Research On The Legal System Of Private Equity Fund

Private equity fund, as an important investment form of the global financial market, has already achieved a rapid development in China and has become the main force of capital market and industrial investment. However, it should also be noticed that the private equity in China is still in its starting stage, there are a lot of problems existing in the legal practice of private equity funds because of its high risk and information asymmetry features and the imperfect legislations of China. How to think in a rational way under the current circumstance? How to understand the legal concept and nature of the private equity funds? Which organization form should be chosen? How to protect the profits of the investors, to improve the supervision system and to evade the risks of investment? All these issues should be resolved rapidly.The topic of this dissertation is Research on the Legal System of Private Equity Fund and all the issues mentioned above are the objects of study. In order to analyze the legal issues about the private equity funds in China and to establish a perfect legal environment, in this dissertation, the comparative law method and the empirical analysis are adopt, both the financial market of private equity fund and the current legislations of China are taken into consideration and the foreign legislative experiences are investigated and learned. The main body of this dissertation consists of six chapters. Correspondingly, the issues of private equity fund are investigated and discussed from six different aspects.The first chapter, the overview of private equity fund. This chapter introduces the concept of private equity fund, analyzes its legal character, feature and classification. By applying the comparative law method, the development history and the legislation progress of private equity fund in USA, UK, Japan and China are presented. In addition, after summarizing the development experience of foreign market, the author analyzes and evaluates our current legal environment.The second chapter analyzes the private equity fund from the perspective of property right. First of all, by applying the theory of property right, the author concludes the features of the private equity fund and discovers the relationship between the private equity fund and the real right. Then, the value and negotiability of private equity fund are discussed from the angle of jurisprudence.The third chapter, the comparative research on the methods of financing of the private equity fund. This chapter aims to compare the publicly offered fund and the private equity fund and finds out the benefits and drawbacks of the private equity fund. Furthermore, through combing the related legal stipulations, the legislation progress of private equity fund in China is revealed step by step. Finally, the author analyzes the broadening of our private equity fund raising channels and its legal obstacles.The fourth chapter, the organization forms of the private equity fund. The private equity fund has three fundamental organization forms:company, trust and limited partnerships. This chapter describes their developments, operation models, governance structures and characteristics. Then, factors we should take into consideration when choosing of our organization form of private equity fund are summarized and the development direction fits to China is proposed by the author. Besides, the legal obstacles as well as improve suggestions of those three different forms are also well delivered in this chapter.The fifth chapter, from the comparative law aspect, introduces the legal rights of the fund investors and the protection of these rights. Through listing the different concepts and qualifications of "qualified investor" stipulated by various legislations and analyzing the corresponding stipulation of the new Law On Securities Investment Fund, the author tries to perfect the definition of "qualified investor". Then, the author demonstrates the legal rights of the fund investors in the contract, reveals the barriers of implementing these rights in China and provides some advices. Lastly, the unification of the taxation legal regime and legal principles of commercial law has been discussed, the existing problems of present legal policy have been detected, and the author offers some advices about perfecting the taxation system of the private equity fund are proposed.The sixth chapter, the comparative research on the supervision of private equity fund and the perfection of our legal supervision mechanism of private equity fund. After comparative study of the foreign inspection system of the private equity fund, the author analyzes our current legal supervision mechanism under present circumstances and reveals its defects. In order to establish and to perfect our supervision mechanism of private equity fund, the author also investigates the effects of the new Law On Securities Investment Fund and some proposals are delivered by the author from the following aspects:establishing friendly inspection module, defining the supervision principles, improving the administrative regulations, determining the qualified supervisors and perfecting the supervision contents...