At the beginning of 2025, 276 private equity funds in China were deregistered.

In 2025, less than a month into the new year, China has already seen 276 private equity funds being cancelled, with 212 of them cancelled just on New Year’s Eve alone. This number is significantly higher compared to the 48 private equity funds that were cancelled during the same period last year.

According to reports on January 31st from Caixin Media, among the 276 private equity funds that have been cancelled, they include private equity, venture capital funds, and private equity securities investment funds. There are 219 private equity funds that have been cancelled by associations, 55 have been cancelled voluntarily, and 2 have been inactive for 12 months.

During the same period last year, there were 48 private equity funds that were cancelled, with 12 being cancelled by associations, 35 being cancelled voluntarily, and 1 being cancelled according to public announcement.

On January 27th, just a day before the Chinese New Year, 212 private equity funds were cancelled, with only 1 being voluntary and the remaining 211 being cancelled by associations. Among the many private equity funds cancelled by associations, there are notable figures such as the controlling shareholders being listed companies or well-known enterprises.

Private equity funds controlled by China Evergrande Group, former chairman of Kangde Xin, as well as listed companies Longyuan Construction, Doushen Education, and Sansheng Medical were all cancelled by associations. Private equity funds established by Yefeng Group, a well-known company in Zhejiang Dongyang, and private equity funds founded by the founder were also cancelled by associations. Xinzhenli, China Xinda, and private equity funds under Everbright Financial Control were all cancelled by associations.

Also, private equity funds invested or controlled by well-known insurance companies, securities firms, and other financial institutions have also been cancelled. Shanghai Ping An Daoyuan, established in March 2011 and registered in March 2014, is a private equity securities investment fund owned wholly by Shenzhen Ping An Yuanxin Investment Development Holdings Co., Ltd. The controlling shareholder of Ping An Daoyuan is China Ping An Insurance Group. It voluntarily cancelled on January 2nd.

Furthermore, on February 1st, Caixin Media reported that apart from the 212 private equity funds that were cancelled before Chinese New Year’s Eve, the China Securities Investment Fund Industry Association (Casey) simultaneously disclosed 32 private equity fund penalty decisions, including 7 private equity firms and a total of 21 high-level executives.

Among them, the billion-dollar private equity firm, Ping An Wealth, was publicly reprimanded and had their private equity fund product filing suspended for six months. Shanghai Fuxi Asset Management had its Casey membership revoked due to remedial actions such as fee reduction and refund, and private equity fund product filing suspended for twelve months. Shanghai Shufu Investment and Shenzhen Youpei were both suspended from private equity fund product filing for six months and three months respectively. Shenzhen Zhongjin Innovation and Beijing Guokai Yinxin had their manager registrations revoked.

In response, internet user “Zhou Chengling” stated: “Private equity funds are all funded by ordinary people, supervision is important. If the money is lost, it will be troublesome if the leaders flee. Being able to refund and cancel is a good thing, but I’m afraid of losing money, the company closing, and the funds disappearing without a trace abroad!”

A Tencent user, vfa1y0k, said, “No wonder the market isn’t going up, they’ve already sold out under the guise of good news.”

User “～Zhuanker～” expressed, “Having had enough to eat and drink, it’s time to leave the scene. When?”

User “Beifeng” expressed concern, “Private equity funds are being cancelled. What will happen to the money invested by investors in private equity funds?”

User “Shane” stated, “Investors in private equity funds are wealthy individuals looking for high returns.”

Private equity generally refers to private equity funds, which are investment funds that raise funds from specific investors in a non-public manner and have specific investment targets. Private equity funds are established to attract funds through means other than public communication, with sponsors gathering funds from non-public multiple entities to establish investment funds for investment purposes. They are mainly divided into private equity securities investment funds, private equity equity investment funds, and asset allocation private equity funds.