A Case Study On Asset Custody Of Commercial Banks

In recent years, along with the financial institutions and personal wealth accumulation, size of the financial assets is surely unprecedented; the asset management industry grows rapidly. Since 1998, domestic asset custody arisen, commercial banks as a third party independent of the clients and fund managers, effectively protected the safety of funds and formed an effective supervision mechanism. Asset custody as intermediate business of commercial banks brings stable income and huge amounts of low-cost debt, as well as the coordinated development of various departments. With the trend of financial disintermediation, the impact of interest rate liberalization, and the fierce market competition, commercial banks can make an effective response through the development of asset custody, and constantly adapt to the changes from the external environment.According to the study purpose of this article, the study object is asset custody of commercial banks. Analyzes the causes and mechanisms of asset custody business, introduces the development of domestic and foreign commercial bank's asset custody. By analyzing the typical cases, summarizes the important role of asset custody in economic development, and proposes the development trends on future asset custody business.This paper selects the Industrial and Commercial Bank of China and China Minsheng Bank as the representative of state-owned banks and medium-sized banks, analyzes the asset custody business development, advantages and problems in practice. Chooses domestic and foreign commercial banks as a reference, comparative analyzes the gap among the domestic and foreign commercial banks, puts forward the direction and ideas for future development, and promotes the asset custody sustainable and stable development.