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Custody Service for Private Equity Securities Investment Fund

I. Business Overview
Custody service for private equity investment fund is an asset custody business in which ICBC as a custodian, according to custody agreement signed between the custodian and party concerned or legal documents such as fund contracts, provides private equity securities investment fund with custody services including asset safekeeping, clearing, asset valuation, accounting, supervision on investment, and information disclosure. By the end of 2014, the Bank has built partnerships with more than 260 institutions of managing the private equity securities investment funds with funds under custody exceeding RMB100 billion. It offers custody services for indenture system, partnership, and investment consulting private equity funds.

II. Target Customers
Private equity securities investment management institutions registered in Asset Management Association of China

III. Scope of Services
i. Opening of account: fund accounts, securities accounts and other related accounts will be opened for private equity securities investment funds as required by regulatory authorities;
ii. Asset safekeeping: setting separate accounts for different private equity securities investment funds under custody, to guarantee the consistency between amount, accounts and vouchers, and ensure the integrity and independence of fund assets.
iii. Clearing: timely handling the clearing and delivery of fund assets according to the investment instructions of fund managers;
iv. Supervision on investment: supervising whether the instructions of fund managers as well as investment and operation of the investment are legal according to relevant laws, regulations and customer’s requirements;
v. Accounting and valuation: apply accounting to fund, and review the net value of fund assets calculated by fund managers;
vi. Other value-added service, such as performance evaluation and cash management of custody account idle funds.

IV. Advantages
i. Advantage in custody service capability: private equity funds are flexible in investment methods with extensive investment fields and have high personalized requirements for custody services. The Bank’s custody business has obvious advantages in terms of scope of services, business experience, technologies, and system functions. Besides, ICBC can also offer “custody + outsourcing” package service, which can effectively meet customer’s requirements.
ii. Advantage in service institutions: ICBC sets up custody divisions in regions including Beijing, Shanghai, Guangzhou, Shenzhen and Zhejiang where private equity institutions are mainly located, meaning that the Bank can offer localized custody services to private equity funds.
iii. Advantage in comprehensive strength: private equity management institutions attach importance to comprehensive cooperation with commercial banks. The Bank’s business lines in asset management, private banking, and personal banking can carry out comprehensive cooperation with the private equity funds so that the Bank can give full play to its overall advantages to provide private equity funds with a package of service schemes.

VI. Contact Information
If you would like to apply for any service, please contact the Entrusted Asset Division II  of Asset Custody Department of ICBC.
Contact Person(s): Guo Ming, Zhang Kerong
Tel: (8610) 5773/5763
Fax: (8610) 66105761
E-MAIL: ming.guo@icbc.com.cn