The following significant transactions were carried out between the Group and its related parties during the years ended December 31, 2019, 2020 and 2021.

(a)	Names and relationships with related parties

The following table sets forth the major related parties which have major transactions with the Group during the years ended December 31, 2019, 2020 and 2021:


Name of related parties		Relationship with the Company
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		Significant influence on the Group and its subsidiaries

43.1	Significant transactions with related parties


	Year ended December 31,
	2019			2020			2021
	RMB’000			RMB’000			RMB’000
Technology platform based income
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		323,176			635,143			1,414,885

Other income
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		700,464			1,234,616			3,538,974

Investment income
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		82,879			261,148			594,446

Finance costs-Interest income
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		186,065			147,638			247,238

Finance costs-Interest expense
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		154,264			67,468			6,151

Sales and marketing expenses, general and administrative expenses, operation and servicing expenses, and technology and analytics expenses
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		2,582,797			3,090,052			3,294,358

Other gains/(losses) - net
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		(48,054	)		(499,543	)		(211,674	)

Technology platform based income

Ping An Group is a product provider of the Group’s wealth management platform. The investment products provided by Ping An Group primarily includes private investment funds, insurance products, bank products, trust plans and bank products. Fees are collected from Ping An Group for facilitation of investment products offered on the Group’s wealth management platform. The Group generally receives a service fee based on a certain percentage of the volume of investment products facilitated and loan made by Ping An Group. Such fee is recognized upon successful facilitation.

Other income

Other income mainly comprises income for the account management services provided by the Group to Ping An Group. The Group generally receives the service fee monthly based on number of accounts managed and performance of the underlying loans managed by the Group for Ping An Group.

Net interest income – Interest expense

The interest expense mainly consists of interest paid for borrowings from Ping An Group. These borrowings were used to providing funding for

on-balance

sheet loans under our retail credit facilitation business. The interest expenses are calculated based on the effective interest rates and the carrying amount of such borrowings.

Investment income

Investment income mainly consists of investment return received by the Group on investment products issued or managed by Ping An Group.

Finance costs

Ping An Group provides deposit service and financing service to the Group.

Finance costs include interests paid to Ping An Group for borrowings used for

non-retail

credit facilitation business, interests paid to Ping An Group for its subscription in the consolidated wealth management products managed by the Group and interest income received from Ping An Group for cash deposited by the Group in Ping An Group. The finance cost is calculated based on the effective interest rates on the outstanding balances.

Sales and marketing expenses, general and administrative expenses, operation and servicing expenses, and technology and analytics expenses

Ping An Group provides a wide spectrum of services to the Group, including but not limited to:

(1) accounting processing and data communication services; (2) transaction settlement and custodian service; (3) office premise rental services; (4) technology support; (5) HR support. The Group, in return, pays service fees to Ping An Group. The precise scope of service, service fee calculation, method of payment and other details of the service arrangement are agreed between the relevant parties separately.

The services fees paid by the Group to Ping An Group are determined on the following basis:

(1)

through bidding procedure according to internal policies and procedures of the Group; and (2) if no tendering and bidding process is required under the Group’s internal policies, through mutual negotiations between the two parties based on historical fees of such services and comparable market rates.

Other gains/(losses) - net

Other gains/(losses) – net mainly consist of foreign exchange losses due to the foreign exchange swaps provided by Ping An Group.

Leases

Part of the

right-of-use

assets and lease liabilities are rental from Ping An Group, which are used as workplace.

Convertible promissory note payable

Ping An Group also held a convertible promissory note issued by the Company, which

disclosed in Note 33.

Capital contribution in subsidiary of the Company

In November, 2019, the Group, together with Ping An Insurance (Group) Company of China, Ltd. established Ping An Consumer Finance Co., Ltd. (“Ping An Consumer Finance”) by contributing RMB3.5 billion and RMB1.5 billion, respectively, as registered capital. The capital contributed by Ping An Insurance (Group) Company of China, Ltd. amounting to RMB1.5 billion was recorded as

non-controlling

interests in the consolidated financial statements.

Purchase of financial assets

The Group purchased certain assets management plans, trust plans, mutual funds, private fund and other equity investments, bank wealth management products and corporate bonds managed and/or issued by Ping An Group. Please refer to Note 4.3 for the Group’s maximum exposure related to these investments.

43.2	Year end balances with related parties


	As of December 31,
	2020		2021
	RMB’000		RMB’000
Cash
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		14,392,047		9,648,043

Financial assets at fair value through profit or loss
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		3,029,174		3,500,726

Account and other receivables and contract assets and other assets
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		2,040,869		3,052,127

Payable to platform investors, accounts and other payables and contract liabilities, payable to investors of consolidated structured entities and other liabilities
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		1,888,065		801,748

Financial assets at amortized cost
Ping An Insurance (Group) Company of China, Ltd. and its subsidiaries		4,159,973		1,279,156

43.3	Key management personnel compensation

Key management includes directors (executive and

non-executive)

and senior officers. The following table sets forth the compensations paid or payable to key management for employee services:


	Year ended December 31,
	2019		2020		2021
	RMB’000		RMB’000		RMB’000
Wages and salaries		19,564		29,192		26,728
Welfare and other benefits		25,752		34,560		29,804
Including: Bonuses		19,490		28,061		24,066
Share-based payment		4,578		68,771		56,317

		49,894		132,523		112,849