Svmuu: The China Securities Regulatory Commission (CSRC) spokesperson answered questions regarding the "Guidelines of the General Office of the State Council on Strengthening Regulation, Preventing Risks, and Promoting the High-Quality Development of Private Investment Funds." Risks will be handled in a stable manner. Fund managers that fail to meet requirements will be resolutely phased out.
Multiple measures will be taken to prevent other institutions from engaging in illegal or irregular business activities under the guise of private funds. Information sharing and situation reporting will be strengthened, risk assessment will be enhanced, and the division of responsibilities between central and local authorities for resolving and disposing of private fund risks will be detailed to strengthen collaboration and create synergy. Standardized development will be promoted.
Private fund managers will be urged to improve their internal control and risk management systems to promote standardized operations. Industry self-regulation will be strengthened. The market-based oversight and constraining role of intermediary service institutions will be actively leveraged. A favorable environment will be created for private equity funds and venture capital funds to implement national strategies, and private securities funds will be guided to establish long-term investment and value investment philosophies. (Jin Shi)