Type Trust Private Equity Investment Research In China

As a hot word in the area of financial, PE undoubtedly attract many eyes. With thecontact that PE is more and more popular in the whole world, the PE industry in Chinahave a dynamic development, although the progress is short. Under the opportunity whichthe trust company seek for business transformation constantly, Trust PE also developedvigorously, with the scale grew rapidly and a large number of innovation of product.Currently, the economy of the world faces serious challenges, and the financial marketscan be described as full of both crisis and hope. Only improve the competitiveness andanti-risk ability, can Trust PE achieve new breakthrough and development. The purpose ofthis paper is to explore the problems of Trust PE in China and put forwardcountermeasures and suggestions to promote its optimal development, in the ways ofresearching the process, summing the experience, analyzing the status, clearing theadvantage, analyzing the macro-environment which Trust PE faced, and enhancing theunderstanding of all aspects of the operating mechanism.Firstly, the paper briefly introduce the basic theory about PE and Trust PE, compareTrust PE with Corporate Type PE and Limited Partnership PE, discuss the principle ofoperating mechanism preliminary. Secondly, from the horizontal aspect, the paper reviewthe scale、investment and the supervision of Trust PE in China; sum the experience in themarket and supervision level; analyze the present situation、 economic and legalenvironment that Trust PE faced; elaborate the superiority、significance and opportunity;have the analysis and comparison of the typical case. From the vertically aspect, discussthe deal structure、investment management、internal governance、incentives、risk control、business process and so on in the process of the operation, then put forward the problemsof Trust PE in China. Lastly, the paper get the conclusion from the aspects such asimproving the supporting laws and regulations﹑promoting cooperation with variousrelated organizations、strengthening the market cultivation and team building、improvingthe governance structure of Trust PE and strengthening risk management of trust company.