Research On Solution To Equity Incentive Of Lilac Bank

In order to prevent the potential systemic financial risks,the financial regulatory departments reiterate the policy of strict supervision,deleverage in the financial field,which cause the margin of banks narrowing.With the economic growth rate decreasing,the NPL rate of banks continue rising.The rise of online finance and non-bank financial institutions also encroach on the living space of banks.In addition,the public criticize the high profit of banks,and the state-owned and local banks begin to carry out the salary limit successively.Marketization has been weakened,and the senior executives and core talents leave.As a city commercial bank,Lilac Bank is faced with the previous problems.In order to retain and attract high-end talents,maintain long-term and steady growth,survive and develop in the fierce competition,it is necessary to learn advanced practice at home and abroad,and draw lessons from previous experience in equity incentive.On the basis of it,Lilac Bank need timely implement market-oriented incentive measures such as equity incentive plan.This dissertation firstly introduces the background and significance of the research,the related theories at home and abroad,and then expounds the equity incentive of other banks and the aim of Lilac Bank to improve the incentive system,clear the development orientation,and enhance the talents' sense of belonging.This dissertation also put forward the equity incentive plan of Lilac Bank,including the mode selection logic,the incentive scope,the quota of equity incentive,the management mechanism and institutions,etc.Safeguard measures also need to be implemented by Lilac bank to insure the effects of equity incentive,including setting up the standards of exercising of power,strictly executing the appraisal mechanism,setting the adjustment method and procedure,and properly handling the influence of the important items.The establishment of safeguard mechanism ensures the smooth implementation of equity incentive plan,so as to retain the high-end talents,stimulate the potential of talents,and achieves long-term,robust and sustainable development in the future.