Research On The Ownership Structure And Performance Of Chinese Listed Banks In The Post-shares-reform Era

The ownership structure is the basis of corporate governance, which affects the company's performance through the corporate governance mechanism. As an important part of the financial sector, the bank industry plays a key role in the rational allocation of financial resources. Optimizing the ownership structure of the bank and playing the positive role of ownership structure in improving the bank's performance are not only conducive to the stability of the bank operations, but also promote the sustained and healthy development of national macro-economic. Therefore, the study on the relationship between ownership structure and performance of Chinese listed banks has great significance. In April 2005, China launched the reform of non-tradable shares, which aimed at eliminating the difference of shares trading system in A-share market by the adoption of non-tradable shareholders and tradable shareholders by a balance between the interests of consultation mechanisms .With the success of non-tradable shares reform, all shareholders of Chinese listed banks objective function are consistent, and the conflicts of interest of shareholders have been alleviated. Whether the ownership structure of Chinese listed banks is logical depends on the non-tradable shares reform in the new situation. The kind of relationship between the ownership structure and performance of Chinese listed banks is also considered. Under the guidance of this issue, this paper analyzes the relationship between ownership structure and performance of Chinese listed banks in the post-shares-reform era, and attempts to make useful suggestions in how to optimize the ownership structure of listed banks, then contributing to the improvement of performance of banks.This paper sorts out and sums up the relevant theoretical basis about ownership structure and corporate performance, and analyzes the relationship between ownership structure and performance of banks. This paper also combines Chinese actual conditions, analyzes the influence on ownership structure and performance of listed banks, further to describe the situation of ownership structure of Chinese listed banks in the post-shares-reform era. Through the above analysis, this paper make empirical study on the relationship between ownership structure and performance of banks. firstly, this paper analyzes the performance of Chinese listed banks from 2005 to 2008. Secondly, this paper analyzes the relationship between ownership concentration, ownership balance, the proportion of tradable shares and the performances, then explains the results of empirical analysis according to Chinese national conditions.In this paper, we find that in post-shares-reform era, the relative concentration of ownership structure is benefit for the performance of banks, while the balance of ownership are both have positive and negative effect. Based on the qualitative analysis and quantitative analysis, we propose some suggestions on how to optimize the ownership structure and improve the performance of banks.