In December 2023, after working for greater than 18 years, China’s third largest wealth administration platform “Haiyin Wealth” made a sudden announcement, asserting that a lot of its the corporate’s asset administration leads to delayed funds, and that they might cease redeeming all of its wealth. administration merchandise from that day on Because of this, 46,000 Chinese language middle-income individuals misplaced their cash. At this level, the three main third-party wealth administration establishments in China, “Zhongzhi Group”, “Noah Wealth”, and “Haiyin Wealth”, have all been noticed, and nobody has been spared.
What’s much more shocking is {that a} Chinese language monetary media reporter bravely launched an investigative report, revealing that the 465 monetary merchandise offered by the corporate “broke all the principles” , the essential funds of all of the funding targets had been created, and the 22 firms had been additionally all unsuitable to lift cash. Of the capital pool that beforehand raised greater than 80 billion yuan (about NT$358 billion) from normal traders, about 71.69 billion (about NT$320 billion) of funds had been lacking. What’s much more shocking is that within the 18 years of Haiyin Wealth’s operation, Chinese language regulatory businesses haven’t seen “any indicators.” Greater than 5 months after the establishment was issued, the related items had been unable to seek out efficient options, which angered many Chinese language traders and denied them. ”completely silly”!
In keeping with mainland media “Securities Occasions”, as of June 2023, Haiyin Wealth has 185 “monetary service facilities” in 91 cities throughout China, using 1,700 monetary planners to serve 46,000 clients funding. Nevertheless, in mid-December of the identical yr, with nearly no warning, this wealth funding administration group, which had been in enterprise for greater than 18 years and was the third largest wealth funding administration group largest in China after Zhongzhi Group and Noah Fortune, collapsed in a single day, asserting that the fee of all monetary merchandise shall be stopped instantly, leading to greater than 40,000 individuals -investors lose all their cash.
After that, a reporter from the Securities Occasions spent greater than two months tracing over eight provinces in northern and southern China and located that the quantity of funds from any funding product that went offered by Haiyin Wealth corresponds to the quantity talked about within the product brochure , and the 465 monetary merchandise offered by Haiyin “all violate laws” and none of them have been registered with a proper monetary establishment licensed by the state.
The reporter identified that the outcomes of their investigation primarily embrace three conditions: the primary is that the underlying asset is totally made and manufactured, and it’s -possibility of claiming rights in opposition to the underlying firm; the underlying firm is liquidated, and the underlying property now not exist; in opposition to the essential firm very restricted.
At this stage, Haiyin Wealth’s working mannequin has additionally totally emerged.
On the gross sales aspect, Haiyin Wealth is answerable for 185 bodily gross sales shops distributed in 91 cities throughout China, gathering 46,000 traders with property within the fundraising course of, Haiyin has 22 shell firms set as much as “cooperate independently” The looks of “producers” seems, and traders’ funding cash is transferred into these firm accounts, and there’s a giant accumulation of funds with a twin nesting construction constructed; and monetary merchandise are used as fundraising instruments via unlawful “pretend gold exchanges”; within the funding course of, the underlying asset was not a his funding within the cash corresponded very a lot to what was claimed within the prospectus, and the whereabouts of a lot of the cash was unknown.
Now, with a capital deficit of greater than 70 billion, Han Hongwei, the actual controller of Haiyin Wealth, has launched three “debt discount” plans for traders, together with actual property portfolios, liquor and well being administration. Nevertheless, the costs of those three choices for changing debt property are artificially excessive, and they should assist money funding.
For instance, if an investor has an impressive deposit of seven million yuan, Haiyin will compensate the investor with property mentioned to be price 10 million yuan, whereas the investor to make up the distinction of three million yuan. As one other instance, the well being administration portfolio debt plan launched by Haiyin reveals that it’s offering traders with a “well being and bodily remedy portfolio” price 1.35 million yuan, with 1 million yuan used to repay the debt. to pay, and traders should pay 300,000 yuan in money to make up the distinction.
Traders described this uncommon debt discount plan as a “second harvest”, and nearly no traders had been prepared to simply accept it.
As well as, the outcomes of the investigation “Securities Occasions” have additionally raised one other wave of doubts. And why the monetary merchandise had been offered illegally proper after they collapsed. Who agreed? What’s the purpose?
Some individuals questioned him straight by title: the actual property company went bankrupt and traders misplaced all their cash; the wealth administration group went bankrupt and traders misplaced all their cash; “I do not know the way our governing our bodies keep watch over it. They’re all like rooster feathers after the explosion. How can they sit in that place?”
Extra studying
2024-05-29 11:33:23
#billion #onerous #forex #lacking #Mainland #asset #administration #big #reveals #monetary #merchandise #authorized #CTWANT #LINE #TODAY
