Study On The Relationship Between Commercial Banks Ownership Structure And Risk-taking Level

As a pillar industry of the global finance,commercial banks are the most important factors that can stabilize the development of the global economy.Then the risk management of commercial banks is the key to its development.The relationship of commercial banks' risk and the ownership structure,which is one of the most necessary elements on banks' risk-taking,is always the research hotpot,with a view to improve the internal corporate governance system to enhance the ability to resist risk.As Interest rate liberalization in China is fully completed by the end of 2015,the business environment of commercial banks are changed greatly,just as the increasingly fierce market competition,and narrowing deposit and loan spreads,which may lead to the relationship of commercial banks' risk-taking and the ownership structure varies.In this paper,we will regard Interest rate liberalization as basement and background,and research the relationships of ownership structure and commercial banks' risk-taking.Based on the non-equilibrium panel data of 17 listed commercial banks in China from 2007 to 2015,this paper studies the effect of ownership structure on the bank's risk-taking level by constructing fixed effect model and stochastic effect model.At the same time,the interaction between Interest rate liberalization and ownership concentration are added to discuss whether the relationships between ownership structure and banks' risk exposure will change in the context of Interest rate liberalization.The results show that the ownership structure of listed commercial banks is closely related to the level of risk-taking.The higher the concentration of equity,the greater the level of bank risk-taking,and the increase in the proportion of foreign shares or reduction in the proportion of legal person shares will effectively curb the bank's risk behavior.Along with the gradual progress of Interest rate liberalization,especially the reform is accelerated after 2012,and is fully completed at the end of 2015,the risk-taking level of listed commercial banks is significantly reduced.On the whole,under the environment of Interest rate liberalization,the stimulus effect of ownership concentration on the risk-taking of listed commercial banks has been alleviated,and the promotion of Interest rate liberalization can help to reduce the risk-taking level of commercial banks.