40%, The GEM Companies Will Be "Regulated" &Nbsp, And Postponed Listing For 2 Years.

Jiang Ronghua, executive director of China Merchants Securities, held in Hongkong in June 7th, "the Ninth China Private Investment Summit" pointed out that due to the financial and legal aspects of listing regulation, many Chinese GEM companies postponed listing for 2-3 years, and the proportion of affected companies was probably "4 in 10 companies".

Jiang Ronghua also said that compared with foreign markets, China's growth enterprise market has limited restrictions on employee stock ownership and audited and used funds are too strict.

However, he thinks that the long time of examination and approval comes from the huge workload of selecting the best in the listing, rather than the efficiency problem.

According to relevant statistics, in the third quarter of 2009, the amount of RMB invested in the private equity industry exceeded the US dollar for the first time, while the annual RMB fund amounted to US $12 billion 295 million, which accounted for the dominant position in the market.

At the same time, the government has issued corresponding support policies, affirming the role of private investment in promoting SMEs and technology research.

Therefore, in this forum, international investors who have established RMB funds continue to focus on the operation of the domestic market of RMB funds, and the impact of the relationship between general partners (GP) and limited partners (LP) on the development of private equity funds.

Although the "PE fever" is still going on, there will be a more rapid development in the next 3 to 5 years. However, the participants agreed that the development of RMB funds is still in its infancy, and that in the short term, it will take some risks.

But Zhang Mingming, partner of British 3I Cmc Markets Asia Pacific Pty Ltd, believes that health care is still the most promising industry in the future.

Li Yi, general manager of Ccb International Asset Management Ltd, talked about the impact of private investment focus on the domestic market, and said that more and more LP in China is not only limited to the return on investment, but rather eager to learn how to invest in a gesture of exchange.

He thinks this is beneficial to the investment of private equity funds in the mainland.

Because private equity funds take the price of the two tier market as a reference, valuation declines will provide better investment opportunities for private equity funds.

In addition, Huang Qiyuan, chairman of the Taiwan Association of mergers and acquisitions and private equity, believes that the signing of ECFA on both sides of the Strait will allow cross-strait capital to enter the other market more safely.

The Taiwan market has great attraction for high-tech and well run SMEs.