Research On Several Legal Issues Of Internationalization Of Investment Fund In Securities

With financial globalization and security market internationalization, investment fund in securities has been moving towards internationalization since 80 's of 20 century. Active measures should be taken against internationalization, i.e. select proper legal systems to open fund industry and take prudential measures. Thus, it becomes urgent legal issues that what legal systems should be taken to open fund industry, what measures should be taken against chanlleges by fund internationalization, and how China select a proper way to develop and open fund industry.Involving above issues, the dissertation includes four chapters. In the first chapter, after analyzing basic concept of investment fund in securities, the forms and conditions of fund internationlization, and general effect of it were stated. Generally, internationalization was referred as selling and investing of fund, providing management, consultation and custodian service transnationally or in cross-border form. It was found that marketization of fund industy becomes the basis of fund internationaliztion. At the same time, internationalization of fund management constitutes important inner conditions of fund internationalization. The dissertation put emphasis on legal systems of opening of fund industry and countermeasures of fund internationalization. So in the second chapter, the legal systems on cross-border selling, cross-border investing and cross-boder operating by fund operators were studied in detail, including contents, conditions and so on. The third chapter involving regulation of fund industy, challenges resulting from internationalization upon regulation of nations and countermeasures by nations and international organization were reviewed. As the only documentation of international organization binding upon members, Coordination of laws, regulations and administrations relating to undertakings for collective investment in transferable securities would be followed by legislators in other countries, especially its principles and established systems. In contrast, the technical committee of IOSCO drafted and promulgated a series of guidance papers to members for the purpose of removing barriers of cross-border operating of fund industy, which were about improving regulation of fund and fund operators, also about established information exchanging systems. The last chapter came back to Chinese fund industry. Firstly, the history and actuality were stated. And the defects and problems were pointedout. It was exactly the undeveloped Chinese fund that determined opening fund industry progressively, not quickly and all-around. Presently the primary open systems include qualified foreign institute investor (QFII) and sino-foreign joint fund management company. After analysis of these systems, some defects were found that there were contradictions between regulations and decrees on sino-foreign joint fund management company. Lastly, according to above statements and defects, some suggestions on improving the regulation systems on sino-foreign joint fund management company were put forward. Moreover, some purposes on drafting the law of sino-foreign fund were advanced.