The Research On Diversification And Performance Of Chinese Listed Banks

Now the global economy is developing quickly, and as the core ofmodern economy, the development of finance is becoming the key role of theworld. The banks have no choice but adjusting their operation strategy inorder to succeed in the competition because of the finance globalization.Especially China listed banks, facing the competition of foreign banks, thechallenge of interest liberalization and the influence of financial crisis, haveto consider the change to the diversification. That is developing theintermediary business and doing the financial innovation in addition to thetraditional asset-liability business positively so as to improve theperformance of the banks.This thesis reviews the relevant documents firstly, and then it analysesthe current situation and the future development of the diversification ofChina listed banks. The thesis also discusses the theoretical basis ofdiversification and the positive and negative effect. After that, we choose the recent ten years financial data of12China listed banks as the sample to dothe empirical analysis about the performance, risk and diversification ofChina listed banks and get the conclusion and we give detail descriptionabout the diversification of bank A. Lastly, we analyze the conclusion andgive some suggestion to the banks.