The Impact of Policies Regulating the Development of Private Equity on the Growth of Investment Firms

Abstract

In the current economic environment, there are many kinds of private investment. The importance of how to ensure that investment companies operate rationally and invest successfully, regulate investment behavior and private equity fund managers of investment companies is becoming more and more apparent. Stable and reasonable regulatory policies are conducive to the promotion of improved profitability of investment companies and the long-term stable development of the capital market, among which the promulgation of the Regulations on Supervision and Administration of Private Investment Funds (the "Regulations") has had a profound impact on the growth of investment companies. This paper focuses on the positive and negative impacts of the Regulations on the growth of companies, and selects representative companies in the capital market services for comparative analysis. The results of the study show that the promulgation of the Regulations further regulates the development of the private equity fund industry, making investors more cautious in their decision-making, and thus promotes the development of the growth of private equity fund investment companies.