Research On The Influence Of Bank Innovation On Bank Stability

At present,financial innovation has become a trend of globalization.It not only plays a leading role in promoting the financial development and reform of various countries,but also plays an important driving force for the economic growth of all countries.However,the outbreak of the financial crisis in 2008 gave us a warning of the stability of the financial system.Financial innovation is a double-edged sword,which brings rapid development of finance and great risks to the security of financial system.We are facing a series of problems,such as financial innovation and financial fragility,especially the relationship with bank fragility.At home,with the development of interest rate liberalization,financial liberalization,Internet finance,financial disintermediation and shadow banking,the innovation level of commercial Banks has been stimulated.Banking innovation as an important part of financial innovation,on the one hand,to expand the business channel,enrich product variety,improve service quality and increase the profit space greatly promote the development of bank management;On the other hand,it has brought a great test to the bank's management,asset quality and the capacity of risk bearing.Therefore,it is particularly important to discuss the effect of bank innovation on the steady operation of Banks in the context of supply-side structural reform.At first,this paper illustrates the background and significance of the impact of banking innovation on bank robustness research and innovation and bank robustness generalizes the related research results from home and abroad,and establish the research ideas and research content.On this basis,It is introduced by the related concepts and theories of bank innovation and bank robustness,which will provide theoretical support for subsequent studies.Furthermore,this paper analyzes the favorable influence and adverse influence mechanism of bank innovation on the robustness of Banks.The results show that the influence of bank innovation on the robustness of Banks is a double-edged sword.Secondly,it is the status analysis of bank innovation and bank stability.Based on the macro-economic background and market environment,firstly this paper analyzes the current situation of bank innovation and the typical representative of the banking industry,industrial and commercial bank of China.Then It was constructed the index system of bank innovation.After that,the paper analyzes the current situation of bank robustness,and constructs the index system of bank robustness.Thirdly,the empirical analysis of the impact of bank innovation on the robustness of Banks.First,the index system of bank innovation was calculated by using factor analysis to obtain the index of bank innovation.Secondly,the threshold panel model is used to analyze the impact of bank innovation on the robustness of Banks.The results show that the bank innovation has a positive influence on the bank's robustness,and the influence has a significant nonlinear effect.In the case of different shareholder equity ratio of Banks,the higher the shareholder equity ratio,the higher the robustness level of Banks.Finally,conclusions and Suggestions.On the basis of a summary on research conclusion,combining with the characteristics of commercial bank,it is proposed to improve the level of differentiated innovative services and improve the robustness of Banks.integrating all kinds of innovative elements,implementing the development strategy of innovation driven increase;providing credit support for small and medium enterprises,creating unique small financial service system;enhance the intensify financial product innovation,innovation of customized service;correctly handle innovation and regulation,building the new financial regulatory system.