Research On The Impact Of Intermediary Business Development On The Operating Performance Of Commercial Banks

At present,China has entered a new development journey.Under the new market form driven by "two rounds" of consumption and investment,retail transformation has become the consensus of commercial banks.However,with the continuous restriction of banks’ available capital,the further shrinkage of interest rate spread,and the great challenge to the profits of retail banks caused by the economic recession caused by the epidemic,it is urgent to rethink the intermediate business as an important focus of retail transformation under the new normal,expand the scale,type and scope of intermediate business,and gradually develop from low-level collection and payment business to high value-added business such as financial management and consulting.This paper takes the impact of intermediary business as the starting point,then selects three joint-stock commercial banks,China Merchants Bank,which first carried out intermediary business,Minsheng Bank and Industrial Bank,which have a clear intermediary business development strategy in the process of retail transformation,as cases.Firstly,it introduces the development status and performance level of its intermediary business;Then,according to the financial data disclosed from 2008 to2020,using factor analysis to quantify the business performance of case banks;Then,it empirically analyzes the impact of the scale and structure of intermediary business of case banks on impact on business performance;It also analyzes the mechanism of intermediary business development affecting business performance from four aspects:profitability,liquidity,security and innovative growth;Finally,three joint-stock commercial banks,five state-owned banks and three urban commercial banks that carry out intermediary business in the same period are selected as the control group for comparative analysis,to explore the differences of the impact of intermediary business on business performance,and finally come to the following conclusions:(1)the expansion of intermediary business scale significantly improves the business performance of case banks,indicating that the development of intermediary business is an effective breakthrough to promote the modernization and transformation of banks;(2)At present,the mechanism of intermediary business affecting business performance is mainly to improve the liquidity,security and innovative growth of commercial banks,which has not yet had a direct impact on the profitability of banks;(3)There are differences in the impact of different types of intermediary business on bank performance.At present,the focus of retail transformation is inclined to bank card business.At the same time,the development of high value-added intermediary business of guarantee and commitment can effectively improve performance,while too much focus on clearing and settlement,agency and custody intermediary business can not play a significant positive role in performance.Combined with literature research,case study,empirical analysis and comparative analysis,this paper draws the conclusion that the scale expansion of intermediary business significantly improves the performance of banks,and there are significant differences in the impact of different business structures on the performance.At the same time,it clarifies the specific mechanism of intermediary business affecting the operating performance of banks,analyzes the development strategies of intermediary business of different banks,and summarizes its successful experience,Put forward suggestions on how commercial banks can better develop intermediary business under the new normal,empower retail innovation and transformation,and make it an important engine for banks to generate income and efficiency.