Intraday Liquidity, Systemic Risk And Liquidity Recuse Tactics

After the2008financial crisis, financial regulators will rescue systemic risk and liquidity issues into its core regulatory section. Especially in China every year in July appeared "money shortage" event, making more and more attention of regulators supervision of liquidity risk. To be reasonable and effective supervision is necessary to have a theoretical basis to provide the basis, therefore, how to measure systemic risk and how to become a mobility aid urgent topic of academic research. This article is mainly related research in the areas of academic research conducted on the blank, in order to provide the appropriate theoretical basis for regulation of financial regulators.Construction of large-value payment system is one of the foundations of a country’s financial system, almost every country has its own large-value payment system. Large-value payment system plays an important role in the implementation of the inter-bank liquidity, settlement and monetary policy, financial operation is the "blood circulatory system." It is because of the close link between the payment and financial systems. and financial and close ties with a country’s economy, and therefore the stable operation of payment systems related to the economic development of a country, once a large-scale payment risk, its financial institutions and the extent of the damage a country’s economy is incalculable. Therefore, we must pay large macro level regulation system, However, in the large-value payment system, due to the complexity of the financial institution to pay contact between participants, any impact of a financial institution are likely to be diffused through the payment network, thereby affecting the entire payment system efficiency and robustness, which lead to systemic risk. For one or more financial institutions may come from the impact of these financial institutions themselves, there are likely to come from outside the whole external economic conditions. Moreover, this impact may be brought to the local impact of the financial system, but also may bring a global impact. Whether it is local, or global impact shock will affect the stability of the financial system.Settlement between financial institutions constitute a complex financial network, coupled with the payment and settlement data is confidential, so the general research methods cannot be a comprehensive study, it can only help network models and simulation tools to study. Prior studies are mostly based on the Bank of Finland to pay simulation software developed, in order to study from different angles systemic risk and liquidity assistance strategy, we use the software on the site and self-FNA prepared matlab simulation program to verify the results of previous studies. This is also one of the innovations of this article. Another innovation of this paper is to select a different research angles. Because of the complex relationship between the bank paid the formation of a complex network structure, and the impact of different structures of these institutions are generated on the stability of the system is different, and have much impact is another key research section of this article.Access to a large number of articles in the literature, draw a complex network structure between the current bank mostly presents scale random network structure, combined with China’s large-value payment system to be verified, also come to this conclusion. On this basis, we have systemic risk under different network structures were studied, in order to have targeted research, we selected the center of the relationship between the network and the systemic risk indicators between studied. Through research, we have come to the center of the network size and the existence of systemic risk is very closely linked. Under the same conditions, if a higher degree of central network node when the mobile node by day shock, resulting in a total system delay time of the payment, the higher also the number and value.Advance prevention is the primary task of the financial regulatory agencies, targeted there may be risks to the financial institution participants in risk prevention and relief, in order to avoid large-scale systemic risk is the bounden duty of the financial regulatory agencies, For such a relationship between the center and the degree of systemic risk, the paper made a research on the other hand, that is, when the daytime when liquidity risk, as banks’bank Central Bank should take what kind of aid strategy.Another research focus of this article is to compare the pros and cons of different rescue strategies. This section is mainly based on the correlation between the degree and the center has been verified between systemic risk, the paper compares the performance of different strategies in different relief liquidity levels under different bailout rescue mode. First, we designed three rescue methods, namely by way of liquidity level cap, the center of the way and manner the maximum level of liquidity. Secondly, these three rescue mode, they were designed three rescue strategy, namely a balanced rescue strategy, from small to large bailout strategy and descending bailout strategy. According to different ways and different relief assistance strategy with a total of nine research assistance strategy, and compared their efficiency in comparison bailout liquidity injections in different proportions. Finally come to three conclusions:first, the center of the rescue strategy and liquidity there is a close relationship; Second, the overall strategy is concerned, from small to large dominant strategy in general, to a certain extent, to overthrow the " too big to fail " theory; third, whether from the horizontal or vertical comparison, the level of liquidity by way of relief cap on the whole to be dominant mannerThe contribution of this paper is the first systematic analysis of the relationship between network structure and stability of the system, and the use of simulation methods to determine the importance of the system nodes. In addition, studies of the central bank in the proportion of liquidity injected into the different levels of mobility assistance daytime optimal strategy to provide theoretical support for large-value payment systems and financial system risk management system and ultra-short-term liquidity management.