The Research On The Development Of Cooperation Business Between Banks And Trust Companies Of China Construction Bank

There is a long history of the cooperation business between China Construction Bank and trust companies. The cooperation business between banks and trust companies, as an important form of cooperation in economies, makes considerable economic and social benefits for China Construction Bank, and it can also contributes to increase revenue of intermediary business, adjust earnings structure and achieve significant change of business strategy.The rapid development of our economy leads to more intense competition in banks. So how to make sustainable development of the cooperation business between banks and trust companies, which has also plays a role in intermediary business in China Construction Bank, becomes an actual problem the bank faced.This paper analyzes the motivation, the main form and potential risks in cooperation business between the banks and trust companies. Based on practice of the China Construction Bank’s business, the paper describes the structure of products of both traditional type and new type in cooperation business between banks and trust companies in detail, generalizes three characteristics of the cooperation, and discusses two actual means to deepen the cooperation in the new situation——by making innovation in product of the cooperation to promote the development of private banking service and holding trust companies.Based on the above analysis, this paper makes comparative analysis of form and characteristics of cooperation business between banks and trust companies among the United States, Britain and other developed countries. Then it makes suggestions to promote the development of cooperation business between banks and trust companies of China Construction Bank by studying the experience of foreign banks:implement high-end customer strategy through making product innovation in cooperation between banks and trust companies as the core mean; consolidate the advantages of traditional business in cooperation between banks and trust companies to promote the business transformation; using various means to prevent and control the operational risk in cooperation between banks and trust companies.