A Study On The Effect Of Entrusted Financial Investment In BOE

China is in the stage of rapid economic development,and the innovation of financial reform is becoming more and more abundant.Entrusted financial investment,as a popular form of financial innovation,has developed very rapidly in the near future.In the more mature market environment of foreign countries,the commission of financial management business is very standardized,but in the case of imperfect capital market system in our country,there are still some problems in the actual operation of entrusted financial investment.These problems will have different degrees of impact on the company's cash flow,financial situation,enterprise value and so on,so it has attracted the attention of the majority of researchers.This paper takes the entrusted financial investment as the research point,takes the Beijing Oriental Company as an example,adopts the method of combining the literature with the case analysis,and takes the principal-agent theory,the free cash flow theory and the value management theory as the support.In order to study the influence effect of entrusted financial investment,the influence mechanism of financial investment is constructed.This paper mainly analyzes the effects of entrusted financial management on the efficiency,financial situation and enterprise value of the company's funds.First of all,in terms of the efficiency of the use of funds,when the company uses its own funds for financial management,it occupies the funds raised,and mixes the borrowing funds in the later stage of development,which disrupts the order of the use of funds in the enterprises.Secondly,starting with the cash dividend,profit effect and development ability of the company,this paper analyzes the effect of financial management and investment.From the comparative analysis of the data before and after the financial investment,it is found that the enterprise is too keen on the financial investment and neglects the development of the main business,which is not conducive to the benign development of the enterprise.Finally,in the aspect of enterprise value,the feasibility of investment project is analyzed by the method of net present value,and the influence degree to enterprise value is analyzed by the contribution rate of financial investment to enterprise value.Combined with the strategic layout of the company,it is concluded that when the company has national support,compared with other listed companies,the entrusted financial investment willobviously increase the profit,and then enhance the value of the company.After the case analysis,the paper gives some suggestions for the improvement of Beijing Oriental Company,hoping to get better development in the future,and at the same time,it also gives some enlightenment to other enterprises to carry out entrusted financial investment.