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What is private equity investment fund and what is its function?
1. Economic function: Specialized management of private equity funds can help investors to better share China's economic growth. The development of private equity funds has broadened investment channels, and may divert liquidity to higher-yielding investment areas after offsetting risks. On the one hand, it can alleviate the pressure of the bubble formation in the real estate sector of the stock market; on the other hand, it can cultivate more and better listed companies for investors to choose from, so that investors can share the high economic growth of China through high-return sustainable investment.

2. Market function: As an important market constraint force, private equity funds can supplement the lack of government supervision. Private equity funds, as major investors, can send financial directors, directors or even major shareholders, and can directly send general managers to enterprises. In this case, private equity funds, as a market supervision force, have played an important role in promoting the improvement of corporate governance structure. Create favorable conditions for enterprises to go public in the future in terms of internal governance structure and internal control mechanism.

Finally, private equity funds can promote the development of multi-level capital markets. Enterprises that can be cultivated for the stock market can promote the development of our domestic GEM and SME board market after the growth of private equity funds.

Ping An Bank sells a variety of funds on a commission basis, and the regulations of each fund are different. You can log in to Ping An Pocket Bank APP- Home-More-Funds and search for the corresponding fund name to understand.

Tips:

1. The above information is for reference only, which is actually subject to the fund company;

2. Investment is risky, so you need to be cautious when entering the market.

Response time: 2021-12-10. Please refer to the latest business changes announced by Ping An Bank in official website.