A Study On The Legal Problems Of Supervision On Shadow Banking In China

The reason why "shadow bank" can be concerned by people all over the world is mainly because of the deterioration of the subprime mortgage crisis in the United States and its gradual transformation into a financial crisis of the nature of the world.Shadow bank,which is outside the traditional regulatory system of commercial banks,has wreaked havoc on the financial markets in the United States and accelerated the transformation of the financial crisis under very turbulent circumstances.How to solve the problem of supervision of shadow bank has become one of the urgent problems.Shadow bank is a form of financial innovation which was formed to meet the needs of the market and has the novelty and adaptability of financial products.On the one hand,regulatory arbitrage and systemic risk gives shadow bank the nature of seeking advantages and avoiding disadvantages,which makes "financial innovation" a synonym for "circumventing supervision";On the other hand,prudential regulation will dampen the vitality of innovation in financial products.Therefore,to coordinate the contradiction between financial innovation and regulatory suppression is the inevitable requirement of shadow bank supervision.At the same time,China's shadow bank supervision has its own regulatory status compared with foreign shadow bank,but it also presents a lot of legal supervision problems.Such as the low legal level of supervision,the incomplete supervision rules and systems,the unclear boundaries of the subject of supervision,the disunified and incoordinated mechanism,the incomplete system of systematic risk prevention,the immature system of information disclosure,the supervision rules which is lagged behind the market and low effectiveness of field and regulatory measures.Drawing on the experience of British and American countries and international organizations in the legal management of shadow bank,the paper establishes a suitable national financial system management system to strengthen risk isolation and establishes a macro-prudential regulatory model and a mechanism for information disclosure and sharing,etc.,which provides an important basis for the development of shadow banks in China.This paper holds that the legislative basis should be balancing the contradiction between financial innovation and financial suppression to treat the relationship between the causes of financial crisis and financial innovation differently and to deny the original positive role of financial innovation because of being choked by it.Secondly,in terms of the problem that the boundary of the supervising body is not clear.It is to establish a complete andunified supervision body of the shadow banking from Twin Peaks.Thirdly,the paper discusses to improve the system risk prevention mechanism and information disclosure system to promote the self-discipline of market subjects.The last opinion is to improve the shadow banking regulatory legal system in specific areas,such as private lending,Internet transfer of funds and other areas,so as to complement and improve the national shadow banking laws and regulations regulatory system.