| China will face more cruel competition after its' entry to WTO. In financial domain, how to encounter the impact under the background of the coming of the new era for universal banking and the impending of financial groups deserves our close study and deep thoughts. Under the business segregation in China's financial sector, it is significant in reality to choose financial holding company. China should press on with study the status quo and future of financial holding company! This dissertation tries to provide theoretical preparations of China's financial reform through thoughts and analysis on financial holding company.Firstly, it introduces universal banking and financial holding company. Secondly, it demonstrates that financial holding company is the best way and arrangement to implement universal banking in China. Thirdly, through case study, it studies property right, corporate governance and internal control of financial holding company.This article is characterized by creative and overall research on capitaladequacy, scope of economy, information economy, external property right, internal property right, corporate governance, risk management and internal control. The methodologies of this article are as follows: 1) historical analysis methodology, i.e. by using time series, comparative studies are undertaken on the causes of business segregation in 1930s and universal banking in 1980s; 2) horizontal analysis methodology, i.e. data on varieties of countries are comparatively analyzed; 3) qualitative analysis.The logic structure and main contents are as follows:Chapter I Summary. After introducing the definition and mode of universal banking, financial holding company comes up.Chapter II Financial Holding Company---inevitable choice for China. Through three aspects, it demonstrates that financial holding company is just the right way to fulfill China's universal banking. Furthermore, it is the final institutional arrangement too.Chapter III Corporate Governance of Chinese Financial Holding Company. On the basis of the case of China Everbright Group, we discuss the corporate governance of financial holding company. Firstly, it provides some suggestion to the property right failure of financial holding company. Secondly, it studies the corporate governance of financial holding company step by step: 1) popular issue of corporate governance of financial holding company; 2) internal failure of corporate governance of financial holding company; 3) establish internal corporate governance system; 4) establish external corporate governance.Chapter IV Internal Control of Chinese Financial Holding Company. The risk of financial holding company consists of two parts, i.e. risk from financial characteristic and typical risk from financial holding company antique situation. It is certain to constitute internal control of financial holding company. In the internal control, it is delicate to use firewall, which keeps risk away and utilizes all kinds of advantages. |
