The Financial Disintermediation And Its Influences On China's Commercial Banks Profitability

With the deepening of economic globalization,the development of securitization,and the great impetus of the innovation of information technology and financial innovation,commercial banks have also been faced with great challenges from all aspects.The role of capital market in the process of economic development is more and more important;the financial system in many countries in the world shows the trend of indirect financing to the financing of direct financing.In the 1960 s and 1970 s,the United States first appeared this phenomenon and was called " financial Disintermediation ".Subsequently,the major developed countries in the world have appeared different degrees of financial Disintermediation.Under this development trend,some developing countries also show signs of financial distress.In recent years,the phenomenon of financial Disintermediation in China has gradually aroused wide attention of society.With the deepening of China's financial reform,in recent years,China has also emerged as a phenomenon of financial disintermediation,and has aroused widespread concern in society.On the one hand,the financial dislocation to the development of commercial banks with great pressure and challenges,reflected in the financial disconnection caused by financial intermediaries in the form of a new change in the role of the bank as a financial intermediary has been weakened,Commercial banks deposits and loans have an impact,a direct impact on the commercial banks profit channels;but on the other hand,financial disintermediation for commercial banks has brought opportunities for development,commercial banks began to continue financial innovation,enhance their own Competitiveness and profitability,to enhance their own risk prevention and control capabilities and risk management capabilities.At present,the domestic research of financial Disintermediation is focused on the introduction of foreign financial Disintermediation,and the causes and impact of financial Disintermediation,but relatively few empirical researches on commercial bank profitability.This paper discusses the impact of financial Disintermediation on profitability of listed commercial banks in 16 listed commercial banks.The main contents of this paper are as follows:The first chapter is the introduction.This part mainly introduces the background and the main significance of this paper,the relevant literature at home and abroad on the profitability of commercial banks,the main content of the paper and the corresponding technology roadmap.It also briefly introduces the research methods and innovation of this paper,which plays a role of master in the whole paper.The second chapter is the research part of basic theory.This part mainly introduces the related theory of three aspects: the concept and measurement of financial Disintermediation,the promotion effect theory of Disintermediation and the influencing factors of commercial bank profitability,the content of the part is a solid theoretical foundation.The third chapter is the analysis of the current situation of financial Disintermediation and commercial bank profitability.This part mainly describes the status quo,through a large number of data comprehensive analysis of the current situation of financial Disintermediation in China and the development of commercial banks in China.On the impact of financial Disintermediation on the profitability of commercial banks in China,mainly from the business structure of commercial banks,income structure,two aspects are more in-depth analysis.The fourth chapter is the empirical analysis of the impact of financial Disintermediation on profitability of commercial banks.This part takes 16 listed banks of China as the research samples,the time span of the selected research indicators is 2005.In this paper,asset earning ratio as the explanatory variable,the interaction of asset Disintermediation and Disintermediation promotion effect as explanatory variables,control variables,mainly selected GDP growth rate,inflation rate,bank asset size,deposit growth rate,cost income ratio,capital adequacy ratio and non-performing loan ratio.From the macro and micro perspective,using the fixed effect model to regression analysis of panel data in 2014-2015,the results show that the positive effect of Disintermediation not only eliminates the negative impact of debt Disintermediation on profitability of commercial banks,but also improves the profitability of banks.The fifth chapter is the countermeasures of the commercial banks in China.This part mainly discusses the countermeasures and suggestions of the commercial banks to improve profitability in China.Measures include: the rational control of the scale of the expansion rate,adjust the business model;strengthen the financial innovation ability,improve the business level;enhance the risk management capacity;optimize the cost structure,improve operational efficiency.The sixth chapter is the conclusion of this paper and the future research.This part makes a simple summary of the study,and draws the conclusion of this paper.At the same time,it points out some deficiencies of this paper,and puts forward the direction of research in the future.