Research On The Development Strategies Of Intermediary Business In Our Commercial Banks

After entering WTO in 2001, China opened its door to the world. With the deepening of financial internization worldwide, foreign banks speed up their paces to entering China's financial market, competing and cooperating with domestic banks in different ways. Benefiting from the local advantages, our commercial banks still hold the major share of the traditional loan business market. However, intermediary business is becoming more and more important in morden commercial bank's business structure. Operating out of the table, capital securitization, and management internization has been three major trends in the business development of international commercial banks. To adapt to the fierce competion in international and domestic financial market, our commercial banks should enhance their comprehensive competitive power. Developing the intermediate business is practical and inexorable.Intermediate business in commercial banks of our country started in 1990s. The same to the related theories. After 20 years development, the reform of commercial banks has been deepening day by day. And the intermediary businesses also get more and more atttention. Competition among commercial banks in intermediate business market is intense. Many financial innovations are springing up. With the aid of modern technology, internet, and capital in developing internediary business, it has got a good beginning and grown vigorously. The ratio of the intermediate business income to the total income of bank and the profit contribution rate have gone up day by day. Traditional income structure, which is based on deposit and loan rate margin, has been greatly adjusted. However, the intermediary business of commercialbanks in our country started late, with the restriction of system, the lagging of related laws, the vulnerableness of social credit basis, the weakness of public financial awareness, the lack of professinal talents and the unperfectness of incentive mechanism, its development is still at the primary stage. Compared with western developed countries, we still have a long way to go in product variety, the business level, and management methods. The income from intermediate business, which is regarded as the measurement whether the business itself is developed, is still comparatively low.This paper systematic analysises the environment of the Chinese intermediary business firstly. With the gradual opening of the Chinese finacial markets, the demand of the intermediate business is expanded gradually. But the separate operation business model is still hindering the development of the intermediary business. The public also don't understand the business deeply enough. Then the author gives a basic description of the development of the Chinese intermediary business on this basis. The Chinese intermediary business also exists the problems of extensive business management; lack of appropriate risk measurement; intermediary business revenue growth significantly but the nature of it is the deposit and loan spreads; financial products disguised to solicit depositors as the expected return to be honored; the business has been suffered the discrimination and the small firms have been in the unfavorable place. Then make the western commerical banks' development as a reference and systematic analysis the current deveopment and constraints of the Chinese intermediary business. At last, make the relevant comments for this situation.