Research On Strategic Investor And Corporate Governance Of Commercial Banks In China

The core of modern bank policy is the governance structure of commercial bank, which directly affects the market competence of commercial bank. The introduction of strategic investor can bring forward advanced management experience and technology, which optimize the share structure of commercial structure, help them promote alteration smoothly and achieve good governing mechanism. The introduction of strategic investor has become the key point in the reform of commercial bank and financial policy.The participation of strategic investor in governance of commercial bank is the result of mutual chess and policy reformation. By analyzing the governing pattern and trends of three typical commercial banks from the viewpoint of share structure, the introduction of strategic investor which can meet the requirements of share centralization, accord with the trends of governing pattern is the best choice for our commercial bank. The successful experience of East European countries demonstrates that the introduction of strategic investor is keeps with the governance reform of transitional economies on national commercial banks' governances. Remarkable positive relation is discovered between the share-taking and the achievements of our commercial bank by using panel data. Similar results can be found by empirical test of the relation between investors' share taken and the commercial banks' performance. Results of empirical research shows that the introduction of strategic investors has positive effect to the governance of commercial bank, which is compatible with the propriety reform of our commercial bank.Introduction of strategic investors is an effective way for commercial bank reform, which is the correct choice to help commercial bank stock listing successfully and upgrade business level. It is inevitable result of financial reform and financial opening. However, it should be on guard of finical security, inappropriate pricing for stock and conflict of management culture. Therefore, internal governance reform, favorable external environment and reasonable investment principles should be done to promote the consummation of governing structure of our commercial banks with the advantages of strategic investors.