A Study On Governance Evaluation And Governance Effectiveness Of Enterprise Group Finance Companies

Finance companies of enterprise groups(hereinafter referred to as "or finance company")is a non banking financial institution with Chinese characteristics.It is a special financial system arrangement in order to promote the reform and development of large enterprises.It is a very important part of China's financial system.The China Banking Regulatory Commission carries out supervision at the core of corporate governance.The scope,mode of business,profit mode and management style of finance company are different from those of general entity enterprise and other types of financial institution.The corporate governance of finance company shows distinctive particularity.This paper focuses on the governance of finance companies,evaluation and governance effectiveness.Based on theoretical research and literature analysis,it analyzes the characteristics of corporate governance and financial governance evaluation.This paper constructs a governance evaluation system and conducts an empirical study on the effectiveness of governance,and puts forward countermeasures and suggestions to improve financial corporate governance evaluation and improve governance capability.In this paper,the industry model,management characteristics,governance specificity and governance differences of other financial institutions are analyzed.This paper argues that the finance company's reference to commercial banks for governance evaluation and governance supervision can not truly and objectively reflect the financial corporate governance.The financial corporate governance evaluation system has the improvement space to promote the financial corporate governance ability,so it is necessary to carry out the financial corporate governance evaluation system and governance effectiveness research.Based on the evaluation index system of governance at home and abroad,according to the particularity of financial corporate governance,the specific governance indicators of neglected financial companies are considered.This paper constructs a new evaluation index system which meets the particularity of finance company,it can provide theoretical basis for improving governance evaluation and improving supervision efficiency.To measure and evaluate financial corporate governance and to test the influence and influence of corporate governance on the development of financial company,this paper applies the governance evaluation system to assess the financial corporate governance.For the first time,the governance index of corporate governance is obtained according to the specific industry of finance company.The empirical research method is used to study the effectiveness of financial corporate governance,and empirically test the impact of financial corporate governance index on corporate profitability,risk prevention ability and financial services capabilities.The study finds that the financial corporate governance index positively influences the risk prevention and financial service capability,and the corporate governance index has no obvious effect on profitability.The research shows that it is necessary and practical significance to improve the ability of financial corporate governance and improve the evaluation system of governance.This paper is divided into seven parts:The first part is the introduction.It introduces the background,significance,content,methods and framework of the research.The second part is the related theory and literature review,introducing the concept of financial companies,financial evaluation of corporate governance,and regulatory governance evaluation.The second part expounds the object,concept and logical relation of the research in this chapter.The third part studies the evaluation system of financial corporate governance on the basis of the particularity theory.This part analyzes the financial attributes,industry attributes,enterprise attributes and governance characteristics of financial companies.This part carries on the comparative analysis between the financial company and the commercial bank,and elaborates the basic principle and method of constructing the governance index system,and constructs the evaluation index of the financial corporate governance including six major factors and 31 indexes.This chapter describes the characteristics of the index in detail,and introduces new governance evaluation elements that meet the characteristics of the finance company.The fourth part is to study the effectiveness of financial corporate governance on the basis of evaluation system construction,and carries out empirical analysis of the impact of governance index on profitability and risk resistance.On the basis of the construction of governance indicators,the index system of financial corporate governance is calculated with the index system constructed.In order to measure the effectiveness of financial governance,this part of the application of governance index system,selects the structure of the board of directors,board of supervisors structure,information disclosure,the ownership structure of the 4 elements involved in the board of directors meeting,specific indicators of website construction,such as equity in the company governance evaluation index.This part calculates the total index and the classification index of the finance company,describes the indicators of the finance company's industry governance,and constructs a mathematical model to analyze the impact of the governance index on profitability and capital adequacy ratio.The fifth part further studies the effectiveness of financial corporate governance.In this part,the empirical analysis of the influence of finance company's core competence,fund collection ability and financial corporate governance index on fund collection capability is carried out.The function of collecting funds is the foundation and core of the financial function of financial company.The study of the impact of financial corporate governance index on the ability to collect funds is an important basis and basis for testing the effectiveness of financial corporate governance and improving governance evaluation.The sixth part is policy recommendations.On the basis of empirical analysis,policy recommendations are put forward to improve financial corporate governance and governance evaluation.On the basis of calculating the governance index and the empirical conclusions,the empirical research finds that combining practice with the response to the countermeasures,and puts forward some suggestions to improve the evaluation of governance.This part is the final foothold and the part of solving the problem.This part is from the combination of institutional evaluation and mechanism evaluation,and puts forward some countermeasures and suggestions to improve the evaluation of financial corporate governance.The seventh part is a summary and outlook.This part reviews the company system from a macro institutional level and looks forward to the future direction of corporate governance.The main conclusions of this paper are as follows:First,this paper systematically presents the particularity and necessity of financial corporate governance evaluation,and designs and sets up a governance evaluation index system which meets the particularity of finance company.This paper carries out the research on the construction of corporate governance evaluation system,and introduce the evaluation indicators which accord with the characteristics of financial corporate governance,and provides a theoretical reference for more scientific evaluation and supervision of financial governance.For the first time in China,a systematic study is conducted on the evaluation of financial corporate governance.Second,this paper studies the evaluation of financial corporate governance and evaluates the development of financial corporate governance.Based on the index system,this paper uses financial corporate governance data to measure the governance index of financial corporate governance capability.This paper finds that with the rapid growth of the number of financial companies in recent years,the average governance capability index of financial companies shows a downward trend from 2011 to 2016.State owned financial background and corporate governance level are better than those of non state-owned financial companies.This shows that in recent years,the newly established non-state-owned corporate governance capability has greater room for improvement.It is necessary to strengthen the supervision of corporate governance.Third,this paper studies the effectiveness of financial corporate governance.Based on governance evaluation,this paper analyzes the impact of financial corporate governance index on profitability and capital adequacy ratio.Empirical studies have found that the level of corporate governance of financial companies is not significant for corporate profitability.The effect of financial corporate governance is not mainly reflected in improving the profitability of enterprises.This is in contrast to the generally higher level of corporate governance and better performance.The improvement of corporate governance capability can not directly affect profitability.The empirical research results are in line with the actual operation of the financial company.Forth,this study finds that the improvement of financial corporate governance index helps to improve the capital adequacy ratio of financial companies.The financial corporate governance index has a positive impact on the financial concentration of the core financial services.The improvement of financial corporate governance has a significant positive impact on the ability to collect funds,and has a significant positive impact on the capital adequacy ratio.The empirical results show that improving the governance level of financial companies is helpful to enhance the ability of financial services and the ability to resist risks.The empirical test shows that it is important to improve the level of financial corporate governance and improve governance evaluation.The main innovation of this paper:First,in the light of the particularity of finance company,this paper designs a new financial corporate governance evaluation system,reveals the characteristics of financial corporate governance and evaluation,and introduces new indicators to optimize the evaluation factors.In the domestic research,for the first time,the corporate governance of financial companies is systematically studied,and the governance evaluation index system is constructed according to the particularity of financial corporate governance.Second,this paper uses public and research data for the first time to carry out the evaluation of financial corporate governance,and obtains the first financial corporate governance evaluation index and classification index in domestic research.For the first time in our country,this paper makes quantitative description and evaluation of corporate governance and corporate governance.The concentration of corporate funds in state-owned enterprises is higher than that of non-state-owned enterprises,and the effectiveness of financial corporate governance is tested.The paper finds that the state-owned financial background and corporate governance index are better than those of non-state-owned enterprises.Third,this paper finds and confirms the impact of financial corporate governance on profitability,risk resistance and financial service capability.This paper proves that the level of financial corporate governance has a positive impact on the ability of financial companies to resist risks and enhance the ability of financial services.The level of corporate governance of financial companies is not obvious,but it can help to improve the risk management ability and financial collection ability of financial companies,and confirms the effectiveness of financial corporate governance.