Microfinance Risk Management, HSBC Corporate End Market

These papers analyzes the problem of risk management, risk of reasons, as well as the combination of theory and practical experience at domestic and abroad, and provide appropriate recommendations for risk management of HuiFeng small loan companies, and also to provide a reference for other similar small loan companies. At the base of analyzing the related researches, this paper discusses the basic theories, such as concepts, characteristics of small loans; risk management theory, including the type of credit risk, the real bills theory, capital conversion theory. On this basis, HuiFeng microcredit company’s risk management status analysis, including risk management mechanism, process, and pointed out that HuiFeng companies on risk management issues, including the small loan product design there are some limitations, including pressure on borrowing costs, re-development, light the idea of the risk management more generally, the loan before the loan in post-loan problem, the company is also facing the difficult problem of financing. Based on the above analysis, the recommendations, including strengthening regional industry analysis, optimize product lines, standardize operational processes and the reasonable control of the cost of the loan business, increase loan monitoring and audit efforts, actively promote the HSBC restructuring the company towns Bank. Foreign small loan company has a long course of development, we have accumulated abundant experience, and risk management experience of the Grameen Bank and Bank Rakyat Indonesia’s analysis and reference, including full use of the old customers and acquaintances resources, simplify procedures and improve the supervision mechanism, to strengthen cooperation with the government, financial institutions and so on.