Regulating Private Investment Funds

chinese authorities are soliciting public opinion on a provisional regulation that aims to further regulate activities involving private investment funds. the regulation focuses on risk prevention and protection of investor rights during fund raising and investment operations, the Legal Affairs Office of the State council, china’s cabinet, said in August in a note regarding the soliciting of opinions. it is necessary to issue such a regulation given the irregularities arising in the fast-developing industry in recent years, according to the office. The regulation states that fund managers and custodians should join the industry association to submit information on fund operations and that the association should establish a mechanism to handle investors’ complaints. the public can provide feedback on the provisional regulation by visiting the office’s website before september 30, 2017. innovation, according to a report of the Ministry of industry and information technology. total revenues of major it and internet companies reached about $2.6 trillion, 1.55 times that of 2012, the latest official data showed. this represents 11.6 percent annual growth from 2012 to 2016, with the electronics manufacturing and software sectors leading growth by expanding 9.5 percent and 18.1 percent respectively. the industry’s rapid development was boosted by internet-based innovations including virtual reality, smart television and drones. By the end of 2020, the consumption of online information products and services is expected to grow at least 11 percent per year to reach $90.9 million.