Can Fintech Improve Bank Performance?The-is Based On A Retail Business Perspective

With the development of Internet and technology,domestic commercial banks are gradually on the road of combining fintech and retail business.This paper focuses on the development of fintech and the retail business of commercial banks,studying whether there is a mutual influence relationship and the impact situation.This paper first introduces some research background and methods,then reviews and summarizes relevant references at home and abroad,and then specifically introduces the development of fintech.The article focuses on case analysis and empirical analysis,takes China Merchants Bank as the object of case analysis,analyzes its development,challenges,innovation and retail business development,summarizes the successful experience of China Merchants Bank development,and applies it to the transformation of other commercial banks.In the empirical analysis part,this paper takes the non-equilibrium panel data of 36 listed banks in China as the sample.and selects 2011-2020 as the research interval.This paper chooses the text mining method to obtain the baidu index with 20 keywords,and then uses the factor analysis method to synthesize the comprehensive indicators,which represents the overall fintech development level of China’s banking industry.The proportion of commission and commission income is selected as the representative of retail business income,as the explained variables,the micro and national macro variables as the control variables;analyzed with multiple regression model.The conclusions are as follows:(1)From the level of fintech development,the overall increase trend began in 2011;by 2017 and 201 8,the index declined in 2019 and 2020.(2)The development of fintech can promote the transformation and upgrading of the retail business of commercial banks.(3)The higher the profitability of banks,Roa,and the loan-to-deposit ratio are,the less likely the impact of the fintech index on the bank’s retail business will be.(4)From the perspective of bank types,the development of fintech has an impact on both urban merchants and joint-stock banks,and it is the largest for joint-stock banks,followed by urban commercial banks,which has no significant impact on state-owned banks.Finally,this paper puts forward some constructive suggestions according to the research conclusions,and summarizes the whole research,including the shortcomings of the research,and then prospects the future development of commercial banks from the perspective of the whole article research,mainly as a positive prediction.