Research On Investment Value For PuDong Development Bank

The financial services industry plays a central role in the modern economy,the banking industry is the core of modern financial services industry; as an important component of the a country's comprehensive national strength, the banking industry play a rather important position of in the national economy. The listed banks as the backbone of the banking industry, is attracting more and more attention. Especially in the current environment of financial crisis, How to measure the investment value of listed banks from the different angles, How to control market risk, How to conduct an objective and timely reflection and assessment for the value of listed investment, is one of the key issues of concern to institutional investors and ordinary investors. Therefore, starting from the Shanghai Pudong Development Bank, to build an investment value evaluation model of investment banking, it has an important significance.Although there were many research ways which study the performance of commercial banks and investment value of listed companies , However, the way which researches the value of research investment in listed banks is rare. This article seeks to start from Shanghai Pudong Development Bank which has listed, use Analytic Hierarchy Process to build an investment value comprehensive evaluation model of investment bankingThere are a lot of research literatures which is evaluation of investment value in domestic and foreign, and the study on index system is also very in depth. However, the research of the indicators of the risk prevention ability is not too much. Risk prevention is the protection of the smooth growth factors, when seeking high-income and high-profit, enterprises should also attach importance to the existence of risk factors. Especially in the backdrop of financial crisis, various enterprises have suffered great assault; whether enterprise risk management system is complete, that has a crucial role to whether enterprises can tide over our difficulties in the financial crisis. Therefore, this article will add this target to evaluation system, and try to do some research.The investment value of listed companies is the value of equity investments which invest in listed companies and public circulation in the secondary market, according to What Shares with the "intrinsic value" of the size and share price to determine whether a stock investment have value. What invests in listed companies is that invest the intrinsic value of stock, the aim which investors invest in stocks is investment income. Investors receive investment income in the future, and the investment income is difficult to determine. The uncertainty of future earnings is the investment risk, therefore, in the investment period, Expected benefits may reduce, and the principal even may loss when were impacted by factors. And with the longer holding period, the factors that impact is likelihood greater. So, risks which stock investment face by are mach more compared to other investment.Investment value theory mainly includes effectiveness value theory and labor value theory. From the point of equity investments value evaluation, the basic idea of the effectiveness value theory is that the value of shares represented by is decided by the value of the assets brought to its occupants. The greater of Effectiveness, the higher of the value. Labor theory of value is mainly reflected the investment value assessment of the stock, the value which the shares represented by the assets of the company determined by the Ministry of Labor, that is determined by the socially necessary labor time. Therefore, from the distribution point of view, the work of Production workers who product the asset and the physico-chemical work constitute the entire source of the value of the assets. Effectiveness value theory and labor value theory is two more important theory in the investment value evaluation.The establishment of index system should be based on the combination of qualitative and quantitative, the combination of level and the relevance, the combination of general and key, as well as equal emphasis principle which the effectiveness of the book profit and cash flow is same. This paper uses the analytic hierarchy process which applied to multi-index comprehensive evaluation, and which applied to the qualitative and quantitative analysis, to assess investment value of Pudong Development Bank. First of all, according to the characteristics of Shanghai Pudong Development Bank, layer of criteria will be divided into five levels: Profitability, growth capacity, the expansion of the capacity of capital, solvency, and risk prevention capacity. Secondly, Comparative analysis layer of criteria, Selected five categories of indicators from 15 objective indicators, then build up comprehensive evaluation index system for Shanghai Pudong Development Bank. Then, use AHP to calculate the weight of each factor indicator. Third, carry out the non-dimensional for the indicators of Shanghai Pudong Development Bank, receive its value to quantify the value of indicators, sum the value of quantify to Weighted coefficient of linear, establish comprehensive evaluation model of investment value for Shanghai Pudong Development Bank. Finally, uses the model to comprehensive evaluate Shanghai Pudong Development Bank.The main Influencing factors of investment value Evaluation in Shanghai Pudong Development Bank include the three main factors: Macroeconomic policies, the operation of banks, as well as the quality of bank management. These macro-economic policies (Expansionary fiscal policy, concretionary fiscal policy and a neutral fiscal policy) will have a certain impact on the investment value. Tightening fiscal policy will make the overheated economy under control, and stock market will also Weak;The expansionary fiscal policy will stimulate economic development and tock markets will also Strength. Whether stock investment can receive the corresponding income compared to the Risks,It depends primarily on the operation of banks. Bank's management quality is focus on the performance of the quality of services, settlement efficiency and an integrated and coordinated. Services are the basic functions of banks, Quality is a symbol of credibility, and Improve the quality of services is an important means of deposits. Therefore, these three factors are critical.Finally, analyst he results. First, Specific analyst the indicators, Compare the indicators to the average, and Compare the indicators of 2007 to the indicators 2008 data, and summarized the specific circumstances of the indicators. Finally, comprehensive analyst the specific circumstances of the evaluation model, then Calculate the sum of the quantify value of the indicators and the corresponding weight coefficient, to determine an overall Evaluation score.