On June 25, Beijing Local Financial Supervision and Administration organized a meeting on share transfer pilot policies, where they issued the Guiding Instructions on Promoting Equity Investment and Venture Capital Share Transfer Pilot (hereinafter referred to as the "Guiding Instructions"). The Guiding Instructions were issued along with relevant departments, and the policies were interpreted on the meeting.

By using all relevant laws, regulations, and documentation as a foundation, and by also targeting the problems and market concerns encountered in the early stages of the pilot, the Guiding Instructions issued numerous relevant policies. Beijing took the lead in establishing a private equity fund share transfer policy system in China with the following policies:

1. Support the trading of state-owned fund shares through the share transfer pilot and adopt a market-based approach to determine the transfer price.

2. Encourage limited partnerships registered in Beijing to handle limited partners' property share custody and pledge registration business through the share transfer pilot.

3. Support the establishment of private equity secondary market funds and give CNY 10-15 million in policy incentives to qualified fund managers.

4. Improve the fund share transfer pilot service support system and encourage districts to provide quality services to fund managers and intermediary service institutions participating in the share transfer pilot.

Beijing will seize major opportunities presented by the construction of the "Two Zones", leverage the strengths of Beijing as a national financial management center, strengthen inter-department coordination, and continuously improve mechanisms and services. It will strengthen financial and service support, encourage the establishment of more secondary funds and share transfer pilot transactions, facilitate the exit of equity investment and venture capital, and promote the smooth circulation of financial and industrial capital, so as to help with the building of an international center for science and technology innovation.

(Note: Content source is from Beijing Local Financial Supervision and Administration)