China Everbright Bank Internet Finance Business Risk Management

With the rapid development of the Internet financial industry,the traditional banking financial model of most commercial Banks needs to be reformed and transformed urgently.How to adapt to the development trend of the Internet economy,vigorously develop Internet financial business and avoid risks of Internet finance has become a key issue to be explored and studied urgently.As a nationwide joint-stock commercial bank,the traditional financial model of Everbright Bank faces a huge threat.In order to cope with new development needs,Everbright Bank needs to innovate existing financial products and financial services and increase the proportion of Internet financial products in the financial product portfolio.However,compared with the traditional financial model,the Internet financial model also brings new types of financial service risks,such as Internet bad debt risk,information technology application risk,and online security risk,which bring new requirements and challenges to Everbright Bank’s financial risk management.Based on risk management theory,goal setting theory,information asymmetry theory,game theory and other relevant theories,this paper takes the Internet financial business of Everbright Bank as the research object,and analyzes its risk identification,risk assessment and risk control strategy.This paper mainly conducts research from the following aspects: First,it analyzes the Internet financial business of China Everbright Bank and its risk characteristics,introduces China Everbright Bank’s overview,its five Internet financial businesses and the main risks of its Internet finance business.Besides,this paper also analyzes the risk management system,management technology and organizational structure of Everbright Bank’s Internet finance business.Second,the main problems and causes in the risk management of Internet finance business of Everbright Bank are identified.Thirdly,the risk evaluation index of Internet finance of Everbright Bank is selected.Based on the investigation report of Basel Banking Regulatory Commission,the basic factors of risk rating of Internet finance are determined,the risk factors of Internet finance are analyzed,and the risk evaluation index of Internet finance is constructed.Fourthly,China Everbright Bank has formulated Internet financial risk management measures.This part first summarizes the experience of Lending Club Internet financial risk management in the United States,Ping An Lufax risk management experience,and Ali financial risk management experience,and draws on the experience of Internet financial risk management from home and abroad to promote the reform of risk management system Business technology level,and actively promote the construction of the credit system,put forward suggestions for improving the risk management of China Everbright Bank’s Internet financial business.