Research On Marketization Of China's AMC

Market is regarded as the best way for resources allocation.China has undergone its reform of market economy system since the Third Plenary Session of the 11th Central Committee of the Communist Party of China (CCCPC) in 1978. Since finance is the blood of economy, the market economy could be completed through financial marketization and liberation and the reform of market economy system could be pushed forward.Under such circumstances, financial assets management companies (FAMC or AMC) were established to help China's four commercial banks to cope with their non-performing assets and to transform to more market-oriented banks. Now, with those obligations fulfilled, with their tangible resources disappearing and intangible resources enriched through technological study and accumulation, marketization development has been the best way to development for China's AMC. In spite of the existing experience of market-oriented transformation of Chinese enterprises, a series of problems will undoubtedly arise in the enterprise development. Thus, marketization development of AMC has becomes the theme of this paper.By analizing the experience of enterprise transformation home and abord we can find that China's AMC differ from those in U.S.A, Sweden, South Korea and Japan in their causes, operational modes and property rights modes, meanwhile, no compelete but partial lessons can be drawn from because of such realities as a small market size, lack of competitiveness and innovation, imperfection of management system and so on. This paper aims to study how to adapt to different environments in order to reduce risks and improve the competitiveness by perfecting corporate governance and optimizing business structure on the basis of such partial expience.In terms of corporate governance, the choose of market-oriented corporate governance mode by most Chinese enterprises leads to such control profits problems as an only big shareholder, the peculation of minority shareholders' interests, inadequation of ownership, internal governance, etc. Through comprehensive analysis this paper has built the model of controlling effect for the board of directors so the improving mode of rational board of directors construction is put forward that chairperman duty system can increase the chairman duty and incentive and appraisal to the chairman may improve those problems. Thus, the improved mode of board of directors should be chosen based on the chairman responsibility in our AMC together with incentive management and performance appraisal, which will provide both a good organizational platform and an operational environment for China's AMC. In terms of business structure, this paper proposes an optimal path and a management system for China's AMC in accordance with the low business capacity and lack of competitiveness of China's investment banks from the perspectives of knowledge relevance and assetsl general-utility. The optimal path involves both assets and techniques, meanwhile management system mains the building of knowledge innovation platform.These measures can guarantee the realization of optimal business structure of AMC so as to increase the competitiveness of the developed investment banks.In terms of risk environment of marketization development of China's AMC, the application relations between subjective decision-making risk and contract regulation is studied by imprical analysis firstly. The measures of marketization-oriented organization culture building and organization learning are put forward so as to decrease the subjective decision-making risk in accordance with the effect of organization culture secondly.In addition, the model of effective factors of competitiveness is abtained and the impossible effect of makertization development in china's investment banks is predicted and appraised. With improvement of corporate governance, optimization of business structure and control of subjective risk, the marketization development of China's AMC can increase the competitiveness and thus promote the success of makertization development.