Comparative Study On The Small And Medium-sized Commercial Banks Of China And The United States

China’s economic structure adjustment has become critical with the security of credit assets lowered and spreads narrowed caused by Industry competition. Under these circumstances, the reform and innovation of small and medium commercial banks in China should enter the era of comprehensive risk management, Initial modulus involving financial management. American financial innovation and financial business has already developed into intensifying competition. To the small and medium commercial banks in the United States, the return to the traditional and rediscovering traditional business can give birth to the era of financial management modulus.This paper is divided into six parts. The first part is the introduction to the background of this paper.The second part of this paper aims at the course of development of commercial banks both in China and America. Financial industry and the development of small and medium commercial banks in both countries have been compared.The third part is the regulatory process of America and its reference for China. It first studies the U.S. regulatory development and environmental research, followed by the revelation of the historical process of the United States on China’s regulatory agency regulation. One is that China needs to establish a sound commercial banking supervision system in line with China’s national conditions. Second is to further improve the level and efficiency of commercial bank supervision. The fourth part is the comparative analysis of the current status of small and medium commercial banks in China and America and its revelation.With the implementation of open deposit rate policy, China’s small and medium banks are now facing the tough decision of positioning and developing route under the increasingly narrowing spreads. Experience of American banks is supposed to give us some inspiration.The fifth part is the core part of this paper. That is the China’s small and medium commercial bank reforming ideas. Early levels:Economic profit increased value management; Middle levels:In the hierarchy:comprehensive risk management; High levels:High level:the financial management of the digital-analog era; banking regulators to build supporting policies-moderate competition, moderate principle of openness.Currently, operating philosophy of many joint-stock commercial banks and some local commercial banks have changed from the blind pursuit of scale to the pursuit of profit only which can be achieved by a specific assessment system called of EVA (economic value added)The comprehensive risk management is an upgraded version of the asset liability management, which will be incorporated into the balance sheet risk business within asset and liability management, increasing the dispatching role of fund in the banking business.Financial mold management is based on the elementary and immediate modulus of commercial banks. Various financial elements can form the interactive numerical model risk matrix processing.With the use of modulus management, the bank will convert every inch of the resource value into the data model, covering every inch of each department within the bank’s use of resources. In this way, the rate of fund utilization and turnover rates can be optimized by calculators. And China’s regulators can not just focus on one, ignoring the other. It will bring devastating blow to China’s small and medium commercial banks if regulators just lift the restriction to the deposit rates without related following polices.The sixth part draws the conclusion of this research and discusses itsprospect for China’s small and medium commercial banks entering the era of comprehensive risk management, initially involving modulus management and for the American small and medium banks entering the era of digital-analog financial management.