On 29 April 2016, HONG Lei, President of Asset Management Association of China (“AMAC”), introduced that the approved rate of 17.6% (624 approvals among 3545 applications of registration or alteration of major matters) has spurred, compared with 10% reported in middle April after the release of the Announcement on Matters concerning Further Regulating Registration of Privately Offered Fund Managers on the regular CSRC news conference.

Furthermore, according to the “Institute of Financial Regulation”, a public account on We-Chat, among those 168 approved registrations of private fund managers by 29 April 2016, Grandall had undertaken 10, marking the top among other legal advisers.

With reference to President HONG Lei, the previous low approval rate in registration of private fund managers and re-registration of fund filing is mainly due to the following reasons: failure in observing the principles of professional management and prevention of conflict of interest as provided by law; excessive simplicity in description of practitioners, capital, accommodations and facilities of applied institutes; the formality of risk management and internal control system. Lawyers from relevant legal institutes share the same opinion: there is no particular secret hidden in successful approvals, but strict obedience to the requirements of AMAC and new regulations, with extra emphasis on the compliance and actual operation of private fund managers.