The Study On The Private Bank Risk Pre-warning System Based On Balanced Scorecard

Economy decides finance and financial services in economy.The growth of China's banking industry assets scale is driven by the growth of economies of scale.With the economic and finance going into the new normal condition,economic growth becoming slowly,and interest rates marketization and financial "disintermediation" will work together to the banking industry.Therefore,transforming long rely mainly on deposit and loan spreads based business model,guard against the credit risks become a necessary measure for the banks to deal with the new normal.In recent years,the development trend of international banking industry show that the future of banking competition will focus on the risk control ability,risk control ability is the core elements of the core competitiveness of commercial banks.The private banks operating as the monetary fund of financial enterprises,the risk management industry faces higher risk than corporate entities;private banks almost be initiated by private enterprises.Although those private enterprises has shareholder survival consciousness,a strong sense of innovation and deep understanding of the laws of the market,usually lack of risk management experience of banking operation.The most important intention for private enterprises to initiate the banks intention is to build a good financing platform to provide financial support for the development of enterprise management.if not to strengthen risk controlling and management of the private bank which take the small and micro enterprises as the main customer resources,the stable operation of China's whole financial market will severely affected.At present,the development of private banks in China is in the initial stage,the research on the development of the private bank's theory is not deep enough,and most of the studies are mostly focused on the analysis of the future development prospects other issues.Few study for private banks risk early-warning is combined quantitative with quantitative study.The research object is the paper is the risk warning system of private banks in China.Firstly,the paper explores the functional orientation,basic characteristics and causes of risk of the private bank.Secondly,based on the above content,the paper establish the private banks' covering risk indicators at all levels of the whole process,and construct the risk early warning system of private banks in multi dimensions,By means of the strategic analysis tool--balanced scorecard,and under its framework from the financial,customer,internal processes,learning and growth,the external environment of the five the financial and non-financial aspects,combined with the Economic Valued Added index.Thirdly,it intends to select the samples according to the risk early warning index system of the previous the effectiveness test.Finally,it through comparative analysis and empirical test results the research object of actual comprehensive risk status,determine the early warning system design is reasonable and effective.The paper tries to construct the private bank risk warning refers to the actual Standard system and inspection tools and methods as the research target,hoping that the private bank will pay enough attention to operation risk,and constantly improve the risk management mechanism;at the same time the research contents of this paper can also for regulators,investors timely attention to the risk profile of the bank to provide a reference,so that they can identify in advance private bank risk category,degree and its possible influence,to deal with bank risks supervision.Only if private banks develop healthy and orderly,it can provide financing services well for SMEs,and give full play to the positive effects of the folk capital services in the real economy.