In our study and work, we often see papers. By writing papers, we can cultivate our scientific research ability. Still at a loss for the paper? The following is my paper on the existing problems and countermeasures of investment banking risk management of commercial banks. Welcome everyone to refer to it, I hope it will help you.
In recent years, the investment banking business of China's commercial banks has gradually formed a certain scale in its development, and the investment business of commercial banks is also expanding and increasing. Risk management of investment banking business of commercial banks has been paid more and more attention. Doing a good job in risk management of investment banking business is of great significance to promoting the development of commercial banks. In this paper, the risk management of investment banking business of commercial banks is deeply discussed, and the risk of investment banking business of commercial banks is analyzed in detail. At the same time, this paper analyzes the problems existing in the risk management of investment banking business of commercial banks, and puts forward corresponding solutions on the basis of finding out the problems.
Keywords: commercial banks; Investment bank; Commercial risk; Management;
Investment banking risks of commercial banks are mainly divided into investment risks, financial risks, policy and legal risks and associated risks. For the risks existing in the investment banking business of commercial banks, corresponding measures must be taken to do a good job in risk management. It can be seen that the importance of risk management for commercial banks and investment banks to carry out business is self-evident.
1. Risk Analysis of Investment Banking of Commercial Banks
1. 1 investment risk
The investment risks of commercial banks and investment banks are mainly reflected in the following three aspects: First, the risk of credit expansion. Commercial banks mainly invest through some securities companies that already have cooperative transactions, that is to say, securities companies are the intermediary carriers for commercial banks to realize investment activities. Commercial banks directly invest their required funds in securities companies, and securities companies then invest the funds of commercial banks in the capital market. This mode of operation is that commercial banks hand over the management right of capital investment to securities companies for management. However, this investment method will gradually expand the credit risk of commercial banks. Second, there is an initial business crisis for securities companies, because securities companies are the main carriers for commercial banks to realize investment. If the financial situation of a securities company goes wrong, it will seriously affect commercial banks. Third, the blind spot of financial supervision will greatly increase the investment risk of commercial banks.
1.2 financial risk
Financial risk is one of the main risks in the investment business of commercial banks, which mainly refers to the increase of the investment risk of the parent bank due to the repeated use of a sum of money by subsidiaries in the business development process. Then, the financial risks of commercial banks are mainly reflected in two aspects: on the one hand, the financial leverage risk mainly refers to the debt capacity of commercial banks to carry out investment business. Generally speaking, the financial leverage of commercial banks is too high within a certain range, which is relatively safe and stable. However, if the financial leverage of commercial banks is beyond the controllable range, it is very easy to cause financial risks of commercial banks. On the other hand, once the risk of capital double counting occurs, it will have an adverse impact on the steady operation of commercial banks and will greatly reduce their ability to resist risks.
1.3 Policy legal risks
In recent years, China's relevant economic policies, laws and regulations are relatively loose, which is a very good opportunity for commercial banks to develop investment business. However, the imperfect laws and regulations of the state on the investment business of commercial banks make commercial banks have no perfect policies and legal guarantees when they carry out investment business, which leads to a great increase in the investment risks of commercial banks in China. Moreover, the investment activities of commercial banks need to be supervised by the CSRC and the CBRC. If the internal departments of commercial banks cannot be coordinated, the policy and legal risks will increase.
2. Analysis of the problems existing in the risk management of investment banks of commercial banks.
2. 1 The risk prevention and control system is not comprehensive.
Risk prevention and control system is an indispensable and important measure for commercial banks to implement risk management, and it is also an inevitable requirement for promoting the steady development of commercial banks' investment business. The existing risk management system of commercial banks has great defects, which can not effectively manage the risks of investment business. It is mainly divided into two aspects: first, the independence of business entities; Second, the main risk-taking problem, which is also the main performance of the incomplete risk prevention and control system of commercial banks. First of all, from the perspective of the independence of business entities, the investment business of commercial banks has set up a separate department, and the overall management right belongs to commercial banks. This model is not conducive to the implementation of bank investment risk prevention and control. Secondly, the main risk-taking problem is mainly reflected in the credit-based risk prevention and control system and weak awareness of risk prevention and control.
2.2 Risk management culture conflict
The cultural conflict of risk management is one of the main problems in investment risk management of commercial banks, among which the cultural conflict of risk management is mainly the conflict between the credit risk management culture of commercial banks and the risk management culture of investment business. Because of their different risk management cultures, their specific risk management measures are also different. In the traditional credit business of commercial banks, risk management mainly tends to avoid risks, that is, to avoid the occurrence of risks as much as possible, while in the process of risk management of investment banks, it mainly focuses on rationally dispersing the risks of investment banks, so as to keep the risks under control. By comparing these two risk management cultures, we can see that the traditional risk management concept of commercial banks is conservative, while the risk management concept of investment banks is advanced, which increases the risk management difficulty of commercial banks and investment banks under the impact of two different risk management cultures.
2.3 the quality of risk management personnel needs to be improved
The management ability of risk managers plays a decisive role in the risk management of commercial banks and investment banks. At present, the risk managers of commercial banks' investment banks generally have the problems of insufficient ability and low quality, which will greatly affect the efficiency and quality of risk management of commercial banks' investment business, and cannot well prevent and avoid the risks existing in investment business, thus reducing the risks of commercial banks' investment business. What commercial banks need is not only management talents who can manage the risks of investment banks, but also the risks of traditional credit business. However, at present, commercial banks lack such comprehensive risk management talents, and many existing risk managers in commercial banks are still inexperienced and lack rich practical experience in risk prevention.
3. Countermeasures to improve the risk management of commercial banks' investment banks
3. 1 Establish and improve the risk prevention and control system
Risk prevention and control system is an inevitable requirement and an important means for commercial banks and investment banks to achieve risk management objectives. Establishing and perfecting the risk prevention and control system can provide reliable institutional guarantee for commercial banks and investment banks to implement risk management. Then, the establishment and improvement of risk prevention and control system can be implemented from the following two aspects: First, we should establish the awareness of risk prevention and control ideologically, form the correct awareness of risk prevention and control of commercial banks' investment business, form the unified awareness of risk prevention and control of specialized risk prevention and control departments, and guide the specific work with scientific and reasonable risk prevention and control concepts. Second, because there are two modes of traditional credit risk management and investment bank risk management, a diversified risk prevention and control system should be established to meet the different needs under different management modes.
3.2 Reshaping the Risk Management Culture
Through the above analysis, we can find that the conflict of risk culture is mainly manifested in the conflict between the credit risk management culture of commercial banks and the risk management culture of investment banks. Therefore, remolding the risk management culture is an important content for commercial banks to implement risk management and an inevitable requirement for the development of commercial banks. Commercial banks have changed from the traditional credit business to the mode of common development with investment business, so the risk management of commercial banks has also changed from the traditional credit risk management to the situation of coexistence with investment bank risk management. Then, in the case of two different risk management cultures, the risk management culture should be gradually diversified and diversified, so that the two risk management cultures can coexist and the essential differences between the two different risk management cultures can be alleviated. In order to promote the formation of diversified risk management culture, risk managers in different departments should increase opportunities for communication and interaction, so as to make each department more familiar with and understand their own risk management business, thus promoting the orderly progress of risk management and helping colleagues in different departments to form a risk management culture of mutual respect and mutual help.
3.3 Improve the quality of risk management personnel
Risk managers should not only have good professional ability, but also have good professional ethics. Therefore, improving the quality of risk managers is the primary task for commercial banks to develop risk management of investment banks. To improve the quality of risk managers, we can mainly implement it from the following aspects: First, commercial banks must constantly improve the internal learning and training mechanism, provide learning and training opportunities for risk managers, and carry out targeted training content for managers in different departments, so that managers can establish a correct awareness of risk management and continuously improve the quality of risk managers. At the same time, we should also support and encourage people from different departments to communicate more, which can increase the tacit understanding between colleagues and make them more comfortable in their work. Secondly, risk managers should also strengthen their learning ability, establish the concept of lifelong learning, and constantly learn more and deeper professional risk management knowledge, so as to apply these knowledge to practical work.
4. Conclusion
In a word, the risk management of investment banking business of commercial banks is a complex and arduous task, and the implementation of risk management is also a crucial measure for commercial banks to develop investment business. In the process of discussing the current situation of risk management in investment banking of commercial banks, it is found that there are still many problems to be solved urgently, such as imperfect risk prevention and control system, cultural conflict of risk management, and the quality of risk managers to be improved. In order to solve these problems and better promote the risk management of commercial banks, measures should be taken to establish and improve the risk prevention and control system, reshape the risk management culture and improve the quality of risk managers.
Step 5 refer to
Yang Zhiming. Explore the business risk management of China's commercial banks and other investment banks in the new period [J]. Research on Modern State-owned Enterprises, 20 19(04).
[2] Tian Tao. Research on Risk Management of Investment Banking in China Commercial Bank [J]. China Management Informatization, 20 15(24).
[3] Lu. Research on Risk Management Based on Investment Banking of Commercial Banks in China [J]. Research on Modern State-owned Enterprises, 20 16( 10).
;