Core Insights - The article discusses the evolution and current state of intellectual property asset-backed securities (ABS) in China, highlighting its significance in financing for small and medium-sized technology enterprises [1][2][10] - It emphasizes the growth of the market, with a cumulative issuance scale exceeding 200 billion yuan by June 2025, and the increasing recognition of intellectual property as a valuable asset [1][10] Market Development - The first intellectual property ABS in China was approved in December 2018, and as of June 5, 2023, at least 12 intellectual property ABS have been issued this year, totaling 1.356 billion yuan [1] - In 2024, the issuance of intellectual property ABS products reached 57, with a total scale of 9.806 billion yuan, marking a year-on-year increase of 25.97% [2] Institutional Concentration - The majority of intellectual property ABS issuers are small loan companies, commercial factoring companies, and financing leasing companies, with a high concentration among the top five issuers, accounting for 74.68% of the total issuance [2][4] - Shenzhen's small loan companies dominate the market, with Shenzhen Zhongxiaodang and Shenzhen Gaoxin Investment holding a combined market share of 58.80% [2][4] Product Characteristics - Intellectual property ABS typically have smaller issuance sizes, around 100 million yuan, and primarily serve smaller enterprises, reflecting a certain degree of inclusive finance [4][8] - The underlying asset types for intellectual property ABS are diversifying, including agricultural IP, new energy vehicle IP, and digital currency IP [5] Financing Channels - The article highlights the exploration of cross-border financing channels for intellectual property ABS, particularly in the Greater Bay Area, allowing companies to leverage their intellectual property for overseas financing [5][6] Operational Standards - The operational model for intellectual property ABS has become more standardized, with established processes for small loan companies to provide funding and guarantee enhancements [7][8] - The Shenzhen model of intellectual property ABS is characterized by state-owned enterprises leading the initiative, government subsidies reducing financing costs, and active market participation [10][12] Market Challenges - Despite the growth, the intellectual property ABS market is still in its early stages, with limited investor recognition and liquidity issues affecting issuance and trading [13][14] - Challenges include the lack of unified standards for intellectual property valuation and the need for improved risk management practices [14][15]

Core Viewpoint - The establishment of the Shanxi Province New Energy Intellectual Property Operation Center aims to address the challenges of transforming innovative results in the new energy sector and to facilitate high-quality development of the new energy industry in Shanxi Province [1][3]. Group 1: Center Establishment and Objectives - The center is jointly built by Taiyuan University of Technology, Taiyuan Zhongbei High-tech Zone, Shanxi Provincial Trading Group, and Zhongzhi (Shanxi) Company, integrating resources from government, industry, academia, and finance to create a comprehensive service system [3]. - The center will form a new energy patent technology alliance, establish a patent sharing pool and cross-licensing mechanism, and conduct patent navigation for 14 industrial clusters including photovoltaics and hydrogen energy [3]. Group 2: Services and Innovations - The center aims to activate "dormant patents" from universities and research institutions, providing one-stop services for evaluation and financing, and innovatively introducing financial tools such as intellectual property securitization (ABS) [3]. - It will closely link with manufacturing pilot platforms to accelerate the industrialization of core technologies such as hydrogen storage and transportation, and perovskite photovoltaics, offering comprehensive support for risk prevention and financial empowerment [3]. Group 3: Launch and Technology Showcase - The "Intellectual Property Becomes Assets" initiative was launched, with the first intellectual property securitization project successfully signed [4]. - A technology roadshow showcased eight cutting-edge technologies from institutions like Meijin Energy, Tsinghua University Shanxi Research Institute, and Taiyuan University of Technology, highlighting the innovative vitality in Shanxi's new energy sector [4].

Core Viewpoint - The rapid development of Intellectual Property Asset-Backed Securities (ABS) is driven by supportive policies, improved market conditions, and the urgent financing needs of enterprises, particularly in the technology sector [2][4]. Group 1: Policy Support - The Chinese government has implemented a series of policies to promote the development of knowledge property ABS, including the China Securities Regulatory Commission's initiative to explore knowledge property asset securitization [2][4]. - Local governments have also introduced tailored measures to support knowledge property ABS, creating a synergistic effect with national policies [2]. Group 2: Market Environment - The enhancement of intellectual property protection and stricter infringement penalties have significantly increased the market value stability of intellectual property, boosting investor confidence [2][3]. - The growing awareness of knowledge property ABS among financial institutions, including banks and securities firms, has stimulated the issuance of related products [3]. Group 3: Enterprise Demand - Technology companies, characterized by "light assets and heavy intellectual property," face challenges in traditional financing due to the lack of fixed asset collateral, which knowledge property ABS can address by converting intangible assets into tradable financial assets [3]. - The successful securitization of intellectual property not only provides funding for R&D projects but also signals the company's technological strength and innovation potential to the market [3][4]. - The process of intellectual property securitization encourages companies to better manage and protect their intellectual property, fostering a virtuous cycle of innovation investment and financing support [3].

Group 1 - The annual reports of listed companies serve as a comprehensive overview of their operational performance, revealing their development genes, strategic layout, and growth potential [1] - In 2024, 15 companies in the A-share market had a research and development intensity (R&D investment as a percentage of revenue) exceeding 100%, with 10 of these companies not yet profitable [1][2] - Companies maintain high R&D intensity despite not being profitable due to the necessity of R&D for achieving breakthroughs and competitive advantages in the market [2] Group 2 - The relationship between R&D investment and successful outcomes is positive, with sustained high R&D investment being essential for technological breakthroughs [2] - The capital market increasingly values R&D capabilities, as highlighted by the China Securities Regulatory Commission's acknowledgment of a clearer "technology narrative" in the A-share market [2][3] - Investors are shifting focus from short-term profits to long-term growth potential, creating a virtuous cycle of R&D investment leading to innovation, market recognition, and capital infusion [3] Group 3 - The evolving capital market ecosystem offers new financing options through intellectual property (IP) securitization, allowing companies to convert future income from patents and technology into immediate funding [3] - An example of successful IP securitization is the "He Tao Shenzhen-Hong Kong Technology Innovation Cooperation Zone" project, which raised 58 million yuan for eight key research enterprises [3][4] - Emphasizing R&D intensity enables companies to unlock market opportunities, attract capital, and transform intangible assets into tangible financial resources [4]

Core Viewpoint - The event in Shenzhen's Futian District focuses on enhancing high-quality intellectual property protection to accelerate the development of new productive forces, with participation from various stakeholders including experts, enterprises, and industry associations [1][3]. Group 1: Intellectual Property Protection Initiatives - The Futian District aims to establish a higher-level intellectual property protection system, aligning with the strategic vision of "CBD + urban innovation zone," leading to significant growth in strategic emerging industries [3]. - In 2024, the added value of strategic emerging industries in Futian District is projected to reach 118.7 billion yuan, with a growth rate of 12.7%, surpassing the city's average growth rate by 2.7 percentage points [3]. - The district has seen the formation of three trillion-level and five hundred-billion-level industrial clusters, with 60 specialized "little giant" enterprises, marking a 7.6-fold increase over three years [3]. Group 2: Knowledge Property Financing and Services - A new model for intellectual property pledge financing has been recognized as a national-level typical case, achieving a cumulative registration amount of 23.17 billion yuan and issuing eight intellectual property securitization products totaling 1.487 billion yuan [3]. - Futian District has established 114 intellectual property service points within its 78 square kilometers, providing quick rights protection services for enterprises and innovators facing issues related to patents, trademarks, copyrights, and unfair competition [4][5]. Group 3: Dispute Resolution Mechanisms - The district has developed a comprehensive dispute resolution framework, including the first national-level rapid rights protection pilot, enhancing the efficiency of intellectual property dispute resolution [4][5]. - The establishment of the first "Judicial and Arbitration Collaborative Protection Center" in the country and the alignment of arbitration rules with international standards highlight the district's commitment to improving dispute resolution mechanisms [5]. - The district's courts and procuratorates have centralized jurisdiction over foreign-related intellectual property cases, providing specialized guidance for local enterprises venturing abroad [5]. Group 4: Future Development Plans - Futian District plans to strengthen its service capabilities to support national strategies and high-level opening-up, aiming to create an integrated, collaborative, and efficient intellectual property dispute resolution service system [10]. - The district seeks to optimize the legal business environment, establishing itself as a trusted destination for domestic and international intellectual property dispute resolution, contributing to Shenzhen's goal of becoming a globally influential industrial and technological innovation center [10].

Core Viewpoint - The establishment of the "Guojin Future 2025-11" knowledge property asset-backed special plan marks the sixth knowledge property ABS launched in 2023, indicating a growing trend in the knowledge property securitization market in China [1][2]. Industry Development - Knowledge property securitization involves institutions issuing securities backed by their intellectual property or related debts, which has gained momentum since 2015 due to supportive policies [2]. - As of April 25, 2023, a total of 128 knowledge property ABS have been issued in China, with a cumulative issuance scale of 21.751 billion yuan, and six new ABS issued this year totaling 734 million yuan [3]. Market Trends - The issuance of knowledge property ABS is becoming more diverse, with an increasing number of participating institutions, now totaling 32 [3]. - The concentration of issuance is notable, with three main institutions dominating the market, particularly Shenzhen High-tech Investment Microfinance Co., which has issued 43 knowledge property ABS totaling 9.183 billion yuan, accounting for 42.22% of the market [4]. Product Characteristics - Due to the lower credit ratings of underlying small and medium-sized tech enterprises, many knowledge property ABS incorporate both internal and external credit enhancements to meet issuance requirements [4]. - The complexity of knowledge property valuation and its weak correlation with cash flows from underlying assets pose challenges for independent credit ratings, necessitating reliance on external credit enhancement [6][7]. Future Outlook - The Chinese government is committed to enhancing the innovation environment, which is expected to drive rapid growth in knowledge property projects and improve valuation standards and legal protections [5]. - Recommendations for overcoming current challenges include improving the intellectual property valuation system, innovating asset models, and optimizing the market environment to enhance liquidity [8].