Study On Credit Risk Management Of Commercial Banks In America

Since the emergence credit risk, it has made greatly influence on every aspect during the economy throughout. Bank becomes the center of the credit activities and the role play on the credit risk management more prominent, because it face the threat of credit risk more direct, profound and complete. After 1920's, several financial crises made greatly shock on the global economy. The governments, institutions and even common people began to focus on risk management. So the pressure of credit risk management was increased more than before. During 2007 to 2008 subprime mortgage caused by America had developed to the global financial crisis. Not only the collapse of the world's leading investment banks Bear Stearns, Lehman Brothers bankruptcy, Merrill Lynch purchased, but also many financial institutions fell into crisis. It also led to global wealth devaluation. The world economy had been in a long recession and malaise state. Financial risk was brought to the peak of the wave. The most important reason was the excessive expansion of credit and it was credit crisis. The significance and study on credit risk management play a more and more important role. With the complex financial environment change, the increase in types of banking business and the development of credit derivatives, the meaning of the credit risk management expands more greatly. Therefore, study on credit risk management of commercial banks becomes one of the most challenging research areas.Credit risk management of America is the earliest carried out, and the commercial bank risk management technology is more developed. The purpose of this paper is through study on credit risk management of commercial banks in America so that supply measures to reference in our country study on credit risk management of commercial banks.This paper is divided into five chapters, with the introduction and conclusion in the front and end, the main chapters'content are as follows.In the introduction of article, it briefly discusses the main reasons of selection about study on credit risk management of commercial banks in America. The first chapter introduces the basic concepts about credit risk and focuses on commercial bank credit risk management content. The concepts of definition include credit, credit risk and credit risk management. Combined with the evolution of Basel, it analyzes credit risk management of commercial banks and credit risk measurement in the relevant provisions.The second chapter focuses on the content about credit risk management of American commercial banks. Section I is the development history related credit risk management of American commercial banks. SectionⅡdescribes the important role of rating agencies played on credit risk management. SectionⅢis the characters during credit risk management of American commercial banks process.The third chapter introduces the main model used in the credit risk management of American commercial banks. The models are the qualitative model and quantitative model, and the quantitative credit risk management model is trend of modern bank on credit risk management of commercial banks. This chapter describes the quantitative model in particular, such as Credit Metrics model, KMV model, Credit Risk+ Model. It makes brief and objective evaluation in the model. The first and second chapters are the basis theories of commercial bank credit risk management.The fourth chapter mainly talks about the effect in the long time risk management of American commercial banks. And it exposes the problems caused by credit risk management.The fifth chapter points out the situation in Chinese commercial bank credit risk management and it gives some advice about our bank credit risk management improved.At last, it briefly summarizes the conclusions about credit risk management of American commercial banks.