The Research Of Wealth Management X Efficiency Of Commercial Banks Based On The Three-stages DEA Model

The wealth management of commercial banks in China has carried out more than ten years. With the economy globalizing and the openness of financial market deepening, adding foreign banks entering the Chinese wealth management market and interest rate liberalization processing continuously, wealth management business constantly enriches the content and the scale keeps increasing and already becoming an important growth of commercial banks intermediate income. The trend will also promote the commercial banks to improve the profit pattern and provide a wide range of financial products and services. Therefore, in recent years commercial banks of China adjust the strategy of wealth management to enhance the competitiveness of wealth management. The efficiency of wealth management has becoming one of the important evaluation indexes. In the face of the changes of macro and micro environment but also facing a series of problems, the potential of developing wealth management is huge; therefore it is important to measure the wealth management X efficiency.In the beginning of this paper, it introduces the concept and content of commercial banks'wealth management and reviews the relevant theories of wealth management and X efficiency theory, selecting the empirical method using in the dissertation. Secondly, reviewing of the developing process of China's commercial banks'wealth management business, analyze the present situation of wealth management from macro and micro view. Thirdly, selecting the input and output variables, build the X efficiency measurement index system of wealth management. Based on the theories of wealth management and X efficiency, using the three-stage DEA model to measure the X efficiency of 14 commercial banks of our country from 2009 to 2013, finding out (1)The wealth management X efficiency of China's banks is low and XE(3) is lower than XE(1). It means, on the one hand, the current market environment is helpful to improve the X efficiency; on the other hand, the level of wealth management of China's banks is lower after adjustment. (2)Compared the state-owned commercial banks and joint-stock commercial banks, the allocation efficiency are both high. The technical efficiency is low, which is the main reason for low X efficiency. The cause of two types of commercial banks is different. As to pure technical efficiency, the state-owned banks is higher than the joint-stock banks, whose reason is that the capital strength ensure the technical investment, including channel construction, personnel training, product service system. As to scale efficiency, the state-owned banks is lower than joint-stock banks, whose reason is that the wealth management business of state-owned banks is too large, resulting in inefficiency and the scale of joint-stock banks is getting larger and larger year by year, resulting in improving the scale efficiency. In the end, combining with the relevant theories, the current situation analysis and empirical results, we put forward a series of more targeted countermeasures to improve the X efficiency, including:Developing strategies of wealth management differentiation; Optimizing the profit pattern to support the wealth management business; Optimizing the structure of human resources to improve the management level; increasing investment to the marketing channel; Strengthening the innovation to enrich the system of products and services.