Research On The Relationship Between China's Urban Commercial Banks Ownership Structure And Performance

City commercial bank was established in 1995 in various cities, today, it achieves a leap-forward development for every three years.it is already become an important domestic financial markets integral part. Local Government domestic city commercial banks 'dominance' equity illiquid, single structure, stakeholder interests is difficult to obtain maintenance issues, reducing the operating performance of city commercial banks. In an increasingly competitive market, the deepening of financial reform, structural reform of urban commercial bank equity has become an inevitable choice.This paper summarizes the literature review study abroad on the relationship between ownership structure and operating performance, and the use of existing theory based on the analysis of the mechanism of commercial bank ownership structure and operating performance, and proposed theoretical assumptions. Then choose our 49 city commercial banks in 2009- Structure Concentration equity stake during the 2013 largest shareholder equity ratio of the top ten shareholders and equity properties and the largest shareholder of state-owned properties, the proportion of state-owned shares comprehensive variable proportion of corporate shares and individual shares, respectively, affect the operating performance of the empirical analysis. Where in the operating performance by the earnings per share, return on assets, return on equity, cost-income ratio, non-performing loan ratio and capital adequacy ratio 6 from the positive and negative directions fully reflect the indicators of operating performance, was the principal component analysis a comprehensive index to measure R.Research on the relationship between China's urban commercial banks obtain ownership structure and operating performance:(1) ownership concentration: the largest shareholder ratio of city commercial banks operating performance inverted U-shaped relationship, and the proportion of the largest shareholder at 34.25% make maximum operating performance; the ratio of operating performance down the top 10 shareholders and the city commercial bank U-shaped relationship is not obvious.(2) Equity attribute: the relationship between state shares in the ratio of city commercial banks operating performance not obvious; the impact of state-owned properties to the largest shareholder of city commercial banks operating performance not obvious; the proportion of corporate shares and city commercial banks operating performance was U-shaped relationship. And legal person shares about 75% will reach the minimum operating performance; individual shares and city commercial banks operating performance are positively correlated. Based on the above conclusions This paper presents policy recommendations to optimize the ownership structure of China's city commercial banks:(1) Equity moderate decentralization;(2) Nature of shareholder diversification;(3)Differences in management.