An Evaluation Research On The Promotion Of Financial Innovation Ability Based On China’s Listed Commercial Bank At Present Stage

Financial innovation is a major topic that many people pay attention to.Generally,financial innovation means innovation in financial products and service,exchange styles,market system and custody system. Financial innovation not only brings new chances to gain profit,but also the new risks.Modern commercial bank must take financial innovation positively or passively which make the progress of their development as well as the whole financial industry.Therefore, financial innovation is the main content that influence the progress of the commercial bank’s development and the financial monetary marketWith the background of economic globalization,China’s financial market has gradually opened up to the world.After the entering the WTO and financial crisis,there is a great need for financial innovation during the "Twelfth Five-Year Plan".As a sharp sword of modern financial industry,financial innovation must be the center of development strategies.Nowadays,foreign banks regard China as a huge,developing market.Compared with domestic banks,they have more experience in financial innovation. Although their small number of branches limit the competence in all-round competition,they will rely on the advantages bringed by financial innovation to win the game.Domestic commercial banks face a passive situation against the foreign banks currently that results from both the external and internal restrictions.It will be a signficant issue that how to accelerate the pace of financial market construction and enhance financial innovation ability.If China’s banks could not make full use of financial innovation to build up management system and accelerate operation efficiency,they will not fullly support China’s economic development and will be in a predicament. Therefore,China’s commercial banks must enhance the ability of financial innovation in order to improve the competitive and anti-risk abilities.This paper mainly analyses the listed commercial bank’s financial innovation and the ability in China as well as offers some suggestions to the financial innovation development.In the first place,this paper gives the rational definition of financial innovation,and studies the content,principle and motivation of financial innovation.Then,it introduces and contrastes the current condition of financial innovation of China and foreign countries. Further more,it concludes the significant factors that influence the financial innovation.It also has collected and coordinated2010’s related data of China’s16listed commercial banks.In order to sort and classify their positions,this paper utilizes Factor Analysis and SPSS software and has got three main factors of financial innovation.Finally, based on the theoretical analysis and empirical analysis,it offers some suggestions on how to enhance the financial innovation of China’s commercial bank in the future.