Disquisition For Financing Management Of A Stockjobber

In China, it is a certain trend for the development of capital market to set up the multi-frame of financing which faced to stockjobber. It is the principal problem we need to settle seriously: consummate the stockjobber's construction of property right which insure the management of financing properly.ln our country, the primary character of the structure of stockjobber's property right is the national and direct shareholder control the stockjobber directly or indirectly, which cause the virtual owner absent, then enlarge the cost of commission and surrogate, finally, a series of conflicts burst out, especially inner controlling .We are worrying the management always have no regard for financing construction while financing through the stock or credit because of the hungeringly aspiration for capital. To management, more capital means more power. They will try best to enlarge the financing with no care about the cost, since they are inner, so we can't control the hungry of capital in system. And based on the limited of financing, the stockjobber always choose the expensive way of financing which focus on the potty benefits at present, and use the unlawful way to finance. This problem makes the capital with high level risks take up big percent of the whole budget which gained from lawless way, so that the contraction of financing irrationally.finance risks of company increscent. While they meets reverse of the market, the substantive expense of financial affairs come to be the burden difficult to endure, and the big losing will make the company struggling along the side of death. This article will spread from below several sides:First,to introduce theoretically the capital structure, total apital cost and lever effect on modern financing theory for the Company.Secondly, through the statement of the causes and consequences of the financing management, and the analysis on the capital structure and financeing channels of the Company A, to evolve the existing general issues in the overall stockjobber industry: most of the stockerjobbers are small size and seriously lack of own funds, especially the circulating funds, they have to collect the money in the market, however, as restriced by the limited financing channels, part of them to...