The financial crisis caused by the subprime mortgage crisis has tested the global economy and the development of China's PE.

Industry insiders said at the press conference of the "PE Beijing Forum" held recently that China's PE market still has broad prospects for development. When the international market is not good, it may be the time for my country's PE to develop rapidly. We must seize the opportunity amid financial turmoil. Chance.

Development is in the ascendant. Xiong Yan, vice president and secretary-general of Beijing PE Association and president of Beijing Equity Exchange, pointed out that in recent years, China’s economy has maintained steady growth, and the high growth of the Chinese market has attracted a large number of foreign equity investment funds to invest in China. China has become a global

The country with the fastest growth rate of equity investment funds.

At the same time, with the growth of China's private capital and the continuous improvement of the policy and regulatory environment, RMB equity investment funds have also flourished.

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The third-quarter performance is expected to increase by 80%. Real estate leaders have been in critical condition for the first three quarters. The fourth quarter is the last chance to save themselves. Zhao Linghuan, vice president of the Beijing PE Association and president of Hony Capital, pointed out that global investors have shown great interest in China, and China is changing.

has become more and more attractive, and a lot of funds have entered China in the form of private equity.

The momentum of PE development in China is in the ascendant, but the foundation is still very poor. China has a large demand for private equity investment. More and more entrepreneurs are aware of the importance of PE, especially when the market is not good, the demand for PE is even greater.

Strong; there are also many people in China who are very interested in the PE industry, but have no experience in the entire industry. The development of the PE industry has great potential.

Seizing opportunities in crises Xiong Yan pointed out that since the beginning of this year, the global financial crisis triggered by the U.S. subprime mortgage crisis broke out on Wall Street and quickly spread to Europe and even the world. The global financial industry has suffered an unprecedented blow.

Although China's financial industry has not been directly impacted like the United States, as global economic integration becomes increasingly in-depth, China will inevitably encounter unprecedented tests.

How to successfully survive this financial crisis has become a serious topic that cannot be avoided in front of every PE institution. How to withstand the test and seize the opportunity to develop in the current crisis is a topic that the Chinese PE industry must think deeply about and face.

The indirect impact of the U.S. subprime mortgage crisis on China's venture capital market has already emerged. A previous report released by EZCapital, a specialized venture capital research institution, showed that in September, the Chinese market disclosed that three investment companies had raised and established new RMB funds, involving an amount of 3.9 billion yuan.

Compared with the capital raising situation in August, the number and amount of capital raised in September showed a rapid downward trend, approaching the lowest level in January this year; moreover, no funds with foreign investment background were established this month.

Tian Suning, vice president of Beijing PE Association and chairman of China Broadband Industry Fund, pointed out that in the future, especially when the economy encounters challenges, there will be more and more industry integration, and PE must assume the role of integrating the industry value chain.

Although the international economic situation is very uncertain, China will not be greatly affected in the future. Others' dangers happen to be our opportunities, and we must seize them.

PE should work with enterprises to participate in equity acquisitions overseas and introduce Western core technologies and knowledge systems to further accelerate industrial upgrading.

Zhao Linghuan pointed out that the financial crisis caused by the US subprime mortgage crisis may lead to a recession in the US economy, but because China is still in the early stage of internationalization, the impact will be relatively small. China's conditions are much better than other countries, so we must seize the opportunity.

Take the initiative.

Although it has become more difficult for PE to finance and exit domestically, it may be a good opportunity for investment. “When the economy goes down, corporate pricing may be more reasonable, and opportunities for intervention will appear; and when the market is overheated, due to

The price is higher but it is not easy to enter. "Many PEs may benefit from this market correction and look at the development of the market calmly.

To promote the development of PE, Tian Suning suggested that we should seize the opportunity to promote reform and promote the development of PE. "Promote the development of PE through policies and regulations as soon as possible. Times of external difficulties are a good time for reform." Promote insurance, social security, and enterprise annuities to become qualified

Limited partners.

Xiong Yan pointed out that in order to establish an industry self-regulation mechanism within equity investment funds, strengthen communication between industry insiders and regulatory agencies, improve the quality of practitioners, safeguard the legitimate rights and interests of industry practitioners, strengthen exchanges and cooperation between domestic and foreign PE practitioners, and further promote China’s equity

With the development of the investment industry, in June 2008, the Beijing Equity Investment Fund Association was officially established.

In response to the double taxation issue that is a common concern in the industry, Beijing will introduce policies to avoid double taxation on PE and encourage and support the development of PE.

Ren Xuedan, director of the Beijing Municipal Finance Office, said that the Beijing Municipal Development and Reform Commission and the Finance Office, together with relevant departments, are actively studying policies to promote the development of equity investment funds. The policy has been prepared to be submitted to the municipal government and there should be no major changes.