Core Viewpoint - The Shenzhen Securities Regulatory Bureau has identified significant misconduct among private fund managers in the region, including engaging in unrelated business activities and violating compliance standards, which undermines investor interests and market order [1][3][6]. Group 1: Misconduct in Private Fund Management - Some private fund managers have deviated from their core responsibilities by engaging in unrelated business activities such as selling pseudo-gold exchange products, providing consulting services, and conducting fortune-telling [1][3]. - Specific examples include a private equity firm promoting a real estate company's receivables plan and charging over 1.5 million yuan in consulting fees, as well as another firm offering financing services and receiving fees based on financing amounts [3][4]. - There are instances of private fund managers facilitating the acquisition of fund management qualifications for non-employees and conducting unrelated activities like fortune-telling within their offices [4][5]. Group 2: Profit Transfer and Investor Rights - Certain private fund managers have been found to use managed fund products for profit transfer, harming investor rights, particularly in the bond market [6][7]. - Examples include agreements between fund managers and securities firms to invest in designated bonds for a fee, and charging large advisory fees to funds without proper disclosure [6][7]. - There are also cases of fund managers engaging in "high buy low sell" transactions with their own funds, which constitutes profit transfer [7]. Group 3: Criminal Activities and Regulatory Concerns - Some private fund managers have exploited their qualifications to engage in illegal activities, highlighting the urgent need for regulatory oversight [9][10]. - Notable illegal activities include unauthorized fundraising, lending management qualifications to facilitate illegal fundraising, and using fund accounts for illegal margin trading [9][10]. - The Shenzhen Securities Regulatory Bureau has outlined five major illegal activities, including illegal fundraising and market manipulation [10][12]. Group 4: Regulatory Measures and Future Directions - The Shenzhen Securities Regulatory Bureau has proposed four regulatory requirements to guide private fund managers back to their core business and promote healthy industry development [11][12]. - These requirements emphasize focusing on core business, enhancing compliance and internal controls, preventing illegal activities, and ensuring sustainable operational capabilities [12][13]. - The Bureau plans to strengthen regulatory inspections and hold accountable those engaging in illegal activities, urging private fund managers to improve their operational standards [13].

Core Viewpoint - The Shenzhen Securities Regulatory Bureau has identified significant misconduct among private fund managers, including engaging in unrelated business activities and violating compliance regulations, which undermines investor interests and market order [1][4][6]. Group 1: Misconduct in Private Fund Management - Some private fund managers have deviated from their primary responsibilities by engaging in unrelated business activities such as selling fraudulent gold exchange products and providing consulting services [2][3]. - Specific cases include a private equity firm promoting a real estate company's receivables plan and charging over 1.5 million yuan in consulting fees, as well as another firm offering financing services and charging fees based on financing amounts [2][3]. Group 2: Profit Transfer and Investor Rights - There are notable instances of profit transfer using managed private fund products, which harm investor rights. This includes arrangements where fund managers receive payments for facilitating bond transactions and charging excessive advisory fees without disclosing them to investors [4][5]. - A specific case involved a private equity firm selling bonds to its own executives at a price significantly lower than market value, only to repurchase them at a higher price shortly after [5]. Group 3: Criminal Activities and Regulatory Violations - Certain private fund managers have exploited their qualifications to engage in illegal activities, such as illegal fundraising and market manipulation, highlighting the urgent need for stricter regulation [6][7]. - Activities include unauthorized fundraising through unregistered partnerships, lending management qualifications to facilitate illegal public fundraising, and using private fund accounts for illegal margin trading [6][7]. Group 4: Regulatory Recommendations - The Shenzhen Securities Regulatory Bureau has proposed four regulatory measures to address these issues, including focusing on core business operations, enhancing compliance and internal controls, preventing illegal activities, and ensuring sustainable operational capabilities [8][9][10]. - The bureau emphasizes the importance of private fund managers adhering to investor interests and maintaining a high level of compliance to prevent conflicts of interest and protect investor rights [9][11].