The Empirical Study Of Operational Risk For China Merchants Bank

As the most important part of realizing reasonable allocation of financial resources, Commercial Banks are always paid extensive attention to by foreign investors and regulators. A series of banks operating risk events since 1980s has made bank managers and regulators generally recognized the importance of operational risk management. All countries began to study how to better manage and control the bank operational risk.Since China joined the WTO, Financial markets gradually opened, Commercial Banks rapidly developed, but the increasing pressure of risk management came along. With the maturity of credit risk and market risk management, domestic regulatory agency has gradually realized the importance of operational risk, and began to learn the management mode and experience of developed countries and improved the operational risk management from both qualitative and quantitative aspects. Although the tremendous progress has been made, and the operational risk management system has been initially established, great differences still exist when compared with abroad.This paper takes CMB for example, which is the relatively successful bank in Chinese share-holding commercial Banks, Combines the risk management framework, management measures and operational risk management methods of business process of the CBRC and merchants bank itself to analyze CMB. The qualitative analysis at the same time, collects its years of financial data, uses basic indicator approach and the standard method, which belong to operational risk quantitative analysis method, to estimate the weighted operational risk capital. In comparison of two kinds of methods, We will use the appropriate method to calculate the weighted operational risk capital, and into the new Basel capital adequacy ratio formula to calculate. On this basis, the data and the merchants bank capital adequacy calculation results of their reports released are compared. Through the analysis of the CMB operational risk control, explores how to better improve its operational risk management and control ability in line with the specific conditions of merchants bank.