This week, there has been a major event in the financial market. Perhaps you have learned from various channels that Noah Wealth and Chengxing Holdings’ 3.4 billion debt financing and thundering related articles. The author is a 10-year traditional financial practitioner and district. Blockchain enthusiasts, based on their understanding of the blockchain DEFI and traditional financial experience, talk about this event similar to the future blockchain financial development opportunities revealed in the thunderstorm incident, the first time to send a message, please see The official is merciful.
One. Noah Wealth – Chengxing Holdings 3.4 billion yuan debt financing continued fermentation
Because the entire incident does not have an official official reply, the following reasoning is based on the author's personal experience: Chengxing International, which is actually controlled by the business Hua Mu Luo Jing, needs a 3.4 billion yuan financing for its own turnover. So he forged the information on the accounts receivable financing with JD.com and applied for financing from the company’s largest third-party wealth company Noah Wealth’s affiliate company, Gopher Assets. The collateral was Jingdong’s supply chain receivables claims. After the pledge of 6.7 billion shares of Hong Kong-listed platform Chengxing International Holdings and the establishment of a debt investment fund by Gopher Assets, Noah Wealth Banner sold the fund as a fixed-income wealth management product to its platform high-net-worth customers.
The story has developed to this point. In fact, it is all very happy. The cost of Chengxing is high enough. The equity of listed companies in Hong Kong stocks is hard enough as collateral, and Jingdong will definitely not rely on it. Noah's wealth is conservatively estimated to have a 4-6% consignment income, Gopher's assets have received 1-2% of the fund management fee, and investors have received a fixed income of 7%. Everyone is happy to earn a lot of money. However, just last month, this financing was overdue. Jingdong’s foreign officials announced that they had not found out that Chengxing International had accounts receivable records, and that Luo Jing was arrested by the founder of Noah’s wealth, Wang Jingbo. Zhong is taking Luo Jing from her office. On the second day of media fermentation, Chengxing International Holdings (02662) and Noah Fortune (NOAH) stocks plummeted. Shareholders and investors looked at this centralization. The result of the failure of the financial platform's risk control was bought.
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As the event continues to ferment, several other trust institutions may also step on the thunder, but as an outsider we first thought of the following issues, hoping that these problems may be solved in the future decentralized finance.
- Didn't Goofy Assets conduct due diligence on Jingdong's accounts receivable before the fund was established? If the fund management fee is 2%, it is equivalent to an annual income of 68 million yuan. If you take so much money, you will not be responsible for it.
- Noah Wealth and Gefei Asset belong to the same actual controller. The left hand approves the project and conducts risk control audit. The right hand holds the product to sell to its high net worth customers. Is the cost of this front-end store model too low? What?
- Under the existing traditional asset management model, how should the investor's assets be properly configured to protect the principal security? In order to make 7% of the annual income, the principal was lost, and the result was embarrassing.
two. Disadvantages of traditional centralized asset management platforms
In fact, the above problems are common problems in most traditional asset management platforms in China, including some well-known asset management companies, trust companies, wealth platforms, etc. There is a famous saying in the industry that “the institutions that have not stepped on the thunder are not really institutions”. It also proves the universality and inevitability of such events. It is nothing more than the large scale of the platform. The funds pool products can be used to cover the thunder that has been stepped on. Some small scales can only run. Therefore, it is not recalled that in the past few years, a large number of domestic P2P consolidated financial management platforms have run, private fund companies have run, and bank trusts have stepped on thunder, etc., but why are these assets as large as 100 billion yuan and assets as small as 10 million? Will the management agency have a thunder that can't be stepped on ? And we have not heard of the events of large foreign public funds or formal asset management institutions running around? (In addition to the once-in-a-lifetime 2008 financial crisis, several unfortunate US investment banks)
Through the following shortcomings of the operation of the traditional asset management platform, we will have our own answers to the above questions.
- Games of 0 and 1 : Most of the assets management platforms that run or thunder are mostly invested in non-standard credit fixed-income projects. The so-called non-standard creditor projects are no way to standardize the credit assets that are circulated in the secondary market. This kind of project actually has a lot of credit risk, which is essentially a game of 0 and 1. Take Cheng Xing's example of this incident. If the company itself is running well or the cash flow of the company is good, the investor's money may be backed up, but as the macroeconomic situation deteriorates, the debtor industry enters a recession, and the debtor's sudden operation Risk, etc., it is really easy to step on the mine.
- The wind control investment process is closed: Have you discovered that most of the wealth management products on the market even include bank wealth management products? You will only get a beautifully crafted PPT when you consult , basically all The propaganda routines are consistent, the underlying assets are of high quality, the company's credit is good, and the company's cash flow is good in the sunrise industry. But how many investors can see their internal risk control workflow, cash flow forecast, project evaluation report? The answer is no. Therefore, a large number of such closed-end non-standard claims fixed-income products risk control process investors in China are unable to grasp, which leads to very low cost of doing things and insufficient risk control ability, and the relevant practitioners only pursue the maximization of interests and do not care about investment. Human risk.
Let's take the example of the Chengxing incident. If the incident is that the Noah Wealth Project team is also Wang Jingbo personally, what should I do to deliberately relax the risk control link for my own benefit? Do investors know the tricks in the due diligence and risk control review before the investment? no one knows! The end result is that investors use their own principal to buy a single sheet for the asset management platform. Similar phenomena are now everywhere in the industry. Some small platforms even set up fake targets to guide themselves, because they know that the risk of borrowing funds is actually greater, but in order to earn sales expenses and asset management, the fund pool business is formed. Over time, it became a Ponzi scheme, and the east window went straight after the incident.
Wealth sales asset management integration: In fact, now everyone has time to investigate, the asset management platform that has already stepped on the thunder and is on the road to thunder has a common feature and trend, that is, most of the platform is essentially the establishment of asset management by the left hand. The company set up wealth management products to earn fund management fees or asset management fees, and right-handed wealth companies to sell their own products to earn sales expenses. The name of the company is to maximize the upstream and downstream integration profits, but the risks behind it are not small. Take the example of Noah Fortune and Gopher Assets. The actual controllers of both companies are investing in Wang Jingbo and Gofei Assets to establish a fund. Noah Wealth sells this fund share to its high net worth clients. Then the investment managers, risk control managers, and financial managers of the two companies are almost bound by the interests, or the order is made. Everyone earns a commission together, or they can't do it next year. In other words, no professional in this initiative will actively disclose the risks to third-party external management agencies or investors before investing. The choice of brushing is on the opposite side of the investor and ignores the risk issue.
Of course, the final result of this event is also a high probability that all the project participants of Noah Wealth will be rewarded with the year-end bonus and the commission, but they will not have to pay any legal responsibility or punishment. At best, they only say “sorry, investment is risky” to the investor. Customers who invest in the thunderbolt project are alone and helpless in the cold wind on the edge of bankruptcy, and even some high-net-worth customers may directly fight poverty because of this investment. Investors who hold other similar unexpired wealth management products are still standing in the cold wind but are also shivering. I sighed to the sky. If I knew this, I would rather find a coin in the currency exchange directly. It’s a great ankle. At least there is a chance to live. When I encounter a bull market, I even have the opportunity to make money. It is stronger than being slaughtered on a certain asset management platform.
three. How to use blockchain technology to solve problems in existing traditional finance?
In fact, according to the above Noah’s wealth incident, most of our ordinary investors have already seen the risk point of this asset management platform very clearly. How to make the risk control and investment links more transparent through technical means in the future What happened to similar events? Perhaps the answer is decentralized financial DEFI. This year's hottest Facebook Libra project is already trying to break through the boundaries of traditional financial institutions. Although the white paper does not pose a challenge to traditional financial institutions, if Libra falls in the future, then it The first break is the monopoly of commercial banks on payment and transfer business. But for the larger asset management market, what will the decentralized asset management platform in the future DEFI world look like? Perhaps we can use the blockchain technology and decentralized thinking to extract and eliminate the methods to solve the drawbacks of the traditional asset management platform in the event of the event, and slowly piece together the future decentralized asset management platform. Personally feel that the future asset management platform should meet the following points:
- Division of interests: First, the decentralized asset management platform is broadly divided into four participating roles, including platform parties, investors, asset parties, and third-party professional services organizations (including not limited to law firms, accounting firms, evaluation firms, Tax consulting companies, etc., hereinafter referred to as third-party organizations). After the asset direction platform management proposes the application for asset integrity, the third party will complete the review of the relevant assets, and the results will be uploaded to the platform after the report is formed. After the report is posted, it can be credible and the scoring system will be implemented. Third-party professional service agency fees are no longer funded by the asset side, but are paid in proportion to the certificate after the asset is completed, and other means are used to force third-party organizations to strictly review all aspects of the assets from the perspective of investors. In order to prevent the interests of the asset side, the organization side and the platform from reaching an agreement, the cost of the evil is reduced and the risk control is invalid.
- Transparency of the platform structure: Before the asset is positively verified, the investor will judge whether to participate in the investment according to the third-party evaluation result. Before the investment, the third-party organization examines the report, and the investor can view it at will, set the subscription period and the subscription ratio. If the subscription ratio is not reached before the expiration of the term, the asset will be cancelled. In the overall transaction, the platform side is only responsible for work coordination, improving platform technology, asset integrity and other work does not participate in the final decision, and ultimately forms a situation in which inferior assets are completely withdrawn from the platform, and the supply of quality assets is in short supply, which is completely dominated by investors and investors. The benign closed-loop platform ecology.
- Liquidity of assets : According to the analysis of the above-mentioned sub-wealth thunder, we found that most of the items on the thunder are actually closed non-standard credit fixed-income products. The reason is that the liquidity of the assets is insufficient, the allocation is not scattered enough, or the payment is due or There is no buffer at all in the middle of the thunder. Why are most foreign asset management companies not experiencing such intensive thunder? Because most of the foreign cash flow assets have been securitized, real estate funds ( REITS), stocks, bonds, bond funds, commodities. Etc., investors or asset management companies can completely autonomously manage asset allocation based on market conditions, macroeconomic conditions, and risk preferences. However, due to historical reasons, the level of asset securitization in our country is far lower than that of developed economies. In the future, the asset management platform of the DEFI world needs to solve the shortcomings of traditional finance. It needs to provide rich, controllable and liquid assets on the platform, allowing investors to allocate assets according to their own preferences, and at the same time, according to their own Asset configuration needs to be optimized anytime, anywhere.
- Decentralization : Decentralization is the most important criterion for the success of its decentralized asset management platform in the future. The platform, the asset side, and the third party institutions will have no right to directly determine the valuation of the assets. Is there a qualification for normalization? In accordance with the integrity of the assets and the rigor of the assessment report, the investors use their own funds to vote on the assets, forming a completely equal benign ecology, completely eliminating the traditional asset management platform in the process of investment and risk control, the failure of the wind control Risks such as corruption.
Below we can compare the advantages and disadvantages of the traditional asset management platform and the decentralized asset asset management platform in the DEFI world from several aspects :
four. Defi's future prospects
Most of the traditional financial institutions in their implementation stage are using their own licenses to conduct risk-free arbitrage. Most of the friends who have bought financial management have experienced the experience. The 4% annual financial management target has to be robbed. The bank’s ability to just redeem, but since the national de-leverage and cancellation policy was issued last year, careful people may have found that all wealth management products no longer have the words of guaranteed interest and interest, which means commercial banks Wealth management products will no longer be rigidly redeemed. At the same time, the promulgation of the Bank Insurance Law also means that the possibility of the country's bottoming out to banks is greatly reduced. For example, if a bank goes bankrupt, the personal deposit insurance claims will only be paid 500,000 yuan.
In the future, the asset management needs of the entire market will reach the scale of several trillions. After the centralized financial institutions break the gap, the last advantage of traditional financial institutions will disappear, and lying down to make money will become a past tense. The emergence of decentralized asset management platform will bring investors a transparent process, transparent assets, and strong liquidity, which will greatly compensate the disadvantages of traditional institutions.
Nowadays, Defi 's development momentum is unstoppable. Each segment has produced many high-quality projects. At the same time, many teams are working hard to realize the decentralized asset management platform. I hope that in the future they will bring a fair mechanism, a transparent platform and a stable return for all investors.