Asset Management Association of China, Measures for the Administration of Private Investment Fund Service Business (Trial Implementation)

A firm that applies to engage in the provision of private fund unit registration services, fund valuation and accounting services or information technology system services shall have a good business position, and those that wish to engage in the provision of private fund unit registration services or information technology system services shall have paid-in capital of not less than Rmb50 million (Article 8).

Related legislation: PRC Securities Investment Fund Law (Revised in 2015), Measures for the Administration of the Offering of Private Investment Funds and Tentative Measures for the Regulation of Private Investment Funds

Issued: March 1 2017

Applicability: These Measures shall apply where a private fund manager engages a private fund service firm (a Service Firm) to provide services to the private fund such as fund offering, investment advice, unit registration, valuation and accounting, information technology system, etc. These Measures shall apply to the engagement in private fund service business by Service Firms and the stages at which private fund managers and private fund custodians participate in the private fund service business (Article 2).

These Measures shall apply to the provision of services to private asset management plans of securities and futures business firms by Service Firms (Article 57).

Main contents: A fund manager shall engage a Service Firm that has completed registration with the Asset Management Association of China (AMAC) and become an AMAC member to provide private fund services. The regulations for the engagement in the provision of services such as private fund offering and investment advice by Service Firms engaged by private fund managers shall be specified separately by AMAC (Article 2).

A firm that applies to engage in the provision of private fund unit registration services, fund valuation and accounting services or information technology system services shall have a good business position, and those that wish to engage in the provision of private fund unit registration services or information technology system services shall have paid-in capital of not less than Rmb50 million (Article 8).

Related legislation: PRC Securities Investment Fund Law (Revised in 2015), Measures for the Administration of the Offering of Private Investment Funds and Tentative Measures for the Regulation of Private Investment Funds