In Brazil, private capital funds are regulated by the Securities and Exchange Commission (CVM – Comissão de Valores Mobiliários), an independent agency of the Ministry of Finance responsible for overseeing the participants in the securities markets.

The first regulations which governed the creation and operation of Investment Funds in Emerging Companies (FIEEs) were issued in 1994 with CVM Instruction n. 209.

In July 2003, Private Equity Funds (Fundos de Participação -FIPs) were regulated under CVM Instruction n. 391, which addressed the establishment, operation, and management of these funds, marking a significant regulatory advance.

Since then, the regulations have been periodically updated, keeping pace with the rapid evolution of the Brazilian private capital industry.