Financial Governance Structure Based On The Visual Angle Of Corporate Power

Financial governance structure is the core of financial governance, coming from the combination of corporate governance and corporate finance. So, it responds two different tasks: governance and finance, which makes it a focus between academe and practice. However, in recent years the phenomenons of law and discipline violations such as the major shareholders misappropriating and embezzling funds of listed companies, large shareholders frauding medium and small investors, false statements of listed companies, information disclosure violations and misleading, market manipulation happen frequently in China's capital market, which is a serious impediment to the development of capital markets and undermine investors interests. The fundamental reason of the current financial fraud and behavior of big enclosing money of China's listed companies is that there are lack of effective protection mechanisms for investors both inside or outside the companies, corporate financial governance is out of control, absence of the financial govemance subject and financial governance structure is irrational.Faced with the grim reality we have to admit that the critical factors affecting the efficiency of financial operations, in fact, are not the financial and technical methods, but the competitions of power and institutional arrangements behind the technology, namely the company's own power structure and the configuration of the relevant legal property rights within the company, that is how we make rational allocation of the corporate financial governance right (ie financial authority, including financial decision-making power, financial executive power and the financial supervision) along the financial govemance subjects, while the existing research has not yet define the corporate financial governance right clearly and the division is not very comprehensive. For this reason, this paper begins with introducing the O-SEA power model, defines corporate power in a way of tracing the source and sketches out a panorama of symmetric distribution of the corporate power along the differrent financial govemance subjects, with a view to help to optimize the financial governance structure and improve the financial governance efficiency.The thesis follows the researching mentality of"proposing the problem—summarizing basic theory—analyzing the problem—solving the problem", and it is consisted of the following five parts: resarching background and practical significance, researching content, theories related to financial governance, introducing the O-SEA power model, classification analysis, improvement measures. Combined with analysis of specific financial governance structure, the thesis concentrates on the corporate power configuration and puts forward measures and suggestions to perfect financial governance structure and improve the efficiency of financial governance: first, grasp the conversion between the O-SEA power and propose to construct a stable governance structure of power; second, for the characteristic of the dual financial oversight bodies including board of supervisors and independent directors, put forward three suggestions: locate the function based on different concepts,formate the board of supervisors including O-SEA power objects and establish an independent mechanism to select the independent directors.