A Comparative Study On The Impact Of Models Of Cooperation Between Banks And Securities Companies On The Performance Of Securities Companies

Abstract:With the constant deepening of financial reforming in China and the gradual opening of the financial sector, in order to seek a better survival and development, in recent years, domestic commercial banks and securities firms have begun to break through the limits of decentralized management, through the contract cooperation and financial holding company model to carry out the comprehensive management of exploration and practice. From the domestic practice under the separate regulation system, integrated management mode has the following kinds: First, the shallow business cooperation, such as commercial banks and securities, funds, insurance, trust jointly develop comprehensive products and sales agents; second, the large enterprise groups form a holding company, the group itself does not operate financial business, while controlled by the bank, trust, securities, insurance, multiple financial subsidiary to operate a variety of financial business, such as the citic group, everbright group, boc international, PingAn insurance group model. Many scholars have discussed the financial holding company model is beneficial to the development of China’s financial institutions, because it has economies of scope, economies of scale, synergies and a series of economic benefit, which can contribute to the effective functioning of financial institutions and improve operational efficiency. However, because of more qualitative discussion of existing literature and less of empirical research, the relationship between the management mode and organization performance is not clear.This paper uses the DuPont analysis system and the DEA data to analysis different silver-colored card cooperation mode in our country of a securities firm operating performance difference of comparative empirical analysis, to explore silver-colored card cooperation mode of the securities of the company’s operating performance. This article selects46of securities companies from2009-2012.The46securities companies can be divided into three groups to discuss, which respectively is:securities companies of pure mode financial holding company, securities companies of mixed mode of financial holding company, and securities companies of independent management. The former two groups belong to the mixed management based on equity relation silver-colored card, represented by financial holding companies, including citic securities, everbright securities, bank of China international securities and PingAn securities. The third group is selected from the rest of the class, which is normative and innovation class of42securities companies. Empirical evidence shows that:the operating performance of securities companies of mixed mode of financial holding company is the highest, the operating performance of securities companies of pure mode of financial holding company resident in second, while the operating performance of securities companies of independent management is low. It indicated that financial holding company mode is conducive to the development of the securities company in China.