Product Design Of Investment Plan Named “Enjoying M&A”

In a long period of time to come,China will usher in a period of economic restructuring and industrial upgrading.As one of the best way to achieve the aim,Mergers and acquisitions will usher in a new round of development peak.Because of the imperfections of Chinese capital market and the harsh conditions of M & A loan approval,there is a big gap in financing mergers and acquisitions, therefore M & A theme financial products have sufficient development space.On the other hand, with the rapid economical development and the accumulation of wealth, Chinese financial market has great potential development,people have higher requirements for the diversification of asset allocation.Already existing Buyout fund and other M & A theme financial products have very high requirements for investors in the net asset value and investment experience,so the middle class lack appropriate investment opportunities,there is an urgent requirement for product innovation.This paper bases on the current situation of Chinese M & A financing and consume demand for financial products,and then analyzes the development situation of Chinese M & A fund and the necessity of product innovation.On the basis of these analysis, the idea,the function, and the orientation of product design is determined. In order to spread the risk and meet the consumer demand better,Investment Plan named “Enjoying M & A” were classified: the priority enjoys certain floating revenue on the basis of 5%, the risk is low, suitable for the vast number of middle class. The middle has a certain risk of loss of principal, suitable for high net worth clients or institutional investors;The inferior is held by brokerage with its own funds, ensuring benefits of the priority and the middle, bearing the ultimate risk.Then, this paper analyzes the structure of the product, the expected return, risk control and innovation points.The article also analyzes the competitive advantages of the products from the aspects of policy support, supply demand and market acceptance.At the end of this paper, the product promotion strategy and funds are estimated.Based on the existing Buyout fund products,Investment Plan named “Enjoying M & A”makes new combinations of the risks and the returns.After classification,the products are more suitable for different levels of consumers.On the one hand, the product riches consumer investment channels, on the other hand, the product make the capital source for M & A financing more broad.