Study On Relation Of Listed Commercial Banks Capital Structure And Business Performance

With the accelerating process of economic globalization and China’s accession to the fullliberalization of the financial sector in the WTO，foreign banks into the development ofChina’s listed commercial banks brought a tremendous competitive pressure. Listedcommercial bank in China in order to gain competitive advantage, improve the performanceof listed commercial banks in China is one of the issues that need to be addressed. Accordingto the modern theory of capital structure, capital structure is mainly from two aspects of itsbusiness performance impact: on the one hand, capital structure is a direct impact on itsfinancing costs and financing risks; the other hand, the company’s capital structure bydetermining its governance structure indirectly affect business performance. The Commercialbank is the special enterprise which operating currency, its capital structure is unique, so theimpact on business performance of its capital structure also has the particularity and generalindustrial and commercial enterprises. Through the research of the relationship between thecapital structure and business performance of listed commercial bank，we can find ways andmeasures to improve commercial bank’s performance in the view of capital structure， so asto enhance the operational efficiency and the competitiveness of commercial bank.This paper, learn from the corporate capital structure of the operating performance of theanalytical framework based on qualitative analysis of the particularity of the listedcommercial banks’ capital structure and its impact on business performance. On this basis, theuse of the data of China’s listed commercial banks, to test the impact of capital structure oflisted commercial banks in China after their performance. At last，recommendations onoptimization of commercial bank structure and improvement of business performance aregiven.The conclusions reached in this article is:The overall measure of the capital structure oflisted commercial banks in China-the asset-liability ratio is negative with profitabilitysignificantly and is positive with growth.The structure of China’s listed commercial banksdebt measure of deposit liabilities ratio is negative with profitability significantly, andpercent of subsidiary capital over core capital is positive with profitability significantly.Theownership structure of commercial banks measure of the largest shareholder of the proportion and nature of its business performance exists negatively correlated; the top five shareholders’stock proportion is positively relatively to business performance.