Private Securities Investment Fund Law System Research In China

Private securities investment fund is a kind of non-public to specific investorsto raise funds, the investment scope is very small, liquidity is not strong, but theinvestment arrangements are very flexible. Development of the private securitiesinvestment fund, can meet the needs of different types of investors demand to acertain extent, so as to promote the development of fund industry. But in the past tenyears, China’s private equity funds subject to strict control, so that its been betweenfacts and norms. In2012, China’s new revised "securities investment fund law", thefirst clear of private securities investment fund for protection, provides greatopportunities for the development of the private securities investment fund. However,choosing the best private securities investment fund organization form is animportant prerequisite for successful recruitment of private securities investmentfund. In this paper, taking this opportunity, carries on the comparative analysis oftheir respective advantages and problems of private securities investment fund inChina of three types of organizational forms. Based on the private securitiesinvestment fund trust advantage, disadvantage is obvious, not at the present stage ofChina’s implementation; based on the private securities investment fund limitedpartnership advantage, China should be widely promoted; private securitiesinvestment fund governance structure based on the organization of more perfect,stability is strong, set the threshold low, by some investors, but the double taxationproblems cannot be solved in the short run, it can be a beneficial supplement forprivate securities investment fund limited partnership. On the basis of the privatesecurities investment fund in China Limited Partnership type problems and putforward some suggestions to perfect the.The first part of the legislation and the academic point of view of the twodefinition of the private securities investment fund are introduced and evaluation,secondly of private securities investment fund and the public offering of securitiesinvestment funds and private equity funds, and illegal fund-raising were compared, and analyze the relation and difference between the various funds. Again, introducesthe basic content of trust, company and limited partnership of three types of privatesecurities investment fund.The second chapter analyzes the comparative advantage of private securitiesinvestment fund in China of three types of organizational forms. This part firstbriefly analyzes the selection consideration of private securities investment fundorganization form the main investment risk, market access, incentive mechanism, tax,stability and market exit difficulty. Then the trust, corporation and limitedpartnership of three types of private securities investment fund exit in the investmentrisk, market access, incentive mechanism, tax, stability and the market difficult easydegree of their respective advantages in the comparative analysis.The third chapter introduces the legal provisions of China’s private securitiesinvestment fund organization form of the current situation and existing problems.Firstly introduces the current situation of trust, corporation and limited partnershipprivate securities investment fund organization form of legal provisions, thenintroduced the private securities investment fund trust the problem lies mainly in theconflicts of interest transactions subject to define the subject scope, the transaction isunknown; supporting pipe system defects; small fund managers dominant thegeneral meeting of the holders of the fund in the fund in the governance structure,nominal. Private securities investment fund and the problem lies mainly in thesystem of independent director system and the board of supervisors system ofconflict, passive, information disclosure on random and lag. Limited partnershipprivate securities investment fund the problem lies mainly in the right mechanism,constraint mechanism and incentive mechanism is not perfect.China’s private securities investment fund organization form choice fourthchapters and perfect. The author thinks that should not be at this stage of China’simplementation of private securities investment fund trust form of organization, andshould be widely implemented limited partnership private securities investment fundorganization form, company can be a beneficial supplement for private securitiesinvestment fund limited partnership. Of course, for the development of fund industryhealthier, more stable, more conducive to the protection of legitimate rights and interests of investors, taking into account the interests of fund managers and trustees,we would like to improve the existence of private securities investment fund limitedpartnership type problems.