Research On Interest Rate Risk Management Of Bond Investment Business Of Small And Medium Banks

After the 2008 US subprime mortgage crisis,in order to cope with the impact of the economic depression on the financial system,the central government issued various policies to support the development of the real economy,including tax and fee reductions and lower corporate financing costs.In order to unblock the monetary policy transmission mechanism and withstand the economic downturn Pressure and the implementation of a sound monetary policy have been the main tone of central bank regulation in recent years.For commercial banks,the bond investment business can adjust asset institutions and reduce credit asset credit risk caused by economic downturn.On the other hand,it has become a new source of profit,which can greatly improve profitability and can flexibly adjust the entire bank.For liquid and effective high-quality assets,the bond investment business has been valued and favored by small and medium banks.However,from the current situation,most small and medium banks have limited business scope,small capital scale,weak risk tolerance,and limited time to enter the bond market,especially the credit bond market.They have relatively little investment experience and interest rate risk on their investments.The threat to earnings is huge,and the effective identification,assessment,and mitigation of interest rate risk by small and medium banks is particularly important.Based on the current development of small and medium-sized banks' bond business,this paper proposes a considerable reality that the interest rate risk measurement and management capabilities of the small and medium commercial banks are obviously insufficient.How to objectively measure interest rate risk becomes the key to the risk management and control of small and medium commercial banks in the future.This article analyzes and suggests the use of risk The VaR model measures the bond interest rate risk effectively,and uses the model as the core to analyze the influencing factors of bond interest rate risk from Shibor,Cpi,M2,gold price,Shanghai Stock Index and other indicators,and draws various indicators to bond The impact of interest rate risk.Starting from the Bank of China's bond interest rate risk measurement system,this paper studies the measurement method of small and medium-sized financial institutions' bond interest rate risk and uses measurement models to analyze bond investment duration,types,and weighting strategies.Finally,this paper describes the construction of a risk management system for bond investment in a rural commercial bank in Xuzhou,and recommends that small and medium banks establish a market risk governance system for bond investment business based onscientific measurement of bond interest rate risk.At present,small and medium banks establish risk appetite and establish risk index limits Based on the comprehensive management and control of bond interest rate risk,it is recommended to establish a risk monitoring and control mechanism for bond investment business,introduce a risk monitoring and early warning system,and conduct investment advisory business to comprehensively improve the level of bond interest rate risk management of small and medium-sized banks,effectively avoid the impact of interest rate risk and prevent Significant losses occurred to ensure the stable operation of small and medium banks.Starting from the construction of the risk management system of small and medium-sized banks' bond investment business,they explored methods and measures for risk management of the bond investment market applicable to small and medium-sized commercial banks in China.