I. Main Bond Types in China's Bond Market

01 Government Bonds

Government bonds mainly consist of treasury bonds and local government bonds, among which:

Treasury Bonds：

Issuer: Central Government
• Classification: Book-entry Treasury Bonds, Savings Treasury Bonds
• Issuance Venues: Interbank Bond Market, Stock Exchanges, China Central Depository & Clearing Co., Ltd. (CCDC) central custody, etc.

Local Government Bonds：

Issuer: Local Governments
• Classification: General Bonds, Special Bonds

• Issuance Venues: Interbank Bond Market, Stock Exchanges, China Central Depository & Clearing Co., Ltd. (CCDC) central custody, etc.

02 Government-Supported Institutional Bonds

Government-supported institutional bonds are issued by government-supported companies or financial institutions and guaranteed by the government. They are issued through China Central Depository & Clearing Co., Ltd., traded in the interbank bond market, and mainly custodied at China Central Depository & Clearing Co., Ltd.

Main Types：

Railway Bonds：Issuer: China State Railway Group Co., Ltd.
• Central Huijin Bonds：Issuer: Central Huijin Investment Co., Ltd.

03 Financial Bonds

Financial bonds are negotiable securities issued by banks and other financial institutions as fund-raising entities to raise funds from individuals, which, in accordance with legal issuance procedures, promise to pay interest regularly at an agreed rate and repay the principal at maturity.

Classification：

Policy Bank Bonds
• Commercial Bank Bonds
• Non-bank Financial Bonds (including banking financial institutions such as financial leasing companies, securities companies, insurance companies)

04 Corporate Credit Bonds

(I) Corporate Bonds

Definition：Negotiable securities issued in the People's Republic of China by enterprises with legal person status within the territory, promising to repay the principal and interest within a certain period.
• Issuer：Enterprises with legal person status within the territory (including government financing platform companies, industrial companies)
• Regulatory Authority：National Development and Reform Commission (NDRC)

• Regulatory Method：Registration system, authorizing China Government Securities Depository Trust & Clearing Co., Ltd. (CDC) and National Association of Financial Market Institutional Investors (NAFMII) as acceptance and review institutions

(II) Non-financial Corporate Debt Financing Instruments

Issuer：Non-financial enterprises with legal person status
• Issuance Venue：Registered and issued at National Association of Financial Market Institutional Investors (NAFMII)
• Main Types：Commercial Paper (CP), Medium-term Notes (MTN), Private Placement Notes (PPN), Asset-backed Notes (ABN), etc.

(III) Corporate Bonds (Company Bonds)

Definition：Negotiable securities issued by a company in accordance with legal procedures, promising to repay the principal and interest within a certain period
• Classification：Publicly issued corporate bonds, privately issued corporate bonds
• Regulatory Authority：China Securities Regulatory Commission (CSRC), authorizing stock exchanges as acceptance and review institutions

(IV) Asset-Backed Securities (ABS)

Definition：Shares of trust beneficial rights representing a specific purpose trust issued by a trustee institution. The trustee institution is obligated to pay the income of asset-backed securities to investment institutions within the limit of the trust property.
• Cash Flow Source：Cash flows generated by the asset pool supporting the securities (usually financial assets such as loans or credit receivables)

II. Bond Issuance Process

01 Main Participants

Issuer：State-owned enterprises, non-state-owned enterprises, listed companies, unlisted companies, financial institutions, non-financial institutions, etc.
• Lead Underwriter/Co-underwriter：Mainly including securities companies, commercial banks
• Law Firm
• Credit Rating Agency：Conduct credit rating on issuers and bond issues
• Accounting Firm：Issue annual audit reports or special audit reports