What are the laws and regulations of equity investment funds?
What are the equity investments in the laws and regulations of equity investment funds (generally long-term)? It means that through investment, the invested enterprise becomes the shareholder of the invested unit, and enjoys rights and assumes responsibilities according to the proportion of shares held. Content: Equity investment usually means holding a company's stock for a long time (at least one year) or investing in a company for a long time, so as to control the invested company, exert significant influence on the invested company, or establish close relationship with the invested company, so as to spread business risks. Equity investment can be divided into the following four categories: (1) Control refers to the right to decide the financial and business policies of an enterprise, so as to gain benefits from its business activities. (2)*** has control, refers to the control of an economic activity according to the contract. (3) Significant influence refers to having the right to participate in the decision-making of enterprise financial and operating policies, but not to decide these policies. (4) No control, no control and no significant influence. What are the business scopes of equity investment funds: 1. What are the business scopes of equity investment funds? 1 is a specialized independent investment fund, such as Carlyle Group and 3i Group. 2. It is the direct investment department of Morgan Stanley Asia, JPMorgan Chase, Goldman Sachs Asia, CITIC Capital and other large diversified financial institutions. 3. It is a newly established private equity investment fund after the promulgation of the Regulations on Sino-foreign Joint Venture Industrial Investment Funds, such as Hony Capital, Shenbin Capital and Admiralty Fund. 4. It is an investment fund of large enterprises, serving the development strategy and investment portfolio of their groups, such as GE Capital5. Others such as Temasek and GIC. Second, the role of equity investment funds Private equity funds play an active role in economic development. For example, today's heavy chemical industry in China has been overloaded. In developed countries, heavy chemical industry accounts for 65% of industrial output value at the peak of development, while in China it reaches 70%. Heavy chemical industry has the nature of self-circulation or self-strengthening, and our financial system is obviously inclined to this industry. Because this industry is dominated by large and medium-sized state-owned enterprises, and the existing financing channels are mainly open to large and medium-sized state-owned enterprises. The modern service industry, high-tech industry, all kinds of consumer goods manufacturing and consumer service industry that are in urgent need of development are mainly small and medium-sized enterprises and private enterprises. However, the existing financial system does not provide them with corresponding financing channels. This is an area where private equity funds can make a big difference. The development of private equity fund is helpful to promote the adjustment of national industrial structure. The real advantage of private equity funds is real marketization. Equity investment is beneficial to the development of enterprises in China. Under the impact of market economy, we have to know that some capital flows play an important role in alleviating the downward pressure on the economy. More importantly, the state has certain legal support for this kind of behavior. If it only protects its own interests, there will be no greater risk.