Research On Risk Control Of Margin Trading In Cai Tong Securities Company

Since March 2010 margin trading was officially launched in mainland China,the scale of its business has been rapid developed.As of December 30,2015,the balance of margin financing of the two cities reached 1173.7 billion yuan,including the balance of the bonds amounted to RMB3,134 million.The rapid growing margin trading business in 2015 has gone through an important test in the ups and downs of the market.With the huge profit from margin trading,the securities companies have to learn how to control the risk.This paper takes CAITONG securities company in Zhejiang province as the research object.First introduces business operation process and transaction process of the margin financing and the following is analyzing its characteristics by comparison with ordinary transactions and margin trading,then it reintroducing the risk and causes of CAITONG securities margin financing business;Characteristics and functions of the margin trading business determines the necessity and risks of securities companies to carry out margin trading business.Finally,it starts from the characters of transaction process and links involved in CAITONG securities margin financing business operation,on the one hand,prevent and control of the risk of the existence of various links,and put forward the design optimization of the corresponding management system to the four links through margin trading business including credit and credit management,appropriate institutional investor education,credit account and contract management,study of customer service and customer complaint management system research;On the other hand,study the multi dimension dynamic risk management strategy in the margin of the business market,including perfecting the financing risk control organization,the beforehand risk active management and comprehensive prevention,in the real-time warning and notification service,the forced debt recovery and disposal after the risk,emergency management and study its risk index quantitative evaluation system,the system of the previous control,risk early warning,liquidation and other control points,forming a moderate flexibility of risk management and control system.