I. Product Overview
Safekeeping services for trust assets refer to the financial services including safe custody of trust assets provided by ICBC as a custodian bank under the entrustment of a trust company, with rendering related services such as custody, clearing, valuation, accounting, investment supervision and information reporting.
Third-party safekeeping service serves as a long-term mechanism for promoting steady development of trust business. The introduction of the third-party safekeeping service can separate three “rights” (i.e. ownership, management rights and supervisory rights) in connection with trust assets, effectively improve trust governance structure, contribute to the enhancement of credibility of trust products and enhance the trust of the public towards trust companies and their products. It has been fully proved during the development course of securities investment fund industry that the safekeeping mechanism plays a quite important role in the enhancement of industry credibility. The introduction of the third-party safekeeping service can also improve the efficiency of trust operation, reduce operating costs, realize transparent information about trust projects, and help achieve standardized internal control, regular external supervision, segregated internal and external risks and prompt risk warning for trust business.
Since the rendering of safekeeping of trust assets under the approval of PBC in 2002, ICBC has accumulated abundant experience in this respect. Investment can be made in different areas and safekeeping services can be provided for different types of trust products. Currently, trust products under custody cover fund trust, property rights trust, bankruptcy and reorganization trust, family trust, charity trust, asset-backed securities (notes) and various types of innovative trust products. Besides, integrated bank-trust cooperation can be carried out with various trust companies. 

II. Target Customers
Trust institutions formally registered with the National Financial Regulatory Administration (NFRA) and issued trust programs.

III. Scope of Services
i. Basic services
1.Assets custody
Open special fund accounts and securities accounts to keep the trust assets in safe custody and ensure the integrity, independence and security of the assets; safekeep the relevant physical documents and important information of the trust program.
2.Capital clearing
Complete capital clearing and delivery & collection of securities related to the trust program, according to the transfer instruction of the trust company. Record the transfer of trust funds and safekeep a statement of the use of funds by the trust company.
3.Accounting
Prepare accounting statements and cross-check them with trust companies on a regular basis, to ensure the compliance and accuracy of accounting records; preserve records, books, statements and other relevant information on the custody activities of the trust assets.
4.Asset valuation
Valuate the trust program as agreed in the trust asset custody agreement and check the valuation results with the trust company.
5.Investment supervision
Supervise and verify the management mode, scope of use, objects, portfolio proportion and investment restrictions for trust assets, and supervise whether there is any behavior prohibited by relevant laws, regulations, documents and contracts in the management and operation of trust assets.
6.Information disclosure
Submit relevant statements and reports to the trust company regularly to objectively and fairly disclose the operation of the program and ensure the transparent operation of the trust program.
ii. Value-added services
Based on the personalized needs of trust companies, ICBC can provide value-added custodian services such as performance evaluation, tailored investment supervision, tailored statements, custodian internet banking and direct system connection. Value-added performance evaluation services include comprehensive manager performance evaluation, market analysis, investment return calculation, risk measurement, and performance attribution analysis for trust programs.

IV. Product Advantages
1.ICBC, as the largest domestic commercial bank, enjoys a good social reputation, which greatly enhances the credibility of its trust and safekeeping products.
2.The Bank’s sound service network, abundant customer resources, extensive high-end customer groups and wide-spread trust agency services contribute to the promotion of trust companies and related products.
3.ICBC always maintains a leading position in terms of market share of custody business. By virtue of its rich experience in the safekeeping of trust assets, ICBC can provide efficient, professional and integrated one-stop safekeeping services for various traditional and innovative trust products, including convenient fund receipt and payment service for trust programs, and abundant and flexible bank-trust products.
4.For the purpose of simplifying related procedures, trust companies can directly contact tier-one branches of ICBC all over the country, to apply for safekeeping of trust assets and localized services.

V. Business Flow
1.Business contact: Trust investment companies which have demands for safekeeping of trust assets can contact the Asset Custody Department of the Head Office or local branches of ICBC.
2.Signing of agreement: An appropriate safekeeping plan will be designed and a safekeeping agreement will be signed based on customer’s demands through communication.
3.Opening of account: Fund accounts and securities accounts for trust programs will be opened as required by the regulatory authorities.
4.Safekeeping operation: Services including safekeeping of trust assets, accounting, asset valuation, clearing and delivery will be provided according to safekeeping agreement. Investment and operation of trust funds will be supervised, and the relevant reports will be offered regularly.

VI. Contact Information
If you would like to apply for any service, please contact local branch or sub-branch of ICBC or the Entrusted Asset Division II of Asset Custody Department under the Head Office of ICBC:
Contact: Shen Zhiyu
Tel.: (8610) 66107751
Fax: (8610) 66107751
E-MAIL: zhiyu.shen@icbc.com.cn