Core Viewpoint - The China Securities Investment Fund Industry Association aims to enhance the transparency of private fund registration and filing, responding to industry concerns and promoting healthy development through periodic updates on registration practices [2] Summary by Sections Overall Situation - The association has identified four typical issues in recent private fund registration, including disguised channel business by managers, the need for managers to maintain operational capabilities, investors lacking funding capacity, and managers violating regulations by acting as limited partners or private funds acting as general partners [2] Policy and Regulations - The association emphasizes that private fund managers must not delegate investment management responsibilities to others, which could lead to disguised multi-manager or channel business [3] - Regulations require that management fees and performance compensation be reasonable and clearly linked to the fund's actual performance [3] Case Analysis - In a case involving a private equity fund, the management responsibilities between the private fund manager and the executing partner were unclear, leading to unreasonable fee structures. The association has mandated adjustments to the roles and fee arrangements to align with regulatory requirements [3][4] - Another case highlighted that a private fund manager, despite being the largest shareholder of the executing partner, did not meet the control relationship requirement as their shareholding was only 20%, below the necessary threshold [5][6] Case Tips - Private fund managers are advised to adhere to principles of honesty and diligence, typically serving as executing partners in partnership funds. In special cases where two general partners are set up, fee structures should match the division of responsibilities [4] - The association will focus on the division of responsibilities and fee structures between general partners to ensure accountability and protect investor interests [6]