Study On The Impacts Of Internet Finance To Commercial Banks’ Profitability

In the past, the customer’s payment and settlement business, financial investment business and other business services must to be handled through commercial banks, but since the Internet financial generate, they can handle finance-related business just through the Internet platform, and in contrast, the Internet financial products and service have advantage of efficient, convenient, low-cost and a good user experience, and because of this, commercial banks’ existing customers is losing continually, part of traditional commercial banks’ market share have been seized by the Internet financial enterprise, eventually commercial banks’ existing profit model space squeezed by the Internet financial enterprise, then how does the Internet financial enterprise affects the commercial bank’ profitability? what is trend of the internet financial enterprise’ effects on the commercial bank’ profitability ?With these questions, the article do a systematic study on the article theme, the article’ study concentrated on the balance sheet of commercial banks on the basis of a brief introduce to the Internet finance’ related concepts, characteristics, development reasons, then the article does theoretically analysis, case studies and empirical analyzes on the relevant Internet financial factors that affect commercial bank profitability, the study help to directly answer the article’ questions, such as the principle of the impact that internet financial enterprise’ effects on the commercial bank’ profitability, the extent of the impact and the impact of future trends. At the same time, through theoretical analysis, case studies and empirical analysis, this article also reached conclusions that the third party payment platform, the wealth management products online sales platform and the Internet money market funds have a relatively limited impact on the commercial banks fee income, but the Internet money market funds has a far-reaching impact on commercial banks profitability,which have some practical significance for the long-term development of commercial banks.