Study On Risk Management Of Modern Commercial Banks

Modem commercial banks always face various risks during their course of operation and development. In other words, they're the operation risk, control risk and management risk, which are taken as the aim of development by commercial banks. And good risk management can be seen as the key to the successful management of a commercial bank.As for the research of risk management, foreign commercial banks have gone a step further and formed comparatively mature theories as well as acquiring rich experiences on quantifying risks and establishing risk management models, which are worth studying by China's commercial banks. The thesis mainly introduces and analyzes advanced risk management theories, models as well as experiences of foreign commercial banks, in addition to the framework of international risk management (the Basel II), so as to provide reference and guidance to risk management for Chinese commercial banks.The thesis consists of four chapters. The first chapter begins with the concept and cause of risks of commercial banks, the analysis of the characters and classification of these risks, and the introduction to the evolution process of bank risk management. The second chapter presents some theories of risk management of commercial banks, then introduces the advanced overseas experiences of risk management, finally briefs the Basel II as well as its effects on the global bank industry. The third chapter mainly states risk management models of commercial banks including credit risk model, market risk model and operation risk model. The last chapter begins with the analysis of the existing problems in risk management of Chinese commercial banks, and puts forward some ideas and thoughts for its development besides the measures for management mechanism reform. In conclusion, this thesis ends with some suggestions for Chinese commercial banks to learn from the Basel II and the risk management models.