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Announcement of China Securities Regulatory
No. 4

The Standards on the Contents and Formats of Annual Reports of Fund Management Companies are hereby promulgated. It shall enter into force as of the promulgation date. All fund management companies shall carry them out and implement them accordingly.

Attachment: Standards on the Contents and Formats of Annual Reports of Fund Management Companies

China Securities Regulatory Commission
February 18th, 2008
Standards on the Contents and Formats of Annual Reports of Fund Management Companies
Chapter I General Rules
Article 1
For the purpose of standardizing the preparation of annual reports and the information disclosure by fund management companies and improving the quality of the financial information of fund management companies, the present Standards are set down according to the Company Law of the People's Republic of China (hereinafter referred to as Company Law), the Law of the People's Republic of China on Securities Investment Fund (hereinafter referred to as Fund Law), other laws, regulations and the related provisions of China Securities Regulatory Commission (CSRC).
Article 2
All limited liability companies and joint-stock companies (hereinafter referred to as Company) set up upon approval according to the provisions of the Company Law and the Fund Law to engage in securities investment fund management business shall prepare and disclose annual reports according to the requirements by the present Standards.
Article 3
In principle, the Company shall disclose all contents listed in the present Standards. But if some specific requirements in the present Standards are indeed inapplicable to the Company, or if the Company has significant issues not included in the present Standards, the Company may delete or add some contents in light of the actual situation.
Article 4
The Company may make proper technical processing on the contents of related parts by mutual reference to avoid the unnecessary repetition and keep the context concise under the premise that the integrity of the disclosure is not influenced and the inconvenience in reading will not be caused.
Article 5
The financial statement included in the annual report of the Company must be audited by an accounting firm qualified for operating the related securities and futures business.
Article 6
The Company must reship the auditing opinions of certified public accountants in full text in the annual report text, and may not modify or delete any financial accounting materials (including financial statements and notes thereto) signed by certified public accountants and accounting firm at will.The Company shall present the annual report to the appointed accounting firm before filing the annual report with the CSRC.
Article 7
Certified public accountants shall submit written reports thereon to the CSRC within four months upon the end of each accounting year to give detailed reasons for issuing such auditing reports and the impacts of the related issues on the financial status and business performance of the Company once issuing auditing reports with explanatory notes, reserved opinions, inexpressible opinions or negative opinions.
Article 8
The accounting firm that undertakes the auditing work of the annual financial statement of the Company shall test and evaluate the internal control of the Company and produce an internal control evaluation report.

The report shall objectively evaluate the integrity, reasonability and effectiveness of the internal control in relation to the financial statements of the Company, set forth corresponding suggestions for improvement, and give express opinions on whether there are big defects in the internal control of the Company.

Article 9
Certified public accountant shall pay proper attention to the Company's acts violating the law, internal regulations or contractual stipulations, and take into full consideration the impact of such issues on accounting statements and auditing reports. For such issues not directly impacting accounting statements significantly, if the Company fails to make necessary disclosure of them according to the provisions of Article 51 of the present Standards, or if the certified public accountant have objection to the contents disclosed by the Company, the certified public accountant shall directly report to the CSRC in the form of letter and suggest convening a meeting with the participation of the regulatory department, the Company and the certified public accountant to discuss the matter concerned.
Article 10
The full text of the annual report shall be prepared according to the requirements specified in Chapter II of the present Measures, the Company shall file electronic documents of the annual report and the internal control evaluation report with the Accounting Department and the Department of Fund Supervision (hereinafter referred to as Fund Department) of the CSRC within three months after each accounting year ends, and file the official written texts of the above reports with the Accounting Department and the Fund Department of the CSRC, respectively, in duplicate within three months after the accounting year ends.

Letters to the CSRC shall be filed with the Accounting Department and the Fund Department of the CSRC in both electronic form and written form according to the requirements on time limit and form as provided for in the preceding paragraph.

The Company shall also file the written text of the annual report with the dispatched office of the CSRC of the place where the business place of the Company is located according to the above requirements on time limit.

Article 11
The full text of the annual report shall be filed with the CSRC only. The Company may prepare the summary of the annual report in another initiative according to the requirements as provided for by Chapter III of the present Standards, and then disclose it to the outside.
Article 12
The board of directors of the Company shall be responsible for the preparation and filing of annual report, and it shall assign special personnel to be in charge of the work which demands the participation of all related departments. The board of directors of the Company and the directors thereof shall guarantee the authenticity, accuracy and integrity of the annual report and the summary content thereof, and each director shall sign on the annual report, promising that the report does not contain any false records, misleading statements or gross omission and that he would bear separate and joint legal liability for his promise. Incase any directors are unable to guarantee the authenticity, accuracy and integrity of the annual report or hold any objections, they shall state their reasons and give their opinions separately in the annual report. Names of directors not giving any opinions shall be separately listed.
Article 13
The CSRC shall make afterward inspections on the timeliness, integrity and authenticity of the annual report of the Company. In case it the Company is found out to fail to timely file material according to the requirements of the present Standards, or the material filed has any omission or false and deceptive statements, or the accounting firm fails to perform its duties with due diligence or fails to give auditing opinions independently, objectively and fairly, the CSRC shall impose punishments on the Company, the accounting firm and the related liable persons according to the related laws and regulations in light of the actual circumstances.
Chapter II Text of the Annual Report
Section 1 Important Notes and Table of Contents
Article 14
The Company shall make important notes at an eye-catching place of the annual report as follows:

"The board of directors of the Company undertakes that there are no false statement, misleading information or gross omission, guarantees the authenticity, accuracy and integrity of the contents of the annual report, and assumes the related separate and joint liabilities."

In case the Company changes accounting firm during the report period, it shall give the following important notes:

"Upon the approval of the meeting held on (date), the Company decided to hire XX Accounting Firm as the auditing organ to audit the annual financial statements of the Company and dismiss the preceding auditing organ , XXAccounting Firm. See the part of Other Important Issues in this Report for detailed explanation."

In case the accounting firm conducting the auditing work issues an auditing report with clean opinions, it is shall expressly state that: "XX Accounting Firm has issued an auditing report with clean opinions for this Company."

In case the accounting firm conducting the auditing work issues an auditing report with explanatory statements, reserved opinions, inexpressible opinions or negative opinions, the following statement shall be added to the important notes:

"XX Accounting Firm has issued an auditing report with explanatory statements (reserved opinions, inexpressible opinions or negative opinions), the board of directors and the board of supervisors of the Company also have presented detailed descriptions about the related item which the investors shall pay special attention to."

Article 15
The titles of all chapters and sections and the corresponding page numbers thereof shall be clearly indicated in the table of contents in the annual report.
Section 2 General Information about the Company
Article 16
The Company shall disclose the following brief information:
(1)
the Company's registered Chinese and English names and the abbreviations thereof;
(2)
the Company's legal representative and general manager (or president);
(3)
the Company's business scope and registered capital;
(4)
the Company's registered address, business address, postal code, internet website and e-mail address; and
(5)
the name, post, mail address, telephone number, fax and e-mail address of the special personnel appointed by the Company to be in charge of the preparation and filing of annual report.
Article 17
The Company shall present a brief introduction to its history, mainly including the previous restructuring, capital and share increase, etc.
Article 18
The Company shall list or other effective forms, give brief introduction to its institutional framework in the form of chart, including the major functional departments of the headquarters of the Company and its branch companies and subsidiary companies, etc., and disclose the address, date of establishment, registered capital (working capital), person in charge and telephone number of each branch company and subsidiary company.
Article 19
The Company shall present a brief introduction to its management funds, including the number and category of the management funds, and list the name, date of establishment, name of the trustee bank, trustee fee, channels for sales on a commission basis and general situation of each fund.

Funds shall be listed in sequence of their time of establishment.

Article 20
In case there are any direct selling institutions under the Company, the Company shall disclose the number and distribution situation of such institutions.
Article 21
The Company shall present a brief introduction to the related information about its employees, mainly including the number of employees, specialty structure, distribution of age and education degree, etc.
Article 22
The Company shall disclose related information about the accounting firm hired to undertake the auditing work.
Section 3 Summary of Financial Data and Business Data
Article 23
The Company shall present the major accounting data of the current year in tabular form, that at the beginning of year (the last year) and the percentage increase or decrease.
Article 24
The Company shall present the ending balance, beginning balance and percentage increase or decrease of the following financial status indicators: asset-liability ratio, net asset-liability ratio and liquidity ratio in tabular form.
Article 25
The Company shall present the data of the previous period, that of the current period and the percentage increase or decrease of the following business performance indicators: rate of return on net assets, rate of return on total assets and business expense ratio in tabular form.
Article 26
The Company shall deduct the impacts of money collected or paid for another in fund transactions on assets and liabilities when calculating various kinds of ratios.

If it retroactively adjusts the accounting data of previous years due to its accounting policies or the correction of big accounting errors, the Company shall disclose the accumulative amount affected, and, when disclosing the "major accounting data and financial indicators" of the beginning of the reporting period and the last year, disclose the data both before and after the adjustment.

Article 27
The Company shall present brief disclosure of related transactions happened during the reporting period.

As regards transactions between the Company and the related parties, it is required to disclose the type of such transactions, amount involved and pricing policy, etc. Related parties include:

(1)
parties who are actually capable of controlling the Company or funds under the management of the Company or parties exerting great influence upon the Company or the operation of funds, like controlling shareholders of the Company and trustees of funds, etc.; and
(2)
parties who are actually capable of controlling the funds under the management of the Company or exerting great influence upon the operation of such funds, like listed companies with investment from such funds, etc.
Section 4 Changes in Paid-in Capital and Information about Shareholders
Article 28
The Company shall, item by item, report changes in shareholder's equity of the current period, and specify reasons for such changes. The Company shall disclose changes in paid-in capital during the reporting period in details, including changes in the total amount of paid-in capital and capital structure due to capital or share increase, equity transfer, the implementation of equity incentive plan or other reasons, and disclose the corresponding registered number of approval, price-fixing basis and summary descriptions on the input, restructuring and replacement of assets by investors, etc.
Article 29
As regards any changes in shareholders during the reporting period, the Company shall disclose the names of old and new shareholders, date of change and reasons for such changes, etc.
Article 30
The Company shall make disclosure of the following information about its shareholders:
(1)
the total number of shareholders by the end of the reporting period;
(2)
shareholders' name, amount and proportion of investment, changes in their stocks in the year, whether their stocks have been mortgaged or frozen, and relationships among shareholders (if any); and
(3)
the legal representative, general manager, date of establishment, principal business, registered capital and other related information about the top five legal person shareholders.
Section 5 Directors, Supervisors and Senior Managers
Article 31
The Company shall disclose the names of directors, supervisors and senior managers, the start date and end date of their term of office, brief introduction to their work experiences and posts occupied by them outside the Company. The Company shall do the same about independent directors. Senior managers shall include the chairman of the board of directors, general managers, deputy general managers, the chief supervisor and other personnel actually performing the above duties of the Company.
Article 32
The Company shall make disclosure of the names of directors, supervisors and senior managers who leave their ports during the reporting period, date when they leave and reasons for their leave. It shall also make disclosure of the names of newly appointed directors, supervisors and senior managers, whether they are qualified for engaging in fund management business, brief introduction to their work experiences and number of the approval documents.
Article 33
In case there are special committees under the board of directors of the Company, it is required to make disclosure of the name of members of such committees, the start date and end date of their term of office and brief introduction to their work experiences.
Article 34
The Company shall make disclosure of the number of fund managers in position, and, in tabular form or other proper forms, make disclosure of the name of fund managers, the name of management funds, and the start date and end date of the term of office as the fund manager of each fund as well as his main education background, work experience and fund management history. In case there are any changes in fund managers during the reporting period, the Company shall specify reasons.
Section 6 Reports from the Management Level
Article 35
During the reporting period, the Company shall make disclosure of for how many times the meeting of the board of directors has been held during the reporting period, give brief description of the presence of directors at the meeting, and summarize the major proposals and resolutions in the meeting of board of directors.
Article 36
The Company shall analyze the important impacts exerted by the economic environment and market circumstances on its major business and performance, and make an explanation on, to cope with such impacts, which steps the Company has taken in terms of fund promotion, fund sales, fund management, investment management on a commission basis and other business.
Article 37
During the reporting period, the Company shall make disclosure of information on the promotion and establishment of funds, and make disclosure of the name of funds set up during the reporting period by fund category (like open-end equity fund, hybrid fund, bond fund, money market fund and guaranteed fund, etc.).
Article 38
During the reporting period, the Company shall make disclosure of information about the sales of funds by fund category, mainly including the name of funds sold during the reporting period, sales amount, sales quota, sales commission and total selling expenses during the reporting period.
Article 39
During the reporting period, the Company shall disclose by fund category the general management situation like investment operation and proceeds of each fund during the reporting period. It shall also make disclosure of the amount of money prepared as the management cost of each fund and the amount of revenue from management cost as confirmed by the Company.
Article 40
As regards commissioned investment management business, the Company shall make a disclosure by category (like social security fund, enterprise annuity and other special items) of the assets scale and proceeds of such business as well as the Company's income from such business and related risks took in such business during the reporting period.
Article 41
The Company shall make disclosure of the ways by which the investment consulting business is conducted and the scale and revenue sources of such business.
Article 42
The Company shall make a disclosure by investment variety (like central bank bills, treasury bonds and funds, etc.) of the investment scale of self-owned capital in the current year and the last year, proportion of various securities in investment of self-owned capital, and proceeds during the reporting period, etc. In case self-owned capital suffers relatively big losses in investment, the Company shall specify corresponding reasons.
Article 43
During the reporting period, the Company shall make disclosure of the new business initiated during the reporting period, the direct selling institutions set up or closed, the functional departments newly set up or cancelled during the period,the information about closure and disposal of branch companies during the period, information about the important disposal, replacement and peeling-off of assets as well as the basic accounting treatment principles adopted and the impacts of such activities on the business performance of the Company during the reporting period.
Article 44
The Company shall analyze the top five business expense items during the reporting period as well as items with relative large changes (for percentage increase or decrease over 50%) as compared with the items of the last period, and specify reasons for such changes.
Article 45
The Company shall analyze the fluidity situation of assets and liabilities during the reporting period, including its major financing channels, short-term and long-term liability composition, measures taken for maintaining the fluidity level and corresponding management policies and financing ability, contingent issues and their impact on the financial status of the Company.
Article 46
The Company shall analyze the cash flow of the current year, including the cash flow from operating activities, investment activities and fund-raising activities and the major influencing factors.
Article 47
The Company shall present detailed analysis on all risk factors influencing its business operating activities and the specific performance of such factors during the reporting period.

The Company shall also make brief analysis on the preparation and use of risk reserves (including general risk reserves and special-purpose risk reserves) during the current period.

Article 48
The Company shall make detailed analysis on the general situation of the competition pattern in the industry as well as its position, its competitive advantage and disadvantage.
Article 49
The Company shall make self-evaluation on the integrity, reasonability and effectiveness of its internal control system, and present brief introduction to the auditing opinions of certified public accountants on its internal control system, the explanation thereon given by the Company and corresponding measures for improvement as well as information about the rectification of problems presented in the last self-evaluation or internal control evaluation report.
Article 50
The Company shall present brief disclosure of the status quo of its governance structure, aspects to be improved and corresponding measures, etc. It shall also make explanations on whether it has set up the independent director system and the chief supervisor system according to the provisions of Article 41 and Article 42 of the Administrative Measures for Securities Investment Fund Management Companies, and whether the number of independent directors conforms to the related provisions.

The Company shall describe the personnel composition of each functional institution involved in the governance structure, their scope of duties and procedures for deliberating issues, etc.

In case there are special committees under the board of directors, the duties, procedures and meeting issues of such committees shall also be disclosed.

Article 51
Where, for the financial statement of the Company, the accounting firm issues an auditing report with explanatory statements, reserved opinions, inexpressible opinions or negative opinions, the Company shall give detailed explanations on related issues and make disclosure of the dissents, if any, of independent directors or the board of supervisors.
Section 7 Other Important Issues
Article 52
The Company shall make disclosure of the situation of the (general) meeting of shareholders and the meeting of the board of supervisors during the reporting period.
Article 53
The Company shall make disclosure of litigation and arbitration events according to the following requirements:
(1)
big litigation and arbitration events happened during the reporting period. In case no big litigation and arbitration events occur during the reporting period, the Company shall expressly state that "No big litigation and arbitration events occur to the Company in the current year;"
(2)
for litigation and arbitration events involving large amounts of money happened in previous years and the reporting period, the progress or results and impacts of such events; and
(3)
for verdicts or arbitrations which have already entered into force, situation about their execution or suspension of execution.
Article 54
The Company shall make disclosure of the name of each liquidated fund, reasons for the termination of the fund contract and summary of the liquidation report contents, including the liquidation expense, the amount of the residual assets after liquidation, the balance (if any) of the residual assets after deducting the liquidation expense, and the distribution of such balance, etc.
Article 55
The Company shall make disclosure of the total sum and related situation of all major off-sheet items which are not mentioned above but may affect the financial status and business performance of the Company.
Article 56
The Company shall make disclosure of the punishments received in the current year, including the punishments and public condemnations imposed by the CSRC, the Securities Association of China and securities exchanges on the Company and its directors, supervisors and senior managers, and records of gross punishments imposed by departments in charge of public finance, taxation, foreign exchange and auditing, etc.
Article 57
The Company shall make disclosure of information about the employment and change of accounting firm and payments made in the reporting year to the hired accounting firm. Such payments shall be detailed into auditing fee, taxation consulting fee, management consulting fee and system consulting fee, etc.

In case any accounting firm has been dismissed, the Company shall specify corresponding reasons.

Article 58
The Company shall make clear distinguishes between audited financial information and unaudited one, and declare that it is responsible for the correctness of unaudited financial information. For audited financial information, the Company shall clarify in the annual report the responsibility therefor of the accounting firm it hired.
Article 59
After the reporting period, the Company shall make disclosure of the following important events :
(1)
changes in the shareholders, directors, supervisors and senior managers of the Company;
(2)
annual distribution plan or resolution;
(3)
significant fiscal expenses and investment and financing acts; and
(4)
litigation and arbitration events involving large sums of money.
Section 8 Financial Statements
Article 60
The Company shall make disclosure of the full text of the auditing report, the audited financial statements and the notes thereto.
Article 61
Financial statements shall be prepared according to the provisions of the Accounting Standards for Enterprises and other related provisions promulgated by the Ministry of Finance and the CSRC.
Article 62
Financial statements include the Company's balance sheet at the end of the reporting period and at the end of the previous year, the profit statements of the current year and the previous year, the cash flow statement of the current year, and table of changes in owners' equities of the current year.
Article 63
All financial statements, all items thereunder and all related figures in the financial statements between the current period and the previous period shall be mutually checked with each other.
Article 64
Accounting data in financial statements presented by the Company must be arranged from left to right, and the data of the latest period shall be on the most left side. Each major item in such statements shall be indicated with a note number, which shall be identical with the number of notes to financial statements. The unit of financial statements shall be RMB Yuan.
Article 65
Notes to financial statements are an integral part of financial statements. Such notes shall include all information related to the financial status, business performance and cash flow of the Company and all important information which can help users of such statements better understand information of such statements, and shall make explanations on data of two dates or periods as included in comparative statements. Notes to financial statements shall be prepared according to the attached Provisions on Preparing the Notes to Financial Statements of Fund Management Companies.
Chapter III Summary of Annual Report
Section 1 Important Notes
Article 66
Apart from the important notes required by Article 13, the Company shall also declare that:

"This Summary of Annual Report is originated from the text of the annual report, and, to learn more detailed contents, report users shall read the full text of the annual report."

Section 2 General Information about the Company
Article 67
The Company shall make disclosure of the following brief introduction:
(1)
the Company's legal Chinese and English names and the abbreviations thereof;
(2)
the Company's legal representative and general manager (or president); and
(3)
the Company's registered capital, registered address, business address, postal code, internet website and e-mail address.
Article 68
The Company shall present a brief introduction to its history, mainly including the previous restructuring and capital and share increase, etc.
Article 69
The Company shall, in the form of chart or other effective forms, present a brief introduction to its institutional framework, including the major functional departments of the headquarters of the Company and its domestic and overseas branch companies and professional subsidiary companies, etc.
Article 70
The Company shall present a brief introduction to its management funds, including the number and category of management funds, and list the name, date of establishment and name of the trustee bank of each fund.

All types of funds shall be listed in sequence of their time of establishment.

Article 71
In case there are any direct selling institutions under the Company, the Company shall make disclosure of the number and distribution of such institutions.
Article 72
The Company shall present a brief introduction to the related information about its employees, mainly including the number of employees, specialty structure, distribution of age and education degree, etc.
Article 73
The Company shall make disclosure of information about the accounting firm hired to undertake the auditing work.
Section 3 Summary of Major Accounting Data and Business Data
Article 74
The Company shall present the major accounting data of the current year in tabular form, that at the beginning of year (the last year) and the percentage increase or decrease.
Article 75
The Company shall present the ending balance, beginning balance (prior year) and percentage increase or decrease of the following financial status indicators in tabular form: asset-liability ratio, net asset-liability ratio and liquidity ratio.
Article 76
The Company shall present the data of the previous period in tabular form, that of the current period and the percentage increase or decrease of the following business performance indicators: rate of return on net assets, rate of return on total assets and business expense ratio.
Article 77
The Company shall deduct the impacts of money collected or paid for another as concerned in fund transactions on assets and liabilities When calculating various kinds of ratios.
Article 78
The Company shall make brief disclosure of related transactions happened during the reporting period.
Section 4 Changes in Equity (Capital) and Information about Shareholders
Article 79
The Company shall generally make disclosure of the changes in paid-in capital during the reporting period, including capital and share increase, equity transfer and equity incentive, etc.
Article 80
In case there are any changes in shareholders during the reporting period, the Company shall make disclosure of the name of new and old shareholders, the date when such changes occur and reasons for such changes, etc.
Article 81
The Company shall make disclosure of the following information about shareholders:
(1)
the total number of shareholders by the end of the reporting period;
(2)
the top five shareholders' name, proportion of stock, and whether their stocks have been mortgaged or frozen; and
(3)
related relationships among shareholders.
Section 5 Reports from the Management Level
Article 82
The Company shall briefly analyze the operation of various kinds of business (like fund raising, fund sales, fund management and entrusted assets management, etc.).
Article 83
The Company shall make brief disclosure of the important changes of its major business operation activities happened in the reporting period and the impacts of such changes on its business performance of the current period, like new business, establishment and disposal of new branch companies, and great disposal, replacement and peeling-off of assets.
Article 84
The Company shall analyze the quality and liquidity of its assets as well as its liability situation, and make a general disclosure thereof.
Article 85
The Company shall make brief comments on the effectiveness of the internal control concerned in financial statements, and give a brief introduction to the comments and opinions of certified public accountants on its internal control situation during the reporting period.
Article 86
In case the accounting firm issues an auditing report with explanatory statement, reserved opinions, inexpressible opinions or negative opinions on the financial statements of the Company, the Company shall make disclosure of the summary of the contents of auditing opinions and a summary explanation made by the board of directors of the Company on the related issues.
Section 6 Other Important Issues
Article 87
It is required to generally outline the following important issues:
(1)
changes in each single business qualification during the reporting period;
(2)
make disclosure of separately the total amount involved in litigations and arbitrations happened in the reporting period and the previous year according to the litigation-related creditor's rights and litigation-related liabilities;
(3)
important off-sheet items, like guarantee and mortgage, etc.;
(4)
punishments on the Company imposed in the current year;
(5)
information about the employment and dismissal of accounting firms; and
(6)
great events after the reporting date, etc.
Chapter IV Supplementary Rules

The present Standards shall enter into force as of the promulgation date.

Attachment:
Provisions on Preparing the Notes to Financial Statements of Fund Management Companies
Article 1
Notes to financial statements as mentioned in the Standards Concerning the Contents and Formats of Annual Reports of Fund Management Companies shall be prepared according to the provisions of this Attachment, and make authentic, complete and accurate explanations on issues need to be explained as contained in financial statements.
Article 2
The Company shall prepare and make disclosure of notes to financial statements according to the requirements of the Accounting Standards for Enterprises and the present Provisions.
Article 3
The present Provisions are general provisions on notes to financial statements. All financial and accounting information which has important impact on the decision-making of users of financial statements shall be sufficiently disclosed by the Company.
Article 4
Notes to financial statements shall include, but not limited to, the contents as follows:
(1)
general situation of the Company;
(2)
basis for the preparation of financial statements;
(3)
a declaration on their compliance with the Accounting Standards for Enterprises;
(4)
important accounting policies and accounting estimates;
(5)
an explanation on changes in accounting policies and accounting estimates as well as correction of errors;
(6)
an explanation on important items of financial statements;
(7)
contingent issues;
(8)
events after the balance sheet date;
(9)
relationships between related parties and their transactions; and
(10)
risk management.
Article 5
The basic information of the Company shall include the place of registration and form of organization of the Company, the address of the headquarters, the nature of business, the major business operation activities, the name of the parent company and the ultimate parent company of the group, the person approving the disclosure of financial statements and the date of approval.
Article 6
The Company shall declare that its financial statements are in line with the requirements of the Accounting Standards for Enterprises and have truthfully and completely reflected the financial status, business achievements, cash flow and other information of the Company.
Article 7
The Company shall make disclosure of the important accounting policies and accounting estimates it has adopted, and it is not required to make disclosure of those unimportant ones.It shall make disclosure of the basis for determining these policies and the basis for the measurement of items of financial statements as well as the crucial hypothesis and uncertain factors it has adopted in accounting estimates when disclosing the important accounting policies and accounting estimates.
Article 8
The Company shall make disclosure of the changes in accounting policies and estimates and corrections of errors according to the provisions of the Accounting Standards for Enterprises No.28 - Changes in Accounting Policies and Estimates and Corrections of Errors and the guidelines for the application of the Standards.
Article 9
Items of financial statements:
1.
As regards the comparative data between the beginning and end of the reporting period as contained in the notes to the item of assets and debts in the balance sheet, as a general rule, the most left column is the data for the end of the reporting period; the item of profit statement shall list the comparative data between the current reporting period and the previous reporting period according to the comparative financial statements and explain the changes, the most left is the data for the current reporting period.
2.
As regards infrequent items or items whose name does not reflect their nature or content, it is required to make specific explanations thereon. As regards any abnormal amounts or any abnormally changed items presented in the statements (for example: the amount as changed accounts for 5% of the total assets of the reporting date or 10% or more of the total amount of profits in the reporting period, and the extent of change in the data between the two reporting periods is 30% or more), the Company shall give concrete reasons.
3.
The Company's illustrations about important items in the statements shall be disclosed in the order of balance sheet, profit statement, table of changes in owners' equities, cash flow statement, and other items, and in the form of combining text and figures. The detail aggregate amount of important items in the statements shall be mutually checked with the separate amounts of corresponding items in the statements.
(1)
Monetary fund shall separately list cash, bank deposit and other monetary funds of the Company. In particular, it is required to state whether there are any large-sum short-term borrowings in its bank deposit at the end of the reporting period, if any, the Company shall make disclosure of the nature and amount of each sum. It is also required to state whether there is any restriction, like freezing or sealing up, on the use of its bank deposit at the end of the reporting period, if any, it shall make disclosure of the reasons and amount of restriction.
(2)
Receivables shall be disclosed according to the following format requirements:

(i) as regards receivables, it is required to separately list the details of receivable management fee, other receivables and advanced payments;

(ii) it is required to list the proportion of the amount of receivables of different ages (less than one year, 1-2 year, 2-3 years and more than three years) to the total amount of receivables, and the amount and proportion of overdue receivables; and

(iii) in case, among the receivables, there is any money owed to a voting entity shareholder holding 5% or more shares of the Company, it is required to make disclosure of the name of the entity shareholder, the amount in arrear and the nature of such arrear.

(3)
As regards doubtful account reserves, beginning balance prepared at current period, amount recovered and written-off at the current period and ending balance of doubtful account reserves shall be disclosed. In case the preparation of such reserves at the current period is not identical with that prescribed in accounting policies in terms of methods or proportion, a special explanation thereon must be given.
(4)
As regards tradable financial assets, it is required to separately list the beginning-of-period and end-of-period fair value of tradable bond investment, tradable equity instrument investment, financial assets which are specified to be measured on fair value and whose fluctuations are included in the current profits and losses, derivative financial assets and other tradable financial assets.
(5)
As regards available-for-sale financial assets, it is required to separately list the beginning and ending fair value of available-for-sale bonds, available-for-sale equity instruments and other available-for-sale financial assets.
(6)
As regards investments held until maturity, it is required to separately list the beginning and ending book balance of each item thereunder.
(7)
As regards reserve-repo securities, it is required to make disclosure of the beginning balance, ending balance and the agreed reserve repo price at maturity of reserve-repo securities at each trading place.
(8)
As regards long-term equity investment, it is required to separately list the beginning balance, ending balance and current and accumulative amounts of unrecognized investment losses of each invested entity. Where an invested entity, for influences from the state or region where it is located or other aspects, is limited in ability for transferring funds to investors, it is required to make disclosure of the specific information about the limited ability.
(9)
As regards fixed assets, it is required to separately list the beginning balance, the accrual at current period, the reduced amount at current period and the ending balance under categories of initial value, accumulated depreciation, fixed assets depreciation reserves and fixed assets book value. In the case of transfer-in, sale, replacement, mortgage, guarantee or seal up of any fixed assets under construction, an explanation thereon must be given. In case the Company has intention to dispose fixed assets, it shall give a description on the name, book value and fair value of the fixed assets to be disposed, the estimated disposal expenses and the planned disposal time, etc.
(10)
As regards intangible assets, it is required to list item by item their acquirement form, initial value, beginning balance, accrual at current period, amount transferred out at current period, amount of amortization at current period, amount of accumulated amortization, ending balance, the number of remaining years of amortization.

As regards large-sum intangible assets increased at current period, in case evaluation value is taken as the basis for entering the original value of such assets into the accounting book, it is required to make disclosure of the evaluation agency and its evaluation methods.

(11)
As regards assets depreciation reserves, it is required to list item by item the beginning balance, amount prepared at current period, amount carried back at current period, amount written off at current period and ending balance of such reserves.
(12)
As regards short-term borrowings and long-term borrowings, it is required to list the beginning balance and ending balance of credit loans, mortgage loans, hypothecation loans and guarantee loans, respectively. The means of mortgage as well as the name and value of the estate under mortgage shall also be disclosed. In case there is any loan due and not repaid, it is required to make disclosure of the reasons for such failure and the repayment plan, and describe the after-date repayment in the after-date events.
(13)
As regards tradable financial liabilities, it is required to separately list the beginning-of-period and end-of-period fair value of offered tradable bonds, financial liabilities which are specified to be measured on fair value and whose fluctuations are included in the current profits and losses, derivative financial liabilities and other tradable financial liabilities.
(14)
Payables shall be disclosed in the following formats:

(i) It is required to separately list the beginning balance, ending balance and proportion to total amount of payables according to their categories (like other payables and advance payments, etc.);

(ii) in case, among the end-of-period payables, there is any amount due to an entity shareholder holding 5% or more shares of the Company, it is required to make disclosure of the name of the shareholder, the amount due and the nature of such payables;

(iii) as regards expenses drawn in advance, it is required to list the name of the item under which the expenses are drawn in advance, the ending balance and the basis for such draw; and

(iv) special risk reserves, it is required to make disclosure of the purpose of calculating and preparing special risk reserves, sources for preparing such reserves, standards for calculating and preparing such reserves and accounting methods, etc. It is also required to make disclosure of the beginning balance, accrual at current period, decreased amount at current period and ending balance.

(15)
As regards payables to employees, it is required to list item by item the beginning balance, accrual at current period, amount paid at current period and ending balance of such payables. In case there are any non-monetary benefits, it is required to make disclosure of the form of each non-monetary benefit provided by the Company for its employees at current period, the amount involved and the calculation basis.
(16)
As regards payable taxes, it is required to list item by item tax amount due and not paid at the end of the reporting period according to tax categories.
(17)
As regards income from selling repurchase securities, it is required to make disclosure of the beginning balance, ending balance and the agreed repurchase price at maturity of each trading place.
(18)
As regards deferred income tax assets/liabilities, it is required to list the beginning balance and ending balance in the account book of the confirmed deferred income tax assets/liabilities item by item, and list the deductible temporary variance and deductible losses of unconfirmed deferred income tax assets.
(19)
As regards paid-in capital, it is required to list the proportion of shares held by each shareholder as well as the beginning balance and ending balance. For any fluctuations in paid-in capital (stock) during the reporting period, it is required to make disclosure of the information about such fluctuations, the approval document number of the CSRC, the name of the accounting firm conducting the capital assessment work and the document number of the capital assessment report.
(20)
As regards capital reserves, it is required to list item by item the fluctuations in such reserves during the reporting period. In case capital reserves are used for capital increase, it is required to explain the related resolution.
(21)
As regards general risk reserves, it is required to the purpose of the establishment of risk reserves, sources of preparing such reserves, standards for calculating and preparing such reserves and accounting methods, etc. It is also required to make disclosure of the beginning balance, accrual at current period, decreased amount at current period and ending balance.
(22)
As regards surplus reserves, it is required to list item by item the fluctuations in surplus reserves during the reporting period. In case surplus reserves are used for increasing capital, making up losses or distributing dividends, it is required to give the related resolution or basis.
(23)
As regards undistributed profits, it is required to state the distribution of profits and the increase/decrease of undistributed profits during the reporting period. For any adjustments of losses and benefits happened in previous years, in case the amounts involved are relatively huge, it is required to give detailed information about the contents of such adjustments, reasons therefor and amounts affected.
(24)
As regards proceeds from disturbance of fair value, it is required to list the amount of such proceeds at current period and last period according to their sources.
(25)
As regards income from management cost, it is required to make disclosure of the amount of such income at current period and last period according to such categories as income from securities investment fund management cost and income from social security fund management cost.

As regards income from securities investment fund management cost, it is required to list by fund name the amount of such income from each fund at current period and last period; for income from social security fund management income, it is required to list by the serial number of social security funds under trusted management the amount of such income from each fund at current period and last period.

In case it is stipulated in the fund (trustee) contract that part of the management income shall be used as guarantee money (or risk reserve fund), it is required to make an explanation thereon and indicate the basis for the preparation of such money and the proportion of such money.

(26)
As regards income from fund sales, it is required to list the amount of such income at current period and last period by category (fund sales commission income and fund sales service charges).

As regards commission income, it is required to make disclosure of the amount of such income at current period and last period by category (income from application fee, income from redemption fee, income from transition fee and income from subscription fee).

(27)
As regards other business income, it is required to list by category (like income from transfer of intangible assets, lease income and guarantee income) the amount at current year, the amount at last year and the percentage increase or decrease item by item.
(28)
As regards business and management expenses, it is required to make disclosure of the name of the top 10 business expenses which account for a large part of the Company's business and management expenses, the amount incurred in current period, the amount incurred in last period and the percentage increase or decrease.
(29)
As regards assets depreciation losses, it is required to list the amount of such losses at current period and that at last period item by item.
(30)
As regards business tax and the attached, it is required to make disclosure of the amount in current year, that in last year and the percentage increase or decrease by tax category.
(31)
As regards income tax expenses, it is required to make disclosure of the composition of income tax expenses (proceeds), including current income tax and deferred income tax; it is also required to make disclosure of the relations between income tax expenses (proceeds) and accounting profits.
(32)
As regards other business expenses, it is required to list by expenditure category the amount in current year, that in last year and the percentage increase or decrease item by item.
(33)
As regards investment yield, it is required to make disclosure of investment yield in current year and that in last year by securities category (like government securities and funds, etc.). If the proceeds from a certain business operation account for 10% or more of the total amount of profits of the reporting period, it is required to give an explanation on the contents, related cost and traded amount of the business.
(34)
As regards non-business income, it is required to make disclosure of the name of top five incomes and the amount incurred in current year and last year.
(35)
As regards non-business expenses, it is required to make disclosure of by expenditure item (like net losses of fixed assets, donation expenses, payments for breach of contract, compensation for a loss and abnormal losses, etc.) the amount in current year, that in last year.
(36)
As regards relations between related parties and their transactions, any information of relations between related parties and their transactions shall be disclosed according to the requirements of the Accounting Standards for Enterprises No.36 – Disclosure of Related Parties.
(37)
As regards contingent issues existing on the balance sheet date (like items involving litigation, arbitration, guarantee and discounted commercial acceptance, etc.), it is required to state in the notes to financial statements that the nature of each issue, the amount involved and their impacts on the financial status and business performance of the Company during and after the reporting period. The Company shall also give an explanation on contingent issues it is not required to indicate in the notes to financial statements.
(38)
Apart from disclosing contingent issues according to the requirements of Article 14, the Company shall also state the information about other important commitments existing on the balance sheet date, the amount involved and their impacts. In case there are no commitments required to disclose, the Company shall also give an explanation thereon.
(39)
As regards the non-adjusting events after the balance sheet date, it is required to, according to the provisions of the Accounting Standards for Enterprises No.29 – Events after the Balance Sheet Date, state the contents of such events and estimate their impacts on the financial status and business performance of the Company, and, in case it is unable to make the estimation, it shall specify reasons therefor.
(40)
Other important issues.