Recently, many privately offered fund managers in Shenzhen received a notice on conducting internal reviews issued by the Guangdong Securities Regulatory Bureau, according to the Securities China on Monday.
On the same day, the Ningxia Securities Regulatory Bureau also issued a notice, requiring privately offered fund managers to fill in the Information Form of the Manager and the Information Form of the Fund to conduct internal audit of the company’s fundraising and sales, investment operations, compliance management 1proceadures, risk controls and other areas, and to submit their self-examination reports before February 28.
Ningxia and Guangdong officially initiated the internal reviews among the local privately offered fund managers in 2018.
By the end of 2017, the assets under the management of the private equity industry in China had exceeded 11 trillion yuan.
"The self-examination mandated by their respective local governments this year came earlier than last year, even before the Spring Festival. Therefore, there might be two internal audits this year, one in the first half of the year, and the other one in the second half of the year. We will witness stronger and more detailed regulations on the private equity industry. "said a private equity manager in Shenzhen.
Based on the notice of the Guangdong Securities Regulatory Bureau, the checklists of the self-inspections include 56 subcategories, with 24 more items than last year.
Usually, an on-site inspection is the next step after the self-inspection.
On February 1st, the Asset Management Association of China wrote off Kanghan Investments and another seven privately offered funds suspected of illegal fund-raising.
On the same day, the Ningxia Securities Regulatory Bureau also issued a notice, requiring privately offered fund managers to fill in the Information Form of the Manager and the Information Form of the Fund to conduct internal audit of the company’s fundraising and sales, investment operations, compliance management 1proceadures, risk controls and other areas, and to submit their self-examination reports before February 28.
Ningxia and Guangdong officially initiated the internal reviews among the local privately offered fund managers in 2018.
By the end of 2017, the assets under the management of the private equity industry in China had exceeded 11 trillion yuan.
"The self-examination mandated by their respective local governments this year came earlier than last year, even before the Spring Festival. Therefore, there might be two internal audits this year, one in the first half of the year, and the other one in the second half of the year. We will witness stronger and more detailed regulations on the private equity industry. "said a private equity manager in Shenzhen.
Based on the notice of the Guangdong Securities Regulatory Bureau, the checklists of the self-inspections include 56 subcategories, with 24 more items than last year.
Usually, an on-site inspection is the next step after the self-inspection.
On February 1st, the Asset Management Association of China wrote off Kanghan Investments and another seven privately offered funds suspected of illegal fund-raising.
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