A Study On The Characteristics And Risk Communication Of Cross Shareholding Network Of China's Listed Companies

Cross shareholding has been used by more and more enterprises since the beginning of Japan.Since the reform of Listed Companies in our country,it has been open to the restriction of cross shareholding,and the cross shareholding has gradually emerged in our country,which has been increasing year by year.At first,the main reasons for the cross shareholding are: 1.to prevent the company from being hostile takeover.2.to avoid risk.3.formed a strategic alliance to obtain monopoly profits.However,in recent years,the development of traditional industries is blocked,and the rapid development of capital market.More and more enterprises begin to seek new economic growth point to improve the income of the enterprise.But the cross shareholding is a double-edged sword,in the market for the better,to effectively boost cross shareholding enterprise value growth,and bring economic benefits,financial statements of enterprises;when the market down,cross shareholding relationship can also bring the chain effect to the enterprise,and increase enterprise risk.In addition,cross shareholding to enable enterprises to form a link between the relationship,will make the risk of cross shareholding of Listed Companies in the spread of.So,what are the characteristics of cross shareholding of Listed Companies in China,how the risk of cross shareholding spread?This paper focuses on the cross shareholding of Listed Companies in China,studies and analyzes the characteristics of cross shareholding in China and analyzes the risk of cross shareholding.In this paper,we analyze the characteristics of cross shareholding of Listed Companies in our country by using the complex network method.Based on the complex network method,this paper studies the characteristics of cross shareholding relationship among listed companies.And the use of Matlab software to build a similar network simulation risk contagion exercise.This collection of China's Shanghai and Shenzhen A shares in 2016 semi-annual report data of Listed Companies in the cross shareholding information,data screening and sorting,selecting 1250 listed companies to build cross shareholding complex network,and using the complex network analysis to analyze the network structure and topology method,the cross shareholding network structure has short average path length and low the clustering coefficient characteristics,and its degree distribution has a power-law distribution,in this paper,so that the network is a scale-free network approximation.Then the SIR model of scale-free network characteristics of network construction and the use of risk propagation simulation,the listed company cross shareholding network simulation,through the simulation we found that cross shareholding network risk communication has the following characteristics.1.the key nodes increased risk spread.2.the initial infection,the more the more can increase the risk of transmission 3.companies can resist the risk of the isk of the network to prevent the spread of.4 the greater the probability of infection can accelerate the spread of risk.The main purpose of this paper is to put forward how to deal with the risk and the characteristics of the network risk.We finally put forward four ways to prevent the spread of the risk.First: pay attention to the Hub node in the network(the network node degree is higher);Second: to ensure the capital adequacy ratio,reduce the risk of infection rate,improve the risk of immunization;Third: the establishment of internal control mechanisms and risk prevention policies;Fourth: pay attention to the development of the industry,to prevent the emergence of the majority of the initial infection node.