The Research Of Commercial Bank Compliance Risk Management

Commercial bank compliance risk management is an important risk management activity for the financial regulatory authorities and commercial banks in recent years, which on the one hand influences the survival of a commercial bank, on the other hand creates value for the commercial banks. The international banking industry understands compliance risk deeply and advances management level. Although compliance risk management system of domestic commercial banks creates late, they have setup compliance department, define compliance functions under the guidance of regulatory authorities. This article takes a proposal on the construction of compliance risk management system according to domestic commercial banks' practice.The first part in the paper briefly introduces the concept of compliance risk, the theoretical basis of the compliance risk management, the necessity of compliance risk management and the relation of compliance risk management and enterprise risk management. The second part mainly introduces the guidance of regulatory authorities, the status of domestic commercial banks in compliance risk management, including the progress made, the gaps and reasons; the third part discusses the use for reference of the advanced practices of the international financial community, especially the document requests of the Basel Committee, and the apocalypse for domestic commercial banks; the fourth part gives some suggestions on the compliance culture, compliance framework and reporting lines, management mechanism, compliance assess and review and several to build the compliance risk management system in the domestic commercial banks.The innovation of this article is applying standard management technology to compliance risk management in the commercial banks.