free horizon.

There is no pungent car exhaust, no suffocation of high-rise buildings, only refreshing fresh air and taking a deep breath can make people happy.

There are also yurts and roast mutton on the grassland. You will fall in love with them.

Explaining Russia’s demand for the de Nazism of Ukraine, he said: “you know, there are a large number of military units of a nationalist nature - BANDERA elements, nationalists, various battalions, etc. of course, we need to get rid of them.” (compiled by / Hu Liwen)