China Equity Funds Legal System Construction Of A Number Of Issues For Study

The core of Equity Investment Fund Act is to emphasis the management of investment consciousness and financial activities. This act is also the sector of the Business law, the essential of this act is to administrate and regulate the investment activities and financial activities. The trends and the objective of Equity Investment Fund Act are affected and restricted by actual situation of state economy, it closely related with country's overall economic strategy. In the market of equity investment fund, there are many big differences between various countries in the sectors of investor background, minimum requirement for investor, operation mode for the funds, state rules and regulations for supervision the market, etc. Therefore, to compose, amend and improve the Equity Investment Fund Act, the legislators must comply with the attribute and principles of existing Business law, and tolerate its differences in different economic environment, it needs to based on current political and economic situation, that ensure to keep the balance between the proper government control and principle of market-oriented economy.Since the establishment of market-oriented economy in China, our government gradually pays more attention to economic activities of equity investment; the respect and attentions from central government promotes microeconomics development, state science and technology innovation and industry upgrading, with the result that established a series of encourage and support policies for equity investment activities. The rules and regulations of China equity investment fund market was established in late years, and was effected by incomplete and defects of "Company Law", "Partnerships Law", "Securities Law", "Securities Investment Fund Law," "The Trust Law", "Commercial Bank Law", "Insurance Law", a lot of problem and defects are existing in various aspects, such as: basic requirement for investor, regulatory efficiency of equity investment market, exit channels of equity investment market. For the last more than ten years, our government try the best to push and guide the development of equity investment market, but because of above mentioned existing problems, in fact, our equity investment market was not developed rapidly. On the surface, the establishment of Equity Investment Fund Act is the legislative work in single field, actually it is a systemic and massive job which concerns adjustment of series related above mentioned state laws.To establish and improve the Civil Law and Business Law, we must take into the full consideration of situation of social economy, and we should compose and set the act in proper advance situation based on past experiences. Currently, the world economy is in later period of financial crisis, the problems and defects of existing economy act and policies of western countries have been completely exposed in the crisis, the experiences and lessons from this financial crisis are worth to study and research. At present, the Equity Investment Fund Act is being composed and modified by our legislators in China. Legislators should analysis and research the advantages and defects of related western countries'economy law from this financial crisis. We should keep our advantage about the conception of supervision strategy, legislative procedures, act modification and strengthen government control. In another side, we also need to discover and supervise the problems in government control through administrative management and improving related existing law.