Study On Risk Management Of A Trust Company Developing Consumer Finance Business

After years of development,trust industry has become a key part of China’s diversified financial system.In recent years,influenced by the stable and declining macro economy,increasing volatility of capital market and other factors,under the requirements of channel removal,scale reduction and farewell to extensive growth,under the industry background of increasing difficulty in basic industry business and real estate business,X trust company is in urgent need of business transformation.For the needs of structural integrity,profit growth,risk diversification and long-term development,X trust company intends to enter the field of consumer finance.As X trust company has not formed a perfect risk control system for consumer finance business,the research of this paper has certain theoretical and practical significance.The first chapter is the introduction,which mainly introduces the background and significance of the topic,research contents and methods,as well as innovation points;the second chapter is the theoretical basis and literature review,the theoretical basis part introduces the financial innovation theory,credit risk management theory and comprehensive risk management theory,the literature review part introduces the literature of research on consumer finance and consumer financial risk management since they were put forward,as well as relevant laws and regulations.The third chapter is the current situation and risk of consumer finance business,mainly introduces the consumer finance business and risk points,development process,competition pattern,current situation and development space,and briefly describes the development history and mode of trust companies engaged in consumer finance;the fourth and fifth chapters are the core chapters of this paper.The fourth chapter introduces the current situation of X trust company,the necessity of carrying out consumer finance business and the elements lacking in carrying out consumer finance business at present;chapter five introduces the risks faced by X trust company in carrying out consumer finance business,and through the way of questionnaire,learns the practices and experience of 21 peer institutions with experience in consumer finance business,including 3 commercial banks,5 licensed consumer finance companies,5 financial leasing companies,4 Internet platforms,4 trust companies,in risk identification,credit enhancement measures,post loan risk control,internal control and organizational structure,and compared them with X trust company.In Chapter 6,based on the analysis and research above,the author puts forward some suggestions on the risk management of X trust company’s consumer finance business,and believes that X trust company should carry out loan assistance business with consumption scenarios,select different credit enhancement measures combinations according to business types,apply electronic risk review system,apply electronic operation and clearing system,optimize the supporting organizational structure of consumer finance,optimize the business process of consumer finance,and optimize the supporting risk management system of consumer finance.The seventh chapter is conclusion and prospect.The innovation of this paper mainly lies in the research on the risk management of X trust company engaging in consumer finance business,which is of innovative significance for the transformation and development of the trust industry,and for the risk management of X trust company..