Is there a correlation between umbrella trust leverage and leveraged funds?

Leverage is a type of hedging. Domestic leverage** belongs to the hierarchical leverage share (also known as aggressive share). Grading refers to the formation of two levels (or multi-levels) of risk-return performance under a portfolio through the decomposition of income or net assets.

Its main feature is that the ** product is divided into two types of shares, and different income distributions are given respectively. The grading is usually divided into two types of shares: the low-risk return side (agreed return share) and the high-risk return side (leveraged share). Taking a graded product X (X is called the parent product) as an example, it is divided into A share (agreed income share) and B share (leveraged share), A share agrees a certain rate of return, **X deducts the principal of A share and accrued income All remaining assets are classified into B share, and the loss is borne by the holder of B share to the extent of the net asset value of B share.

When the overall net value of X is **, the net value of share B takes precedence**; Correspondingly, when the overall net value of X rises, the net value of share B will also rise preferentially relative to share A. Share A generally has priority to obtain the distribution of the benchmark income, share B maximizes the compensation of the principal and benchmark income of the preferred share, and share B usually obtains a certain amount of leverage by participating in the distribution of residual income or bearing losses to a greater extent. It has a more complex internal capital structure, and its non-linear return characteristics make it implied options.

The operating philosophy and mode of operation are similar.

It can be said that the essence of umbrella trust and leverage** is the same, mainly through the form of preferential inferiority, to avoid the risk of priority and expand the income of inferiority.

The main difference between them is that the channels through which they are issued, the umbrella trust is a trust, and the leveraged trust is mostly issued by the company.

The leverage of an umbrella trust mainly refers to the following aspects:

Umbrella trust refers to a structured investment product that is jointly cooperated by ** companies, trust companies, banks and other financial institutions to provide investment and financing services for investors in the ** secondary market by combining their respective advantages;

Specifically, it is to use bank wealth management funds to borrow trust products, and invest in ** after increasing leverage through capital allocation, financing, etc.;

At present, there are three main modes for funds to enter the ** through trust: one is the sunshine private placement model, the second is the structured trust model of a single account, and the third is the umbrella trust;

The investment structure of an umbrella trust is to set up many small trading sub-units under a trust channel, and usually a master account can be split into about 20 virtual accounts. Although a trust is shared, each sub-trust is completely independent, with separate investment operations and liquidation;

According to the agreed sharing ratio, the bank will issue wealth management products to subscribe for the priority beneficiary rights of the trust plan, and other potential customers will subscribe for the inferior beneficiary rights, and the inferior investors will obtain the residual income after excluding various expenses according to the investment performance of the investment trust;

The inferior investors targeted by umbrella trusts are mainly large natural persons, institutional customers, and some financial companies under the group. The participation period of trust products is generally not more than 3 years, and the investment threshold is usually 3 million yuan;

If you have 1 million, use the umbrella trust to give you 100-3 million funds, with an agreed term and interest;

The operation mode of the umbrella trust: like the ordinary structured trust, the special trust property account involved in the umbrella trust also includes the special bank account for the trust plan opened with the custodian, the special account for the trust plan opened with the ** Depository and Clearing Company in China and the special fund account for the trust plan opened with the ** brokerage service provider.

What is leverage in an umbrella trust? An umbrella trust refers to a trust product that contains two or more sub-trusts of two or more different types, and investors can freely choose one or more of them for portfolio investment according to their investment preferences to meet different investment needs. As an innovative variety of structured investment trusts, umbrella trusts are often cooperated by companies, trust companies and banks and other financial institutions to provide investment and financing services for investors in the secondary market.

As a new type of financial instrument, the priority funds in the umbrella trust are mainly the best in the bank, and its most attractive thing is that the inferior funds can be matched with less funds, so as to use leverage to win high returns in the secondary market. According to previous reports, the ratio of priority to inferior amount of umbrella trusts in the market is mainly divided into5:

1 and 3:1, which also means that inferior investors can trade with 2x, x, 3x, x and 4x leverage.

Leverage for umbrella trusts refers to:

1 here refers to the secondary funds of institutional investors;

3. Or it is the preferred funds of the purchaser of a structured ** investment trust;

Leverage comes from the 1 to 3 capital ratio, in other words, you can rely on the one dollar you have, raise three dollars, then you have four dollars, of course, it is actually much larger than this, at this time you invest three times more money, this is the leverage, with less money to complete more money to complete.

Banks have begun to tighten their umbrella trusts, in which the leverage of China Everbright Bank will be reduced from 1:3 to 1:3 for customers through umbrella trusts. Excuse me about the 1:

3 refers to the ratio of who to whom? What is the amount of money of a person who invests in an umbrella trust? Or is the inferior capital 1?

What does 3 mean?

1 here refers to the secondary funds of institutional investors, 3 or the preferred funds of the purchaser of the structured ** investment trust, the leverage comes from the 1 to 3 capital ratio, in other words, you can rely on the one dollar you have, raise three dollars, then you have four dollars, of course, it is actually much larger than this, at this time you invest three times more funds, this is the leverage, with less money to complete more money to complete things.

Leverage is the trading of liabilities, magnifying your gains and also magnifying your risks.

Hello, umbrella trust refers to a structured investment product that is jointly cooperated by ** companies, trust companies, banks and other financial institutions, combining their respective advantages, to provide investment and financing services for investors in the secondary market; Specifically, it is to use bank wealth management funds to borrow trust products, and invest in ** after increasing leverage through capital allocation, financing, etc.; At present, there are three main modes for funds to enter the ** through trust: one is the sunshine private placement model, the second is the structured trust model of a single account, and the third is the umbrella trust; The investment structure of an umbrella trust is to set up many small trading sub-units under a trust channel, and usually a master account can be split into about 20 virtual accounts. Although they share a trust account, each sub-trust is completely independent, and the investment operation and liquidation are separate; According to the agreed sharing ratio, the bank will issue wealth management products to subscribe for the priority beneficiary rights of the trust plan, and other potential customers will subscribe for the inferior beneficiary rights, and the inferior investors will obtain the residual income after excluding various expenses according to the investment performance of the investment trust;

Compared with margin trading, umbrella trusts have many advantages. First, the process of setting up an umbrella trust is very convenient. Since each sub-trust under an umbrella trust does not need to open a separate account, it generally only takes one to two days for investors to actually join the umbrella trust.

However, margin trading often takes about seven days to open an account due to the single account model. Second, the scope of investment targets of umbrella trusts greatly exceeds that of margin financing and securities lending business. In addition to the main board, small and medium-sized board and GEM**, umbrella trusts can participate in the ST sector that cannot be touched by the two financial accounts, and can also participate in the trading of closed-end **, bonds and other investment products.

Third, the high leverage ratio of umbrella trusts far exceeds that of margin trading. Unlike margin trading, which generally uses 1:1 as the leverage ratio, the more common umbrella trust leverage ratio in the market is 1:

2 or 1:3. At the same time, the priority funds of umbrella trusts are bank wealth management funds, and the inferior funds are generally played by ordinary investors, and the cost of capital allocation is in between, which is lower than the average level of margin financing and securities lending.

In other words, through umbrella trusts, inferior investors are often able to trade in the secondary market with three times the magnification of low-cost bank funds.

Umbrella private placement is an umbrella structured trust, which is generally invested in the ** market with a preferential and inferior ratio. Generally, the leverage is 1:3 in the case of no mezzanine, and the maximum can be 1:

1:6, at present, the new umbrella trust company basically can't be opened, and the old umbrella can only be used.

Umbrella trust refers to two or more sub-trusts of two or more different types in the same trust product, and investors can freely choose one or more of them for portfolio investment according to their investment preferences to meet different investment needs.

Banks, securities firms, and trust companies can bypass regulatory restrictions through cooperative umbrella trusts.

According to the regulations of the China Banking Regulatory Commission, bank wealth management funds cannot be directly used for investment, and trust products are limited to a minimum capital threshold of 1 million yuan, and the holders of a product cannot exceed 200 people.

Through the umbrella trust, the bank's wealth management products are accessed to the market through the purchase of trust plans, and the trust plan is purchased through bank wealth management products, which lowers the investment threshold and increases the number of investors in disguise. Then, each trust plan account is divided into a number of sub-accounts, and when the financing application is approved, the funds go into the sub-accounts, and the investors operate in the sub-accounts, and each sub-account is controlled by the master account.

Umbrella private placement is an umbrella structured trust, which is generally invested in the ** market with the proportion of priority and inferiority.

Generally, the lever is 1:3 in the case of no interlayer, and the highest height of the stove can be 1:1:6 in the case of interlayer

At present, the new umbrella trust company basically can't open the infiltration chain, so he can only use the old umbrella.