Private equity and venture capital firms are not allowed to invest in public-offered funds, the National Development and Reform Commission said.

In February, the China Securities Regulatory Commission released a rule stating that PE and VC firms can apply for fund management businesses, which may be implemented on June 1.

The NDRC also said that a fund between 100 million yuan ($15.92 million) and 500 million yuan should be registered with provincial departments, while a fund larger than 500 million yuan should be registered with provincial departments and then be presented to the NDRC.