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China sets wide-ranging rules for $2.9 trillion in private investment funds

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BEIJING, July 9 (Reuters) – China published regulations on Sunday for the country's $2.9 trillion private investment fund sector, seeking to better protect investors and promote innovation. The new rules, signed by Premier Li Qiang and effective on Sept. 1, create a chapter specifically for venture capital funds, as policymakers encourage investment into innovative technology start-ups, said a statement from China's securities regulator and the justice ministry. The statement addressed media questions on the new rules. The wide-ranging rules apply to private investment funds with different organisational forms such as contract, company and partnership. Private investment funds in China can…

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