What does a bank financial subsidiary do?

Many state-owned banks in China have set up financial subsidiaries. As we all know, banks are qualified to issue wealth management products, and bank wealth management is also one of the more trusted financial management methods for investors. So what does a bank financing subsidiary do? What's the difference between it and bank financing?

1. What does a bank financing subsidiary do?

Bank financial subsidiaries are generally established by commercial banks as controlling shareholders and approved by CBRC, and are professional financial institutions. The minimum registered capital of the bank's wealth management subsidiary is 65.438 billion yuan, which requires the franchise department of wealth management business to continue to operate for more than 3 years, and promises not to transfer the equity within 5 years.

Second, the difference between financial subsidiaries and bank financial management

1, initial threshold

The initial investment amount of bank wealth management products is relatively high, generally 6,543.8+0,000 yuan, but the initial investment amount of public offerings issued by wealth management subsidiaries is mostly 654.38+0 yuan. The lowering of investment threshold not only improves the fund-raising ability of financial subsidiaries, but also increases the choice space of investors' low-threshold financial products.

2. Purchase channel

Generally, bank wealth management products can only be purchased through the bank's own channels, such as bank counters, online banking, etc. Investors who purchase for the first time must go to the outlets for face-to-face signing.

The products issued by the bank's wealth management subsidiaries can be purchased not only through the bank's channels, but also through other consignment agencies, such as WeChat, Alipay and other platforms. Moreover, there is no counter requirement, and risk tolerance can be assessed through electronic channels.

3. Graded wealth management products

Ordinary bank wealth management products do not contain classified wealth management products, but wealth management subsidiaries can issue classified wealth management products.

The above content about what the bank's financial subsidiary does, I hope it will help you. Warm reminder, financial management is risky and investment needs to be cautious.