NFRA Revises and Issues the Administrative Measures for Trust Companies

On September 11, the National Financial Regulatory Administration (NFRA) issued the Administrative Measures for Trust Companies (the “Measures”), which will come into force on January 1, 2026. The original Administrative Measures for Trust Companies will be repealed simultaneously.

The Measures specify that the establishment of trust companies must be approved by the Administration, with a minimum registered capital of 500 million yuan, and the establishment of branch offices is prohibited. It is stipulated that shareholders of trust companies shall not pledge equity or interfere in management and operations, and major shareholders are required to assume risk rescue responsibilities. The business scope of trust companies includes asset service trusts, asset management trusts, charitable public welfare trusts, etc. Channel business, fund pool business, and illegal related-party transactions are prohibited. The Measures require trust companies to establish and improve mechanisms for corporate governance, risk management, information disclosure, and internal and external audit, and to strengthen management of net capital and risk reserves. Detailed provisions are also made regarding the procedures for termination, bankruptcy, liquidation of trust companies, and risk disposal measures.