Although Germany’s new private equity investment laws are welcome, a fragmented legal framework means the country’s lawmakers have missed the opportunity to establish a coherent venture capital market, argues Michael Fischer 
At the end of June 2008, Germany’s legislators finally approved a new private equity law for the country. The Act on Modernisation of the Framework for Private Equity Investors (Gesetz zur Modernisierung der Rahmenbedingungen fur Kapitalbeteiligungen [MoRaKG]) seeks to provide an internationally competitive legal framework in the venture capital field. The MoRaKG, which sits beside the newly enacted Act for the Promotion of Venture Capital Investments (Gesetz zur Foerderung von Wagniskapitalbeteiligungen (WKBG)), has also modified the existing Equity Participations Act (Gesetz uber Unternehmen-sbeteiligungsgesellschaften [UBGG]). Finally, the Limitation of Risks in Financial Investments Act (Risikobegrenzungsgesetz) has also been passed.
