Research On Legal System Construction Of Private Offered Funds In China

Private offered funds has been proofed by market as a high efficient and low costmeans for financing. However, the present legislation in China adopts an evasiveattitude to private offered funds. The Securities Investment Funds Law in 2003 alsodeleted the issues about private offered funds and the provisions of the relevantcontents. The dissertation will adopt an analysis method in order to propose forPrivate Offered Funds System of China compared with the reference of the UnitedStates. There are four chapters to discuss related problems.The first chapter is an overview about the private offered funds issue system. Thoughthe instruction about funds, private investment funds and private offered funds, thebeginning part defines the basis concept of private offered funds. Meanwhile, theauthor points out that privates offered funds in China is not given proper legal statusin present legislation system. This attitude can not acknowledge the reality thatprivate offered funds is booming now. The next part of the first chapter compares theprivate offered funds with the non‐public offered funds, illegal funds and securitiesprivate funds. It can tell us the general characteristics of private offered funds. Alsoabout its essence and the illegality in private offered funds. Through this chapter, wecan learn the definition and characteristics of the private offered funds, whichlaunches a basic theory of the background.The second chapter contains the value analysis of the private offered funds. Thispaper proved the rationality of the private offered funds and its legitimacy throughestablished theory of the economic value and legal value. Firstly, the author used theeconomic analysis method to illustrate the rationality of private offered funds in theeconomic field by the savings of material and time cost. Then, the author discus theefficiency value, fairness value and order value of the private offered funds. This kindof funds balances between the efficiency of market financing and the protection ofinvestor. It is also a guarantee for healthy growth and operation of securities market.The last, but not the least function of private offered funds, is an effective means toset up standard market order.The third chapter summarizes the private offered funds system in the Unites States.The Securities Law and the D Rules in the Unites States issues the core regulation ofprivate offered funds, which mainly contains the issuance object, the issuance way,the information disclosure and resale restriction. Also the Rule 144, Provision 4(1?),and Rule 144A makes specific about resale. All these rules and provision forms acomplete system for issuing in private offered funds. As a developed system of private offered funds, the United States' is a mature system. This part will discuss itsoccurrence, development, operation characteristics and innovation in the UnitedStates, to show the particularity of its securities private funds system and reflect thebasic rules and general principle of the private offered funds. The author hopes thesewill be useful our country's construction.The fourth chapter focuses on the construction of issuing system for our country'sprivate offered funds. From the protection of investors' interests, the author startsform the issuing object of private offered funds. The suggestion given by author fullyabsorbs the successful experience from the United States. The propose will discussthe construction idea in China, the issuing object and its definition, the non‐publicissuance, the information disclosure and the resale restriction of private offeredfunds. Totally five aspects. The author hopes a more stringent standard for privateoffered funds for China today.