The Consummation Of The Regulatory System Of Financial Holding Companies

It is very clear that China's financial industry will ultimately move toward mixed operation because of the global economic integration and financial globalization. Compared with other forms of organization, financial holding company is China's best choice to transit from divided operation to mixed operation. Practically speaking, FHC has begun to take shape in China. However, our supervision by CBRC, CSRC and CIRC on FHC has seriously lagged behind. There are lots of questions to deal with, such as a lack of appropriate laws and regulations, the unsatisfied coordination between financial regulators and the backward of the way to regulate. These problems have affected the effectiveness of China's financial supervision. The umbrella or unified regulatory system, and "Twin Peaks"-style regulatory system abroad have set good examples for us. Especially, their way to regulate the functions of the FHC, and their attention paid to the collection and sharing of regulatory information, the coordination and cooperation between different regulators, and FHC's capital adequacy ratio and the associated transaction provide us a useful inspiration and reference. Meanwhile, we have to attach importance to our own realities to gradually reform and perfect the financial supervision by establishing the umbrella regulatory system that suits our situations.