A Research On The Risk Control Of Margin Trading Business For G Securities

It has been more than ten years since Securities Regulatory Commission formally approved the development of margin trading and securities lending business.Considering that securities companies are major participants in the securities trading market and play an important role in margin trading and securities lending transactions,studying the prevention and control of risks of the securities companies’ margin trading and securities lending business is essential to the sustainable and healthy development of the securities market.From the perspective of the securities market,margin trading and securities lending is a new way of trading;from the perspective of investors,margin trading and securities lending is a new investment product;from the perspective of securities companies,margin trading and securities lending is a new type of transaction.Things have pros and cons,and corresponding risks of securities margin trading also follow.This thesis mainly adopts literature analysis method,case study method,quantitative analysis method and qualitative analysis method to study the risk prevention and control of securities companies’ margin trading business.The thesis firstly summarizes the research on margin trading and securities lending by domestic and foreign scholars,and also briefly introduces its generation and development,concept and process of margin trading and securities lending business in my country to get a general framework for the margin trading and securities lending business of securities companies and then identifies several possible risks in the process of margin trading and securities lending.Secondly,the thesis selects G Securities Company as a sample,describes the development status of G Securities Company’s margin trading business,and conducts risk identification and risk assessment on it,takes effective risk management measures,and points out the deficiencies in risk management measures.Thirdly,the thesis analyzes the macro and micro factors that affect the risk prevention and control of the margin trading and securities lending business of G Securities,and puts forward effective suggestions for improving the risk control of the margin trading and securities lending business.Finally,the thesis expounds the research conclusions and prospects,and concludes that there are still several flaws in the risk prevention and control of the margin trading and securities lending business of G Securities,such as the lack of rationality of the organizational structure of its risk management,and the imperfect reward and punishment system for business personnel,etc.Therefore,it is necessary to further improve the construction of the company’s risk management system,and strengthen the reward and punishment system for employees while enhancing their risk awareness.