Criteria for Assets

Criteria for each asset class

Tangible assets

Fair valuation

Assets should have reasonable market valuations. Assets traded in active markets should refer to recent transaction prices. For assets that can generate stable cash flows in the future, relevant valuation models (DCF models) can be used to calculate present values, or valuation reports from licensed independent appraisal agencies recognized by actual laws can be used to measure whether prices are reasonable.

Compliance

The ownership, use rights or lease rights of assets should be clear and unambiguous, without property rights disputes or uncertainties. Assets must comply with the laws and regulations of the country or region where they are located, such as land use rights compliance and complete building permits. They must not be involved in pending litigation, mortgage disputes or other legal disputes to ensure the legality and security of assets.

Intangible assets

Economic value

The underlying assets must have a certain economic value, explain their application in the market, whether they have been applied to other products or can provide relevant income sources, and the valuation report provided by the asset appraisal agency can also be used as proof of economic value.

Compliance

The relevant assets are required to provide documents certified by official agencies, including but not limited to patent certificates, trademark registration certificates, technical appraisal reports, etc., and prove to be continuously valid during the product listing period, and there is no risk of infringement, and it complies with local laws and regulations.

Technical prospects

We will give priority to products with breakthrough technologies, such as AI, chips, big data, etc., and the technology is irreplaceable in the short term.

Financial assets

Returns and risks

Financial assets should provide measurable historical returns and have reasonable growth expectations. Assets should have market-tested historical returns that reflect their performance in different market environments, including bull markets, bear markets and volatile market cycles. Issuers should provide metrics such as the Sharpe ratio, Sortino ratio, and maximum drawdown to assess the profitability of assets at a certain level of risk. Financial assets should have a certain ability to resist economic cycle fluctuations and maintain reasonable returns in different market environments, such as a diversified investment portfolio or the allocation of safe-haven assets (such as gold and government bonds).

Compliance

Financial assets must comply with the laws and regulations of relevant countries and regions, and issuers must obtain approval or filing from relevant financial regulatory authorities. If assets can be traded on the open market, they must comply with the listing rules of the local stock exchange, such as the information disclosure requirements and financial health status in the listing criteria of the Hong Kong Stock Exchange.

Information disclosure

Financial products should provide transparent financial statements and investment income reports on a regular basis, and publish the investment scope, investment strategy, investment concentration, and risk-return characteristics in the product information. Its relevant financial data must be audited by an independent third party to ensure financial transparency. When financial assets involve major changes (such as acquisitions, bankruptcy, legal proceedings, and governance structure adjustments), they must be disclosed in real time in accordance with regulatory requirements to avoid insider trading or information asymmetry.

Management agency

If financial assets are managed by a management agency, the financial asset management agency must obtain permission from relevant regulatory agencies (such as SEC, FINMA, MAS, FCA, etc.) and comply with local financial regulations. The management agency must not be involved in major legal disputes or violate financial regulatory regulations, has not been subject to administrative penalties in the past year, and strictly abides by anti-money laundering (AML) and customer identification (KYC) requirements. The management team must have many years of experience in the industry and submit past successful product management cases.