Research On The Motivation And Performance Of Jinzhou Bank Introducing Strategic Investors

The development of China's financial industry lacks standardization and the governance system is defective.This stems from rapid development of China's financial market,rapid growth of the number of financial institutions and continuous expansion of the scale of financial assets.Historical experience shows that the excessive growth of the number of financial institutions often leads to excessive competition in financial market,which leads to financial market risks.At the same time,China's banking industry has also suffered from the profound impact of the economic downturn and tighter financial supervision.As some small and medium-sized banks are exposed to risks,regulators have been taking measures to stabilize market confidence,prevent risk contagion and avoid systemic risks.The reform of China's banking industry has begun.The disposal of high-risk institutions mainly includes multi-level exit mechanisms such as takeover,bankruptcy and liquidation,mergers and acquisitions,and the introduction of strategic investors.However,from the perspective of the regulatory authorities' policy intentions,the exit measures for high-risk institutions mainly adopt mergers and acquisitions and restructuring and the introduction of strategic investment.Such measures have a smaller impact on the financial market sentiment and are more conducive to maintaining stability.With the continuous development of Chinese banking industry and the deepening of the reform process,the situation of liquidity stratification and credit stratification of domestic banks will become more and more obvious.The introduction of strategic investors by Jinzhou Bank's is one of the manifestations of the deepening of financial supply-side structural reform.The in-depth study of the case of Jinzhou Bank has great reference value for the future development strategy of small and medium-sized banks in China.This paper uses case analysis methods to identify risks based on the perspective of commercial bank risk management in the context of China's financial supply-side structural reform.By reviewing the development process of China's banking industry reform and the introduction of strategic investors,as well as relevant literature on small and medium-sized banks' risk management,this paper analyzes the effectiveness of Jinzhou Bank's introduction of state-owned strategic investors,including its background,specific plans and effects on Jinzhou Bank,its advantages and disadvantages,and the significance of reference.Starting from financial report and operation of Jinzhou Bank before the risk exposure,it identified its risk factors,and conducted risk analysis and evaluation through relevant indicators.It described in detail the specific way in which Jinzhou Bank introduced state-owned strategic investors to achieve risk control.It analyzes and evaluates the changes in corporate governance,financial management,and risk management of Jinzhou Bank after the introduction of strategic investors,and compares it with the risk management methods of Baoshang Bank and Hengfeng Bank.It is concluded that the introduction of strategic investors by Jinzhou Bank this time is very effective and has laid a solid foundation for subsequent risk disposal.This measure will help it take further measures to strengthen the bank 's balance sheet and operation management.It will also have a positive impact on other regional banks experiencing financial difficulties.At the same time,based on the experience of Jinzhou Bank,it puts forward suggestions and implications for the development of China's banking supervision and risk management of other small and medium-sized banks.