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Can several friends buy private equity funds in partnership? Is there an agreement? Is it illegal to raise funds?
Many people want to buy funds when they have more money. This netizen wants to buy private equity funds, and wants to buy private equity funds in partnership with friends. Is it okay? Is there such a formal agreement? Is this way illegal fund-raising?

You can buy private equity funds in partnership, but there is no formal agreement.

If a person doesn't have enough money, he can buy a private equity fund in partnership, but the fund company will not issue a contract to buy a fund in partnership, so he can only conclude a contract privately, and it is best to sign a paper contract when concluding it, otherwise there may be corresponding legal risks in the future. In addition, it is worth noting that even if it is a group purchase, only one person's name can appear in the contract, and the names of all partners cannot be written, which is not in compliance with the law. Moreover, private equity funds have a special contract, which is a format contract and cannot be modified by one person.

What is illegal fund raising?

First of all, we must determine what is illegal fund-raising, so as to understand whether it is illegal to buy private equity funds in partnership. Illegal fund-raising is a criminal contract, which refers to the behavior that a unit or individual raises funds from the society or individuals by issuing stocks, bonds, investment funds or other creditor's rights certificates without the approval of the relevant departments in accordance with the procedures determined by law, and pays the principal and interest to investors in a corresponding way within a certain period of time. Therefore, this way is a criminal activity, and we can never participate.

Buying private equity funds in partnership is not illegal fund-raising.

You should know that private placement is an investment, so it is not illegal to raise funds, even if it is a partnership purchase. And you buy funds through formal channels, not privately, so you can buy private equity funds in partnership, which is not illegal fund-raising. Wealth management products should be purchased under legal norms without violating the legal bottom line.