CITIC Limited Half-Year Report 2020

124 CITIC Limited Half-Year Report 2020 For the six months ended 30 June 2020 Notes to the Consolidated Financial Statements 31 Structured entities (continued) (c) Structured entities sponsored by the Group which the Group does not consolidate but holds an interest The investments issued by unconsolidated structured entities sponsored by the Group are primarily wealth management products and trust plans without principal and/or return guarantee. The nature and purpose of these structured entities are for the Group to generate fees frommanaging assets on behalf of investors. These structured entities are financed through the issuance of products to investors. Interest held by the Group includes fees charged by providing management services and investment made by the Group. Wealth management products and trust plans As at 30 June 2020, the aggregate amount of assets held by the unconsolidated non-principal-guaranteed wealth management products and trust plans which are sponsored by the Group was HK$3,007,171 million (31 December 2019: HK$3,095,615 million). As at 30 June 2020, the amount of placements from the Group with non-principal-guaranteed wealth management products sponsored by the Group was HK$55,065 million (31 December 2019: HK$59,724 million); the amount of placements from banks and non-bank financial institutions was HK$12,885 million (31 December 2019: HK$39,253 million). During the six months ended 30 June 2020, the maximum exposure of the placements from the Group with non-principal guaranteed wealth management products sponsored by the Group was HK$69,270 million (six months ended 30 June 2019: HK$78,461 million). There was no exposure of placements from banks and non-bank financial institutions (six months ended 30 June 2019 the maximum exposure: HK$10,673 million). The transactions were conducted in the ordinary course of business under normal terms and conditions and at market rates. During the six months ended 30 June 2020, the amount of fee and commission income recognised from the above mentioned structured entities sponsored by the Group was HK$5,204 million (six months ended 30 June 2019: HK$4,224 million); interest income of HK$562 million (six months ended 30 June 2019: HK$709 million). The amount of interest expenses was HK$342 million (six months ended 30 June 2019: HK$462 million).