The Financial Risk Management Of Internet Financial Enterprise

Although,the internet finance is a new thing,the speed of its development and the heat coming with it far exceed those of other industries.The increasing expectations of our country on internet finance also make it a sunrise industry.On the other hand,among the Internet financial enterprises,problems start to emerge gradually after their rapid development in recent years-incidents such as P2 P platforms absconding happens frequently over the country,companies committing financial frauds under the banner of internet finance,etc.Therefore,it is urgent to rectify the internet finance industry.As the financial risks are one of the obstacles that hinder the development of the industry,the financial risk management has become a hot topic in the society and the academic world.It first summarizes the theory of financial risk management,and then examines the topic in the context of the internet financial industry,in order to establish the evaluation system of financial risk management of Internet financial industry.Based on the contents of financial risk management,the paper identifies the risks of the Internet financial industry,constructs a risk identification system,establishes the financial risk management system of the Internet financial industry,and constructs a financial risk management system according to the COSO-ERM framework.With the evaluation system,the paper further conducts analysis of the causes of the financial risk management problems in order to build a suitable framework for the company based on the COSO-ERM framework.According to the COSO-ERM framework,the paper then makes constructive suggestions on improving methods for the company to optimize its financial risk management system,prompts the company to actively improve the construction of the overall financial risk management system by plugging various major vulnerabilities to ensure the realization of the company’s overall goals,improves the company’s core competitiveness,and better its prevention of financial crisis.The paper establishes a financial risk management system which has a certain practical significance in terms of providing a new idea for the financial risk management of Internet financial enterprises.