The Reasearch Of Risks Early Warning And Risks Management Of Trust Investment Company

With the changing of our financial circumstance, the risks of trust investment companies facing are more and more complicated. How to well manage and control the complicated risks is critical problem that the domestic trust investment companies encounter during the period of further developing. This paper, trying to establish a risks early warning system in trust investment companies, offers means of risk management in order to help decision-making managers to improve ability of risks control.This paper, using for reference of international vulgate class of risks, meanwhile considering domestic practical situation, presents risks early warning index system; This paper, adopting the methods of quantitative analysis, presents the model of risks early warning system; This paper measures the market risks of trust investment companies with widely used VaR method. At the same time, this paper establishes the base of risks earlywarning model by combining such method and other risk measurement into risk measurement model.The innovations in this paper are:1.Because of the specific character of domestic trust investment companies, this paper digest the risks the trust investment companies facing and design the risk warning index system for trust investment company management.2.This paper first puts the VaR method into risk warning index system and makes a lot of demonstration of this system.