Chinese regulators urged trust companies to put more emphasis on their wealth and asset management businesses, as the world's second-largest economy continues to expand and residents get richer.

"The trust industry has been growing very rapidly in recent years, but wealth management services should be further strengthened as individual incomes rise constantly," said Min Luhao, deputy director of the Non-banking Department at the China Banking Regulatory Commission on Monday.

He made the remarks in Beijing at a trust industry forum.

The assets of trust companies rose to 6.58 trillion yuan ($1.04 trillion) by the end of October, compared to 380 billion yuan in 2006, according to Min.

"As the scale of the trust industry has grown, now it's the time for trust companies to transfer their focus from traditional businesses to more specialized management of clients' wealth and assets, which calls for higher innovation capabilities," said Wang Lijuan, deputy director of the China Trustee Association.

Wang Daoyuan, vice-president of Citic Trust Co Ltd, said that the company has started to rethink its strategy, and would like to pay more attention to wealth management services.

The assets of the industry leader in China have expanded about 20 percent annually in the past four years to 530 billion yuan by the end of October. It launched its first wealth management brand on Monday.

The off-balance-sheet risk of China's commercial lenders has been surging since last year, prompting regulators to increase restrictions on trust products.

The CBRC has already suspended sales of trust products that invest in commercial paper to avoid distortions in China's credit controls, media reports said at the beginning of the year.

The CBRC also regulates domestic trust companies that usually work with banks to invest deposits in infrastructure projects and financial instruments.

"It is very important for trust companies to maintain calm during high-speed development, and stay away from businesses that might accumulate very high risks," said Hai Wen, economist and vice-president of Peking University.