What is the basic function of trust is of great social and economic significance.

The basic functions of trust are:

First, the asset management function, also known as the property affairs management function. It refers to the function of a trust institution to manage or dispose of property for its clients.

Second, the function of financing. Absorbing trust funds is the main source of funds for trust and investment companies, and it is also the premise of issuing loans, conducting trust investment, entrusting investment and a series of trust businesses.

Third, the function of social investment. Trust companies use trust funds and their own funds to engage in securities investment and direct investment and become institutional investors.

4. Intermediary, agency, communication and coordination of economic relations. Trust business has multilateral economic relations, and the trustee, as the intermediary between the principal and the beneficiary, is a natural horizontal economic bridge.

Trust business can be investment or loan; Both direct financing and indirect financing can be used; We can establish trust relationship and agency relationship with customers. The diversification of trust methods makes its business activities flexible and changeable, and with the change of economic situation, new trust business methods are constantly established to meet the needs of all sectors of society.