The Effect Of Financial Asset Price On The Scale Of Shadow Banking

Since 2009,China's shadow banking has experienced rapid expansion of its scale for more than a decade and has become an important factor that cannot be ignored in the development of China's market economy.On the one hand,shadow banking can use the credit creation function to inject a large amount of liquidity into the market,so that the total supply of money produces unexpected fluctuations,and the macro-control of the monetary authorities is more difficult to grasp;on the other hand,the lack of supervision of shadow banks leads to the related business.Funds achieve credit,maturity and liquidity mismatch,increase capital,and accumulate financial risks,threatening financial stability.Since March 2017,the three-member meeting has been promulgated and promulgated various policies related to the banking banking,fund pool and banking peers in the field of shadow banking.At the beginning of 2018,the central bank governor Yi Gang clearly pointed out that shadow banking should be considered as a factor in formulating and implementing macroeconomic policies.This shows that the bank risk brought by shadow banking has caused widespread concern in the upper level of supervision,and it is necessary to step up efforts to solve this problem."Grey Rhinoceros" brings problems and potential risks to China's financial system.Based on the above-mentioned realistic background,it is of considerable academic and practical value to explore how the scale change of shadow banking will specifically affect the financial market.In China,the shadow bank mainly refers to the “shadow of the bank”,which is similar to the traditional commercial bank's function of financing and lending,but it is not subject to supervision.Shadow banking was born in the context of China's financial repression,but its risk-seeking high-yield investment development concept has made its own situation facing the lack of financial support of many small and medium-sized enterprises in China,but it has become a vital development in the financial market.The supplementary part has a certain positive effect.Shadow banking is a double-edged sword.Although its scale expansion is likely to increase systemic risks,the entire financial system is more fragile,but it can also promote the more efficient operation of the entire financial system.Therefore,this paper will buildthe TVP-VAR model,combined with the current actual national conditions,based on the scale of China's shadow banking from 2006 to 2017,and divide financial assets into interest rate assets,real estate assets,stock assets and foreign exchange assets.The commercial bank interbank release rate,real estate average selling price,Shanghai Composite Index and foreign exchange index are variables to study the impact of the size of China's shadow banking on the impact of various financial asset prices.In addition,considering that the factor of money supply has an important impact on financial markets,the money supply is included as a control variable,and a TVP-VAR model consisting of four groups of three variables is constructed to explore the effect of financial asset prices on the scale of shadow banking..It was finally found that a positive impact on the size of a shadow bank would cause the same reaction to the commercial interbank interest rate,real estate price,stock market price index and RMB real effective exchange rate index.Over time,the impact of changes in the size of shadow banks on financial assets is time-varying.Various types of financial assets have different responses and transmission times for information.Their response speeds to changes in the size of shadow banks are also different.Some can respond more quickly,while others have obvious time lags.Therefore,it is necessary to effectively monitor the shadow banking business and capital flow,fully understand and understand the time-varying and time-lag of the effects of changes in the size of shadow banking on various financial assets,and the differences in the impact of different financial assets,and prevent shadow banking.The internal risks accumulated during the scale development process make the formulation of macroeconomic policies more targeted and effective,so that shadow banks can better play the role of allocating financial resources,improve the efficiency of financial market operations,and promote the healthy development of the real economy.