Study On The Legal Problems Of Establishing The Limited Partnership Fund Of Private Equity

With the diversity development of capital market, Private Equity("PE") is developing in China rapidly. The survey in 2008 shows that China has become the most energetic PE market in Asia. At present, there are three types of PE organization, they are Company fund, Private Trust fund and Limited Partnership fund. As one of the model of PE, the practices and cases of Limited Partnership fund in America has been proved it is the most choice of PE organization. From the aspects of trace and characteristic of Limited Partnership, this thesis analyses the advantages and existed problems of combination the Limited Partnership and PE in order to reveal legal problems and obstacles so that these problems can be resolved.ChapterⅠof this article traces the basic theory of PE, and introduces the whole background knowledge of PE, including history, classifications and characteristics and so on.ChapterⅡof this article analyses the operation model and procedures of Limited Partnership fund by the way of comparing the laws and regulations in the countries which adopt the British Law. And the conclusion is that the Limited Partnership is the best choice of organization of PE.ChapterⅢof this article scans the current legal situation of Limited Partnership in China and demonstrates some practices of Limited Partnership fund in regions of China such as in Tianjin. By this real cases, the existed legal problem are revealed .In the last part of this article, the writer puts up with some specific suggestions to establishing the Limited Partnership PE focusing on the improving of the legal system of Limited Partnership, including but not limited to the establishment of PE fund trade association, diversify the capital market, strengthen supervision from government departments and derivative action.