Shanghai’s Official Launch of QFLP Pilot Program

In January 2011, Shanghai launched the Pilot Program of Foreign-Invested Equity Investment Enterprises (the QFLP Program), an important step in the Chinese government's effort to gradually loosen restrictions on offshore funds investing in China. While the QFLP Program does not yet offer funds with significant foreign investment equal treatment as solely domestically-focused vehicles, it does provide them with greater freedoms, which are addressed in this update.