Research On Risk Management Of Eastmoney Securities

Although Chinese modern securities industry has gained some achievements over the past 20 years.However,as a late comer,it still lags far behind the relatively specified capital market in developed countries and the risk management mechanism of stock jobbers is of no perfection.The rapid development of China's internet infrastructure enables the rapid increase of netizen,especially the mobile netizen,which gradually increases the public's demand for financial service.With the loose policy for the access in modern securities,many internet companies have started their own securities businesses,which forces many traditional securities companies to join the internet securities industry.This is how internet securities firms were born.In a time when mixed operation has been confirmed and financial border gets blur,the virtuality and openness of the internet securities industry makes itself more risky than the traditional one.It is more difficult for securities which has imperfect risk management mechanisms and now has to deal with new problems from internet securities businesses.However,the existing research of risk management is all about the traditional securities industry.So,we need to do more studies concerning special risks and challenges from the operation of internet securities firms.This article takes Eastmoney Securities as an example,a typical internet securities company.Eastmoney obtained its license after merged Xizang Tongxin Securities and started its hard work in doing internet securities business.It has gained good achievements with its advantages in fin-tech and traffic leading-in.But as an internet securities firm,Eastmoney Securities also faces risks from the internet securities business and a complicated and changing economic environment.So its rapid business development cannot eliminate the problems.In order to focus the research on the issues of risky management in such a time of rapid development,especially the operation risks that differ from the traditional ones,the author adopted the ways of hierarchical analysis,documentary research,comparative analysis and case research in the hope of making some contributions to related banks.This article mainly collected materials and data from the internet and database by document retrieval and gained professional views and first-hand news in the industry by interviewing related experts and doing questionnaire surveys on employees of the securities company.With the support of the related theories of risk management,this article will analyze the operation situation,development strategy and core competitive power of the company and catch some existing operation risks like external competitive risk,customer relation risk,integrated management risk and law compliance risk and so on.This article will build a judgement matrix and risk evaluation model to do quantitative analysis by summarizing operation risk factors.This will help the author better understand the relativeness of risk factors,focus on some solutions for risk operation issues and put forward suggestions that can help perfect internal control,optimize organizational structure,use model in a proper way and increase the personnel qualities.This article tries to prevent such risks from the root,so as to improve the effectiveness of risk management of Eastmoney Securities,make sure that risk invasion cannot restrict the rapid and healthy development of the firm,and also provide practical experience and theoretical reference for risk management of internet securities firms,hoping that risk management can be implemented and internet securities firms can develop well in the future.