The Study On Fund-Raising Ability Of China Private Equity Funds

Private Equity Fund is an iconic product of the modern investment financial innovation. In the international market, the Private Equity Fund is not only reflected in the developed economies, but also gradually playing a pivotal role in economic market of the developing countries, after half a century. In China, Private Equity Funds is an emerging power of capital with its unique wealth effect, constantly involved in industrial restructuring, promote independent innovation, promote social and economic development. Because of the rapid economic growth at the end of the twentieth century, China has been gradually becoming one of Asia’s the most active and potential private equity investment market.This article try to research the standard conditions of market access, sources of funding framework, the improvement of management level, the steady financial system and the reasonable risk control. And with the analysis method of gray system theory, try to find how to occupy initiative in the market and improve their own fund-raising for private equity funds. At the end of article, the author try to provide appropriate policy recommendations for the Private Equity Fund of China.The research results show that the gray model GM (1,1) in the case of the private equity market information update faster, the expected scale of fund-raising can only be short-term.In the model, although the old information has not yet been eliminated, the impact of the new information has not been timely reflection, will gradually lead to predictable results deviate from the actual trajectory, the model will lose the significance of the predicted forecast will be based only on the original information.Therefore, in the future application of GM (1,1) model to predict the law of private equity funds, fund-raising amount, the research focuses on how to add new information in a timely manner at the same time, to remove the impact of gradually reducing the old information, in order to be able to make the predicted long-term fund-raising variation better.