Legal analysis: The new filing instructions are clear. Private investment funds shall not engage in lending (deposit) activities. The following five situations do not belong to the filing scope of private investment funds: First, engage in the credit (deposit) business of financial institutions in disguise, or directly invest in the credit assets of financial institutions; The second is to engage in formal and operational private lending activities, including but not limited to engaging in the above activities through entrusted loans and trust loans; Third, private investment funds engage in lending (deposit) activities in disguise by setting up unconditional rigid repurchase arrangements, and the fund income is not linked to the operating performance or income of the investment target; 4. Invest in factoring assets, financial leasing assets, pawn assets and other assets, equity or their income (usufruct) rights that conflict with private investment funds mentioned in the Answer to Questions about Registration and Filing of Private Equity Funds (VII); Fifth, engage in the above activities indirectly or in disguised form by investing in partnerships, companies and asset management products (including private investment funds, the same below).
Legal basis: People's Republic of China (PRC) Securities Investment Fund Law.
Article 5 The debts of the fund property shall be borne by the fund property itself, and the fund share holders shall be liable for the debts of the fund property to the extent of their capital contribution. However, if the fund contract has other provisions in accordance with this Law, such provisions shall prevail. Fund property is independent of the inherent property of fund managers and fund custodians. Fund managers and fund custodians may not classify fund property as their inherent property. Property and income obtained by fund managers and fund custodians due to the management and use of fund property or other circumstances shall be classified as fund property. If a fund manager or fund custodian is liquidated due to dissolution, cancellation or bankruptcy according to law, the fund property does not belong to its liquidation property.
Article 6 The creditor's rights of the fund property shall not be offset against the debts of the inherent property of the fund manager and fund custodian; Creditor's rights and debts of different fund properties shall not offset each other.