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Research On Risk Measurement Of P2P Enterprise Lending Business With Analytic Hierarchy Process

Posted on:2018-04-16Degree:MasterType:Thesis
Country:ChinaCandidate:G LiFull Text:PDF
GTID:2359330512994205Subject:Finance
Abstract/Summary:PDF Full Text Request
P2P lending is emerging as major form of internet-based finance in China recently.Since 2006 and 2007,there have been a great number of P2P lending platforms as China's P2P lending went into high-speed development in 2013.However,due to status quo of P2P lending system and uncompleted internet-based financial laws®ulations,there are still many regulatory issues at P2P lending.At the same time,because of lack of supervision,the development of P2P lending market is short of standardization.A large number of new enterprises in pursuit of market share ignored the borrowers' risk of debt repayment.They adopted a lot of risky self-built credit mechanism which easily caused funding chain break.For example,since 2013 more than 100 domestic P2P lending platforms have gone broke,involving more than 3 billion yuan from lenders5 loss.In the thesis,several important P2P lending companies will go through risk quantitative analysis to make relevant recommendations and strategies.In the process of research,the development process,features and basic risks of P2P lending are discussed to point out that major risks lie in enterprise operation,investors' interests,borrowers' credit and business running and build up basic framework of risk management.Later based on analytic hierarchy process,risk measurement process of operational risk,risk at the interests of investors,borrowers'credit and business risks are established,four relevant risk assessment indicators and detailed weight of indicators with specific evaluation methods are designed to complete risk evaluation model in terms of P2P lending.Afterwards,the model will be applied to quantify the risk of P2P lending business and give the score and analysis.Five strategies for risk management will be offered to establish risk detection system,implement daily risk report,make escrow agreement for funds,create financing products portfolio and enhance risk awareness and cultural construction.
Keywords/Search Tags:Internet-based financing, The P2P lending, Analytic hierarchy process, Quantitative risk analysis
PDF Full Text Request
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