Research On Interaction Relationships Between Private Equity Funds And High Technology Industry

With the development of knowledge economy, the high technology industry that represents for the most advanced productivity level in modern era has become pillar of knowledge economy, which has played increasingly prominent roles in the process of economic globalization and has become main driving forces of promoting world economic development. The development of private equity funds which are important components of capital markets promotes conversion of scientific and technological achievements, boosts the development of high technology industry, broadens the financing channels of high technology enterprises. Private equity funds which are new investment ways can combine with high technology industry naturally, which can promote high technology industrialization, at the same time, it can achieve virtuous cycle of capitals. The roles of interaction development between private equity funds and high technology industry in boosting economy are more and more obvious, theory fields and business community have gradually paid more attention to interactions relationships.First of all, the paper introduces the relevant theories of private equity funds and high technology industry, analyzes present states of private equity funds and high technology industry in current stages in China, explores the existing problems and shortcomings of interactions between private equity funds and high technology industry, and analyzes the root causes of the problems and shortcomings. Secondly, analyze the interaction relationships between private equity funds and high technology industry from the qualitative point of view, use Grey connection analysis methods to demonstrate that capital investments are the most important factors in affecting high technology industry, and carry out empirical analysis of interaction relationships between private equity funds and high technology industry through co-integration test and Granger causality test, empirical results indicate that the roles of private equity funds in promoting high technology industry are more obvious. Finally the paper proposes some measures to promote interactions developments between private equity funds and high technology industry based on interaction relationships theories and empirical analysis.