© Reuters. Strengthen the reporting of integrity information, set up a 3-month “transition period”, and China Foundation Association issues private placement registration and filing documents
Financial Associated Press, June 2 (Reporter Chen Junling) In order to guide the standardized development of the industry and facilitate the registration and filing of private equity fund managers and application agencies, the Asset Management Association of China today issued “Regarding the Registration and Filing of Private Equity Fund Managers. announcement of”.
Since launching the registration and filing of private equity funds in 2014, China Foundation Association has continued to optimize and improve the registration and filing work, continuously improve transparency and service quality, updated the “Private Fund Manager Registration Application Materials List”, and released the “Private Investment Funds”. Recording Points of Attention.”
It is reported that the private placement registration and filing documents also set up a “transition period arrangement” – in order to ensure a smooth transition, the “Registration Materials List” sets a 3-month transition period. From September 3, 2022, all applicants should follow the new version. Checklist requires submission of application materials.
Refinement of professional investment materials and strengthen the reporting of integrity information In 2020, the China Foundation Association issued the “List of Registration Materials”, which standardized the application materials requirements for private equity fund managers. In order to further improve the transparency of the work, the “List of Registration Materials” has been updated recently to facilitate the application agencies to prepare the relevant materials for registration.
It is reported that the new version of the “List of Registration Materials” integrates fragmented commitment letter materials, reduces repeated submissions, combines the practical experience of registration verification, is problem-oriented, and updates the registration material requirements according to the operating characteristics of different types of private fund managers.
On the one hand, the content of investment professional materials should be refined, and work experience requirements should be clarified. The new version of the “List of Registration Materials” classifies and refines the content of investment capability materials for senior executives responsible for investment, clarifies the work experience that different types of senior executives should have, and strengthens the requirements for senior executives’ stability materials.
On the other hand, strengthen the reporting of integrity information and strengthen risk prevention. From the aspects of major investors, actual controllers, and senior management, the content of the integrity information has been refined, and the verification of past integrity records has been strengthened.
It is worth noting that the new version of the “List of Registration Materials” can seek the opinions of relevant departments, strengthen inquiries and other methods for applying institutions that have problems with integrity, serious negative public opinion, major business risks, and complicated group operations. understand situation.
The applicant agency shall prepare the application materials required for registration in a comprehensive, true, accurate and standardized manner according to the new version of the “List of Registration Materials”.
Clarifying private equity filing standards and improving filing efficiency and transparency In order to standardize the filing application material requirements for private equity investment funds, in 2020, China Foundation Association issued the “Private Investment Fund Filing Application Materials List”. In the past two years, two more issues of “Private Fund Filing Case Publicity” have been issued, clarifying the application of some existing rules in the form of negative cases.
In order to further clarify the filing standards for private equity investment funds and improve the efficiency and transparency of filing, the China Foundation Association recently formulated the “Key Points for Filing” to facilitate private fund managers to understand the filing requirements in advance.
It is reported that the “Key Points of Concern for Filing” is based on the current laws and regulations, self-discipline rules and relevant requirements for the operation of private equity funds, combined with the outstanding problems exposed by major violations of laws and regulations in the industry in recent years, with the starting point of supporting the development of the industry and strengthening risk prevention, refining fundraising, investment The core elements of products in various links such as management, clarification and refinement of private investment fund filing concerns.
From the perspective of style, it is divided into two categories: the key points of private securities investment fund filing and the key points of private equity and venture capital fund filing, and sorted out the differentiated filing requirements according to the characteristics of different types of funds; from the perspective of content, it includes product filing requirements. All kinds of rules, especially those that are only stipulated in principle, clarify the specific implementation requirements for the implementation of the rules, and improve the understanding and applicability of the rules.
Private equity fund managers should fully understand and abide by the relevant laws, regulations and self-discipline rules of private equity funds, establish and manage private equity investment funds in compliance with the “Key Points of Filing”, and the filing information and materials provided during filing should be true, accurate and complete, and the filing is completed. Afterwards, the fund property will be managed in accordance with the principles of due diligence, good faith, and prudence and diligence.
Taking the “Key Points for Private Securities Investment Fund Filing” (June 2022 version) as an example, in the fund name, pay attention to whether the fund name contains “safety”, “insurance”, “risk avoidance”, “guaranteed capital”, “stable win”. ” and other words that may mislead or confuse investors’ judgment, whether it contains expressions such as “high-yield” and “risk-free” that do not match the risk-return characteristics of the fund.
In terms of investment scope, pay attention to whether the investment scope, investment leverage, and investment concentration stipulated in the fund contract, whether the investment scope agreed in the fund contract meets the requirements of the investment scope of private securities investment funds, and whether the initial raised amount and investment scope are related to the product type of the fund , investment strategy and investment direction.
The “Key Points for Filing of Records” will be implemented from the date of publication. In the follow-up, the association will also update the “List of Registration Materials” and “Key Points for Filing” in a timely manner according to the development of the industry, so as to guide private equity fund managers to develop their businesses in compliance.