The so-called partnership private equity fund consists of general partners and limited partners. The general partner is a private equity fund manager and a private equity fund jointly established with limited partners with no more than 49 people. Different from the past, partnership private equity funds can only invest in PE investment, and partnership private equity funds can also open stock investment accounts in the secondary market.

Characteristics of partnership private equity fund

The use of partnership private equity funds can effectively avoid double taxation, and through reasonable incentive and restraint measures, the interests of operators and owners can be guaranteed to be consistent under the condition of separation of ownership and management rights, and the division of labor and cooperation between general partners and limited partners can be promoted to give full play to their respective strengths and advantages; In addition, the partnership private equity fund has the characteristics of low threshold, simple establishment procedure, simple and flexible internal governance structure, efficient decision-making procedure and flexible benefit distribution mechanism.

From the legal point of view of limited partnership, partnership private equity funds also have the following characteristics:

1. The property of a partnership private equity fund is independent of the property of each partner. As an independent unincorporated enterprise entity, the partnership private equity fund has independent property; For the debts of the partnership, firstly, the partnership's own property is used to pay off the debts, and the insufficient part is borne according to the different status of each partner; During the existence of a limited partnership, each partner may not require the division of the partnership property. Thereby ensuring the property independence and stability of the limited partnership private equity fund.

2. General partners and limited partners enjoy different rights and bear different responsibilities. In a limited partnership, the general partner carries out the partnership affairs, and the limited partner does not participate in the operation of the partnership; Limited partners shall be liable for the debts of the partnership to the extent of their subscribed capital contributions, and general partners shall be jointly and severally liable for the debts of the partnership. This institutional arrangement can urge the general partner to carry out the partnership affairs carefully; For limited partners, it has the advantage of controllable risks.