From The Internal Audit Perspective Of China’s Commercial Banks Personal FinancialBusiness Developement And Risk Managenment

With the opening of financial market, financial innovation and regulatory reform, market-oriented interest rate reform further, the rise of Internet financial in recent years promoting financial innovation and bringing challenge to the commercial banks, the spread between the commercial bank deposit and lending business is shrinking, while competition among commercial banks increasingly fierce, China’s commercial banks face competition within the industry and outside the emerging financial industry. Commercial banks need to change the traditional business model, innovative financial products and services, develop profit growth point. Personal financial business to become China’s commercial banks to achieve business transformation options, increase in bank deposits and fee income through the personal financial business, but also provide a new investment channel forfinancial consumers.China’s bank personal financial business has developed rapidly. The product scaleand innovation continue to increaseand create huge profits for commercial banks.At the same time the risks are constantly exposed. The personal financial business as part of the bank overall business is also facing the risk management. Commercial banks need to takepersonal financial business into bank comprehensive risk management system and strengthen the audit supervisionof the personal financial business.Using modern risk-based audit work to the internal audit, effectively supervise and control of risks. In recent years, China’s regulators have issued a number of laws and regulationsto guide commercial banks internal audit and risk management, ensure the effectiveness of the risk management of commercial banks. This paper from the background of the development of the personal financial business of commercial banks in China in recent years, analysis the risk of personal financial business through process audit and propose buildinga system of personal financial business risk management, establish high levels and professionalof bank internal auditpersonnel, useinformation technology to enhance the level of bank riskcontrol in personal financial business and establish compliance culture, improvethe management of financial investment and capital activity, promote the personal financialbusinessrisk management.