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China Shadow Bank’s Collapse Shows Wealth Wipeout Is Deepening
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More than a year after one of China’s biggest trust companies collapsed, hopes for a recovery in the $3.7 trillion industry are quickly fading.
Zhongrong International Trust Co., which managed about $108 billion in 2022 before the government stepped in the following year after steep losses on real estate and other investments, was recently deemed insolvent by state-appointed custodians who submitted a winding-up proposal to regulators, Bloomberg reported this week.