Notice of RetractionThe analysis of adverse selection risk in the stage of project screening of private equity market

Notice of Retraction

After careful and considered review of the content of this paper by a duly constituted expert committee, this paper has been found to be in violation of IEEE´s Publication Principles.

We hereby retract the content of this paper. Reasonable effort should be made to remove all past references to this paper.

The presenting author of this paper has the option to appeal this decision by contacting TPII@ieee.org.

This article argues that there is adverse selection risk in the private equity market in the stage of project screening. Therefore, the result is that the enterprises with good project and management ability will quit the market. Based on the information economics theory, this paper is going to find the solution to adverse selection problems. The enterprise may use their business plan as a signal to deliver information. The investors may put forward equity arrangement menu, and enterprise choose the suitable one according to their conditions.