Evergrande China: Wealth management product investors protest:
-Chinese real estate that is difficult to manage due to huge debt-
[Guangzhou January 4, Reuters]
China Evergrande:
January 4th,
100 investors who purchased wealth management products,
Packing up in the company’s building in Guangzhou, Guangdong
Protested for repayment of funds.
Investor protests:
The background is the concern that the redemption of wealth management products will be postponed due to the continuation of the real estate business.
Investors also protested last fall,
“Evergrande, return the money,” he shouted.
Revised Investor Redemption Plan:
Evergrande revised its plan to redeem wealth management products to investors on December 31st.
Wealth management product investors
Regardless of the redemption time of the owned products
For three months from this month, we will receive 8,000 yuan a month as a principal repayment.
Evergrande has traditionally not shown a specific amount,
The investment amount of 10% will be repaid at the end of the redemption deadline.
Evergrande Wealth Management Product:
Wealth management products yield close to 12%.
You can even get a Dyson air purifier and a Gucci bag.
It is a guaranteed product by the best real estate company in China.
Invited by these conditions, tens of thousands of investors bought China’s Evergrande wealth management product.
Under the Evergrande Group
Evergrande Wealth
It was launched in 2016 as a peer-to-peer (P2P) platform.
Initially, the proceeds were used for real estate projects.
Last 5 years:
Employees of the Evergrande Group,
That family and friends,
The company’s real estate owners, etc.
More than 80,000 investors have purchased evergrande wealth management products.
The total amount has exceeded 100 billion yuan.
Evergrande comments have not been taken yet.
Reuters
https://jp.reuters.com/article/china-property-debt-evergrande-protests-idJPKBN2JE0I8
‘Evergrande, return our money!’:
Investors rally outside cash-strapped Chinese firm
Investors in financial products issued by China Evergrande Group
protested outside the cash-strapped company’s offices in Guangzhou on Tuesday,
with many worried that their returns would be sacrificed to keep real estate projects afloat.
Members of the crowd of roughly 100 people
shouted “Evergrande, return our money!”, reprising a chant used by disgruntled investors and suppliers last autumn as the deterioration in its financial position became apparent.
On Friday,
Evergrande announceda dial-back of plans to repay investors in its wealth management products,
announcing that each could expect 8,000 yuan (US$1,256) per month in principal payment for three months starting in January, irrespective of when their investment matures.
National | Globalnews.ca
https://globalnews.ca/news/8486694/china-evergrande-investors-protest/