Study Of Commercial Banks Credit Portfolio Risk Management Approach

With the success of China Banking's reform and opening, all the commercial banks take effective measures to improve the business strategy in order to promotion power of market ratio covering and to improve portfolio risk management. Meanwhile, all the commercial banks establish the strict credit control rules for risk management which are mainly focuses on the measurement and control of individual borrower's risk management, but lack of the quantification analysis and administration of credit portfolio, also the idea of risk management is deemed to be renewed to ensure profit-making as well as risk control.On the basis of extensive collection and study domestic and international relevant theories and data, this paper focuses on analyzing the present situation of S Bank's credit portfolio management; the constitution of new management methods to fulfill the target and the internal and external binding factors; the establishment of measurement model for credit portfolio risk control by comprehensively using traditional qualitative analysis method and modern quantitative analysis method, which is to be used to measure and evaluate the risk level for combination credit; to find the main resources of credit risk; to assist the decision-making of the newly-placed loan policies at micro-platform; to assist the guidance-making of loan placing at management platform. Upon the setting-up of the model, as the reference of overall risk management for S Bank Dalian Branch, the solution to the credit risk management is worked out and put forward accordingly.This thesis concludes that the commercial banks should more stress the risk management of credit portfolio and take effective measures to improve the portfolio risk management, such as fully apply the practical and efficient measurement model to evaluate the credit risk; improve the conditions of model applications, including adjusting the organization, establishing the database of credit administration, setting up the objective idea of risk management, consolidating the credit portfolio risk management and loan placing management, and training the credit staffs, etc.