Pattern Research On Chinese Commercial Bank Running Investment Bank Business

As we making a comprehensive view of the global financial development, the abolishment of Glass-Steagall Act marked that the global finance industry has already stridden into mixed operation. Chinese financial industry has opened completely to the world today. With the mixed operation advantages of their parent company, the foreign banks are pounding Chinese financial industry with all their strength. As we looking back at the current situation of Chinese financial industry, we can see the deeper marketization reformation of interest rate, the fiercer competition between banks, and the rapider speed of capital market financing directly, and the diffluence of the securities to the deposit. All these challenges inside or outside of the bank, reduced the commercial bank's profit margin of the traditional services. Following the rapidly development of our country's economy, and the appearance of many new financial requirement, the divided operation of domestic financial industry shows it's limits on enlarging the bank's scale and margin. As the lower efficiency of divided operation, it's hard for the domestic commercial banks competed with the almighty foreign financial company.As the rapidly development of the opening to world and the system reformation of Chinese financial industry, it's the strategic choice for the domestic banks to develop the investment service.This paper based on the typical theories of the domestic and foreign commercial banks mixed operation, introduce the mixing-dividing-mixing course of the global financial industry. By analyzing some cases, the author research the main style of some advanced foreign banks developing the investment services. Also, the author compares the domestic commercial banks and the investment banks, and makes some research on how to manage investment banking service services. By SWOT analytical method, the author analyses the strength, weakness, opportunity threaten and the meaning of the domestic large commercial banks to develop the investment operation.The author tries to discuss the domestic commercial banks' mixed operation, he propose that the banks constitute investment department firstly, constitute the specialized investment institution bank by purchase or joint stockjobber secondly, and set up financial holding company lastly.Furthermore, the author discusses the service tactic if the commercial banks develop investment service under the current situation, and puts forward some suggestion of the banks' internal operation. The author wishes that the paper be helpful to the development of domestic banks' investment operation and the decision-making of the banks' manager.