The Mode Selection Of Financial Holding Company In China

In the development of economy globalization today, there is unavoidable trend for financial institute to have complex operation. A complex Financial Holding Company has characteristics of effective organization. In terms of economies of scale and scope of business area, as well as synergies effect such as risk diversification, Financial Holding Company has unbeatable advantages compared with other forms of financial institutions. At present, although our financial industry implements the system of segregation of financial business, the financial industry in the word moves towards the system of integration of different businesses in the finance sector by the system of segregation of financial business. The foreign financial holding companies unceasingly enter into our market. Under such a background, in order to win at the competition with the foreign financial groups, many financial organs in China begin to construct the development mode of the financial holding company.First, this paper focuses on the basic theory of financial holding company, such as background, concept and definition. Second, on the basis of analyzing the experience of United States, Britain and Japan in the development of financial holding company, this paper sums up the general law of financial holding company's development. Third, this paper analyzes several typical cases of financial holding company to find the mode of our finance holding company and the way of development.In order to get access to advanced foreign experience, several foreign cases were explored by case analysis and comparative analysis. Comparing to the development of foreign financial holding company mode and combining the actual situation of china, this paper points out that the pure financial holding company is the target mode of Chinese financial holding companies and gives some advices about the construction and improvement on the target mode of Chinese financial holding company.