The establishment of private equity funds requires the establishment of private equity fund managers and the completion of the registration of the selected private equity fund managers. Here's how to set up a private equity fund collected by Bian Xiao. Welcome to read and share. I hope you will like it.
How to set up private equity fund
First, define the fund positioning and investment strategy.
Before setting up a private equity fund, it is first necessary to clarify the positioning and investment strategy of the fund. The positioning of the fund includes the investment objectives, investment fields and investor groups. Investment strategy is a specific way and method to achieve investment objectives, including asset allocation, industry selection, investment target selection and so on.
When making fund positioning and investment strategy, it is necessary to conduct in-depth research on the market to understand the industry development trend, investor demand and risk preference. At the same time, according to their own actual situation and experience, to develop a suitable fund positioning and investment strategy.
Second, form a team.
The establishment of private equity fund needs an efficient and professional team. This team should include core personnel, such as fund managers, investment managers, researchers and risk control experts.
The fund manager is responsible for the operation and management of the whole fund and needs to have rich investment experience and leadership ability; Investment managers are responsible for specific investment decisions and need to have keen market insight and risk control ability; Researchers are responsible for market research and investment target research, and need to have professional industry knowledge and analytical ability; The risk control specialist is responsible for risk control and compliance management, and needs to have rigorous risk management capabilities.
Third, look for partners.
The establishment of private equity funds needs to find suitable partners, including law firms, accounting firms, banks, brokers and so on. These partners can provide legal, financial and financial support and help ensure the establishment of the fund.
When choosing a partner, we need to consider its professional ability, reputation and cost, and choose the right partner.
Fourth, prepare materials and documents.
The establishment of private equity funds needs to prepare a series of materials and documents, including fund contracts, prospectus, risk disclosure, investor suitability evaluation, etc. These materials and documents are the basis for the establishment of the fund and need to be carefully prepared and audited.
When preparing materials and documents, it is necessary to comply with relevant laws, regulations and regulatory requirements to ensure the legality and compliance of materials. At the same time, adequate investor education and risk disclosure are needed to ensure that investors understand investment risks and make appropriate investment decisions.
Verb (abbreviation of verb) applies for filing and registration
After completing the above steps, you need to apply to the relevant regulatory authorities for registration. This step is a key link in the establishment of the fund, and the corresponding application materials need to be submitted and strictly examined.
When applying for registration, it should comply with relevant laws, regulations and regulatory requirements to ensure that the application materials are legal and compliant. At the same time, it is necessary to cooperate with the audit and inspection work of the regulatory authorities to ensure the legitimacy and compliance of the fund.
Intransitive verb promotion and marketing
After the fund is established, it needs to be promoted and marketed to attract investors to participate. Promotion marketing methods can include roadshows, promotion meetings, advertisements and so on.
In the promotion of marketing, it is necessary to formulate appropriate marketing strategies and promotion methods for target investors. At the same time, we must strictly abide by relevant laws, regulations and regulatory requirements to ensure the legitimacy and compliance of marketing promotion.
Organizational forms of private equity funds
1, corporate style
The corporate private equity fund has a complete corporate structure and its operation is more formal and standardized. At present, it is convenient to set up private equity funds (such as "certain investment company") in China. Semi-open private equity funds can also operate conveniently in a flexible way, and their investment strategies can be more flexible without strict approval and supervision. For example:
(1) Establish an "investment company", and its business scope includes securities investment;
(2) The number of shareholders of the "investment company" should be small, and the investment amount should be relatively large, which not only ensures the nature of private placement, but also has a large scale of funds;
(3) The funds of the "investment company" are managed by the fund manager. According to international practice, managers charge fund management fees and interest incentive fees to enter the operating costs of "investment companies";
(4) The registered capital of the "investment company" is re-registered once a year at a specific time, and nominal capital increase and share expansion or capital reduction and share reduction are carried out. If necessary, investors can redeem their capital contribution at a specific time every year, and at other times, investors can transfer their shares by agreement or trade in the OTC market. "Investment company" is essentially a private equity fund of enterprises, which can be raised at any time, but only redeemed once a year.
However, corporate private equity funds have a disadvantage, that is, there is repeated taxation. Methods to overcome the shortcomings are:
(1) registered private equity funds in tax havens such as Cayman and Bermuda;
(2) Register the enterprise private equity fund as a high-tech enterprise (which can enjoy many preferential treatments) and register it in a place with relatively favorable tax;
(3) Backdoor, that is, in the establishment and operation of the fund, joint or acquisition of an enterprise (preferably a non-listed company) that can enjoy tax incentives, and take this as a carrier.
2. Contract type
The organizational structure of contractual funds is relatively simple. The specific approach can be:
(1) As the fund manager, the securities company chooses a bank as the custodian;
(2) raise a certain amount to start operation, open it once a month, announce the net value of the fund to the fund holders, and handle a fund redemption;
(3) In order to attract fund investors, the handling fee should be reduced as much as possible. As a fund manager, securities companies charge a certain management fee according to their performance. Its advantage is that it can avoid double taxation, but its disadvantage is that it is difficult to avoid the approval and supervision of the securities management department in the process of establishment and operation.
3. Virtual style
On the surface, virtual private equity funds seem to be entrusted with financial management, but in fact they operate in the form of funds. For example, when a virtual private equity fund is set up and raised, on the surface, a trust financing agreement is signed with each customer, but these trust financing accounts are combined to operate as a fund, and when purchasing and redeeming fund shares, they are settled according to the net value of the fund. The specific approach can be:
(1) Each fund holder opens a sub-account in his own name;
(2) The fund holders * * * jointly contribute to form the main account;
(3) As the manager of the fund, the securities company manages all accounts in a unified way, and all accounts calculate the net value of fund shares in a unified way;
(4) The securities company tries to make the actual market value of each account equal to the market value calculated according to the net value of fund shares. If they are not equal, the balance will be transferred by the fund difference between the main account and the sub-account at the time of redemption.
The advantage of virtual mode is that it can avoid the approval and supervision of the securities management department on the establishment and operation of funds, and it is flexible to set up and avoid repeated taxation. The disadvantage is that it has not got rid of the shackles of entrusted financial management, fund raising needs to be further standardized, fund operation is still supervised by the securities management department, and there is a lack of development advantages in fund scale expansion.
4. Combined type
In order to give full play to the advantages of the above three organizational forms, a fund portfolio can be set up to combine several organizational forms. There are four types of mutual funds:
(1) the combination of company and virtual;
(2) the combination of company and contract;
(3) the combination of contract and virtuality;
(4) Combination of corporatization, contract and virtualization.
Who can buy private equity funds?
Private equity funds are investment tools for high-net-worth individuals, so wealthy high-net-worth individuals are often the main buyers of private equity funds.
High net worth individuals are more likely to buy private equity funds for the following reasons.
First of all, high-net-worth people have certain advantages in wealth accumulation. They have high investment ability and rich sources of funds.
This enables them to invest in private equity funds, which also means that they have relatively high risk tolerance.
Secondly, compared with traditional investment channels, the risk-return ratio of private equity funds is higher.
For high-net-worth people who pursue high returns, private equity funds provide more investment opportunities and richer return potential, thus attracting their attention and purchase.
Finally, private equity funds have certain advantages in investment strategy and flexibility.
High-net-worth people usually have strong personalized needs in financial planning, and they hope to achieve personalized investment objectives and risk control through private equity funds.
Therefore, the flexible investment strategy and product characteristics of private equity funds can meet their personalized investment needs.
What is a private equity fund?
Legal analysis: The definition of private equity fund refers to the investment fund set up in People's Republic of China (PRC) by raising funds from investors in a non-public way. The investment of private equity fund property includes buying and selling stocks, equity, bonds, futures, options, fund shares and other investment targets agreed in investment contracts.
Private equity fund is a fund financing product that collects funds from qualified investors in a non-public way, and takes qualified assets such as equity, stocks, bonds and futures options as investment targets.
Private placement fund refers to a securities investment fund that raises funds from specific investors in a non-public way and invests in specific objects.
Private equity funds are the makers of the stock market, washing dishes, ship pulled, smashing dishes, and earning a lot of money. Once you follow or participate, you are on the highway to make money.