The Securities Company Risk Management Studies

The financial crisis sweeps the globe so that many countries'financial industry have once again put the risk management and control to a higher position. Wall Street investment banks which represent the highest level of the global securities industry fall into the crisis. America's financial industry has returned to the operation mode of the time more than half a century ago, this is the most serious financial crisis to the United States and even all over the world since World War II.Former Federal Reserve Chairman, Alan Greenspan calls "the financial crisis is rare even if the experience of centuries ", People have even likened it the tsunami - the financial tsunami, so the crisis is tremendous seriousness.Our country's capital market late start and has been accompanied by the transformation of economic system, now it is during the transition period, the market system is not perfect, the development of securities companies is not enough norms, to acquire much experience from abroad, particularly, compared with Western developed countries, our risk management has been in behind the level , main aspects are: weak risk awareness, risk management systems are not sound enough, risk control technology backward and so on. Us top five investment bank's risk management and control model have been top level in the world and standard our securities institutions reference to.But the crisis exposes the vulnerability of their existence, these problems have important guiding significance to improve our risk management system.In this paper, based on re-examining the five major investment bank risk management model , to deeply analyze the internal factors to result in Lehman bankruptcy and Goldman Sachs'experience in this crisis to preserve their own; At the same time, to analyze China's securities companies development and problem in risk management field. On this basis, through in-depth analysis of the case as to China Southern Securities'closure, further confirm the internal causes why risk management is out of control and the seriousness of the internal problem. Finally, through analysis and contrast concerning risk cases at home and abroad, I found that the system deficiencies are the main reasons and the fundamental reason for causing the risk management mechanisms to go out of control. The question mainly related to the corporate governance structure, internal controls, risk management organizational structure, incentive mechanism in four aspects, the author respectively puts forward some of his own analysis and the concept in these respects to provide some reference in risk management for our securities company.