China's Private Equity Fund Disclosure

Private fund grows quickly recently and plays a great role in the capital market and economics. But a lot of bad deeds are also with private fund such as the scandal of Madoff, which is the biggest amount in the history of America. Information disclosure is the base of the capital market. Effective information disclosure is one of the most important ways to protect the investors, and also the key question to be dealt for the continuous and healthy development of the private fund in China.The ways of comparison and empirics are used in the essay. It introduces the concept, the basic characteristics, law styles and the development history firstly. After studying the private fund information disclosure of America, England and other countries, the essay analyses the law requirements and cases of the information disclosure of collective investment schemes by trust company, securities company, commercial bank and fund company. Basing those analysis, the essay concludes the main shortcomings of private fund information disclosure in China, such as the information disclosure standards of different private funds are not the same, the private equity fund lacks the basic information disclosure requirements, the regulation of private fund is intending to the public fund, the special information disclosure guideline doesn't exist, and no third party monitors the information disclosure of private fund. Thus the essay points five ways to improve the information disclosure of private fund:to coordinate different regulators more greatly and make the unique information disclosure guideline of the private fund, to issue the information disclosure requirement of the private equity fund, to keep a little away from the public fund and show the characteristics of private fund in the information disclosure, different regulators issue the information disclosure guideline, and to let the custodian bank to monitor the information disclosure of private fund.Different with the former study focusing on one or two private funds, the essay includes all kinds of private funds. Another innovation of the essay is that it studies the private fund through the special corner of the information disclosure. Lastly the essay introduces a lot of examples in the study and contributes the shortcomings of former articles mainly focusing on the theory.