Research On Risk Control Strategy Of Margin Trading Business Of H Securities Company

In order to meet the requirements of the innovative development of China’s capital market,further improve the financial service quality of securities companies and promote the development of innovative business,major domestic securities companies gradually carry out margin trading.Since 2010,after more than ten years of development,the scale of margin trading has been expanding.In addition,the investment nature and speculative nature of the business itself put forward higher requirements for the risk identification,prevention and control ability of securities companies.Due to the influence of market risk,liquidity risk,credit risk and operational risk,when the securities market fluctuates violently,the risk of margin trading is more prominent.This paper takes H securities company as the research object,applies the comprehensive risk management theory,uses the literature review method,case study method,comparative analysis method,qualitative and quantitative analysis method,and deeply explores the current situation of risk control of the company’s margin trading business.Combined with the survey,it is found that there are problems in the risk management and control of the margin trading business of H securities company.Based on the summary of the cases of forced liquidation of the margin trading business of H securities company,it is analyzed and summarized that there are deficiencies in the risk management and control of the current margin trading business of H securities company.In view of the existing deficiencies such as inadequate risk dynamic management,inadequate investor appropriateness management,loopholes in system settings and improper implementation of compulsory closing positions,this paper puts forward some suggestions on the risk control of financing and securities lending of H securities company,such as optimizing business processes,improving risk management level,preventing system technical failures,doing a good job in investor appropriateness management and strengthening risk dynamic management,It provides a reference for the risk management and control of margin trading business of H securities company and helps to reduce the operating risk of the company.