Research On Risk Management Of Warehouse Receipt Pledging

Warehouse receipt pledging is a list of new business development of modern logistics, and it can also be seen as a financial product. It is a convergence of the fields of logistics and financial operations. Warehouse receipt pledging can be used to solve the current problem of an unsound credit system. It becomes an important means of pooling funds between banks and enterprises.Each business including warehouse receipt pledging has both risks and benefits. This business is still at the initial stage in China, therefore the risk research on it can be used for reference. Firstly, this paper introduced the connotation of warehouse receipt pledging and the risks of every model. Then the paper classified risks into management risks, financial risks, and legal risks and studied them separately. Also, the paper presented detailed measures to avoid each risk.In the research of management risks, the paper analyzed the risks based on the operating procedures and raised corresponding measures to avoid. In the research of financial risks, financial risks were divided into business risk and the moral risk which were both confronted by banks. The paper analyzed the two risks by the method of Game Theory. In this section, to make certain the pledging rate is an innovation, but the method of it is not consummate. In the research of legal risks, the paper studied all of the legal items about warehouse receipt pledging and analyzed them. Finally, the paper advised how to avoid the pact of legal loopholes.