A regulation draft on trust companies...>

CHINA PRESS: A regulation draft on trust companies has been issued to local

banking regulators, with rules no stricter than the general wealth management

product rules announced earlier this year, China Securities Journal reported

Monday, citing unidentified insiders. 

  - The document categorises the so-called "channel businesses" -- banks using

trust companies as a channel to move assets off-balance sheets -- into "good

will and bad will", which will stop the "bad will" channel businesses while

allowing the "good will" ones to continue; 

  - It is uncertain whether the specific rule on channel business will be

written into the final guidance, the newspaper noted. 

***Comments: Less strict WMP rules indicate the government's efforts to provide

some relief to financial institutions and slow deleveraging, amid pressures to

hit the annual GDP target during the ongoing trade war with the U.S.