The Dream Factory of China

Shenzhen Securities Regulatory Bureau and Qianhai Authority signed a memorandum on the regulatory cooperation of privately equity yesterday, aiming to pilot the new mode of supervision and administration of privately-raised investment in Qianhai and then promote to the rest of the country.

As one of areas where private equity fund develop rapidly, Shenzhen attracts more and more private-equity agencies and relevant managers. There are 3,267 private-equity agencies in the city that registered at Asset Management Association of China, including 2,252 agencies registered at Qianhai, which accounts for 69 percent of the city’s total.

According to the memorandum, it is essential to establish an information platform for supervising and managing the risk of privately-raised investment, which will help build the data base of the new system. The two parties are going to integrating resources and set up an information-and-data sharing system that provides big-data and information-based support.

The information platform aims to collect and combine all the reports and Internet information from securities regulatory bodies, government and private-equity agencies in order to build a comprehensive index database. The database covers agencies’ basic information, products, financial information, related network and lawsuits. It explores four modules including information submission, cross validation and statistic analysis, rules engine and interaction and communication sections so as to update latest information daily, enabling preresearch and prejudgment for risks.

With the help of several companies such as Shenzhen Qianhai Financial Holdings Co. Ltd., and China Securities Credit Investment (Shenzhen) Co., Ltd, the platform begins to take shape, which builds the foundation of supervising private equity and a related data base.