Developing Charitable Trust, Building a Wholesome Ecosystem
On December 28 2016, “CITIC 2016 SEE-CSC Environmental Protection Charitable Trust” press conference was held in Beijing. CITIC Trust Vice Chairman Mr. Lu Jingsheng, See Foundation President Mr. Zhou Zhou, CSC President Mr. Jiang Pengcheng and Zhong Lun Law Firm Partner Mr. Jia Mingjun attended and gave speeches. This is Beijing’s first successful dual-trustees charitable trust, and is an important milestone in finance and charity collaboration.
The charitable trust will fund desertification control, green supply chain and pollution control, ecological protection and nature education, and private environmental protection organizations. Its goal is to explore sustainable development of charity works through tri-party cooperation, and bring more social and private capital into the charity field.
During the press conference, trust settlor representative Mr. Jiang Pengcheng introduced CSC as an investment institution focused on national strategic emerging sectors with 3 main business segments: technology venture capital, buyout investments, and asset management. CSC has always supported entrepreneurs and innovation; and proactively performs corporate social responsibility. CSC entrusts SEE Foundation and CITIC Trust with this charitable trust in order to support the development of early-stage Chinese environmental protection organizations.
The trustee representatives – CITIC Trust Vice Chairman Lu Jingsheng and SEE Foundation President Zhou Zhou shared about the development status and trends of Chinese charitable trusts, and elaborated on the significance and operation of the dual trustees model.
Charitable trust development has a long way to go and many problems to solve. It calls for regulations and policy support, refined tax cut policy, and trust property registration systems in order to create charitable trusts with non-monetary assets (equity, real estate).
The dialogue between charity and finance has just begun. As more people explore charitable trusts and policies become more polished, its future is promising and may also become a way of family wealth inheritance.